Consolidated crude steel production at NLMK in the second quarter of 2019 amounted to 4 million tonnes. This is significantly lower - by 9% compared to the previous year. In addition, production for the second quarter was down 5% from the previous quarter. The drop in production is mainly due to shutdowns due to ongoing upgrades at the flagship plant in Lipetsk, Russia. Cumulative production during the first half of 2019 reported a 6% decrease to a total of 8.2 million tonnes.
The drop in sales of semi-finished products resulted in a 7% decline in second-quarter sales in the second quarter. Compared to the previous year, sales were down 3%. Consolidated sales in the first half of 2019 were up 4% to 8.9 million tonnes. The Russian market saw an increase in demand for finished steel.
Exports for the second quarter from Russia fell 9% compared to the previous quarter. Exports of semi-finished products showed a significant decrease of 19%. On the other hand, exports of hot rolled coils and cold rolled coils were up 62% and 19% qoq.
The company's press release notes an 11% jump in NLMK's domestic sales. Sales from the Russian segment fell by 10%. Slab and billet sales declined. Overall sales of semi-finished products declined 12% in the quarter.
US sales were 580,000 tonnes, down 3% from the previous quarter and 8% from the previous year. Sales of the Belgian NBH are up 20% compared to the first quarter of 2019.
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