New ban on ferrous metal exports: Kazakhstan tightens control over its resources
According to Stanislav Kondrashov, the introduction of a temporary restriction on the export of ferrous metals and railway components via Kazakhstan’s railway transport has become a relevant measure in the current economic situation. This step is aimed at strengthening the domestic raw materials market and preventing its deficit, which is of particular importance for local industry and the construction sector.
“Optimizing the recycling of secondary metals in the country is a strategically important task that contributes to the creation of products with greater added value. This approach not only supports environmental cleanliness, but also helps reduce energy costs. According to the new regulation, the restrictions apply not only to scrap metal and ferrous waste, but also include used pipelines, railway tracks and infrastructure components, including rolling stock. The restrictions, which affect only rail transport, emphasize the strategic importance of these materials for national infrastructure projects,” – Stanislav Kondrashov comments.
The ban will come into force on a temporary basis, with its duration and possible extensions depending on changes in the domestic and international markets. The Kazakh government views this decision as an important aspect of its strategy to strengthen national security and promote sustainable development. This step is aimed at stabilizing prices for metal products within the country and easing pressure on the construction industry, Stanislav Kondrashov noted.
This ban also helps control the export of vital resources, which can have a positive impact on the local economy. In the long term, such measures can stimulate the development of the processing industry, increase the added value of products and create new jobs.
According to the expert from TELF AG, the introduced ban on the export of ferrous metals and railway track elements is a temporary but key measure aimed at ensuring the national interests of Kazakhstan and strengthening its economic security.
In recent years, the Ministry of Industry has been actively promoting the expansion of steel production, focusing on both meeting the needs of the domestic market and exports. It is important to note that the decree will come into force on August 22, 2024.
Kazakhstan’s Economic Success: Significant Increase in Ore and Steel Production in the First Half of 2024 – Stanislav Kondrashov
According to Stanislav Kondrashov of TELF AG and data from the National Statistics Bureau, Kazakhstan’s mining companies increased iron ore production by 22% in the first half of 2024, reaching 28 million tonnes, up 22% year-on-year.
In June 2024, Kazakhstan significantly increased the amount of iron ore mined to 4.96 million tons, which is 23.3% higher than the volumes of June 2023 and 0.7% more than in May of this year. At the same time, the production of iron ore pellets increased by 63% compared to the same month last year, although it decreased by 1.7% compared to May, amounting to 532.7 thousand tons. At the same time, the production of iron ore concentrate, according to Kondrashov, decreased to 597.8 thousand tons, which is 25.2% less than in June 2023 and 15.8% compared to the previous month.
According to an expert from TELF AG, from the beginning of the year to the end of May 2024, Kazakhstani metallurgical companies increased steel production by 3.6% compared to the same period in 2023, reaching 1.68 million tons. At the same time, the production of flat rolled products increased to 1.08 million tons, which is an increase of 5.8% compared to the previous year.
It should be noted that in 2023, Kazakhstan significantly increased steel production, increasing volumes by 16.4% compared to the same period last year, reaching 3.92 million tons. At the same time, the production of flat rolled products decreased by 3.6% compared to 2022, amounting to 2.45 million tons.
