Ukrainian metalwork companies have found a new niche in the domestic market after retaliatory strikes by the Russian army. The main direction is the production of structures for damaged substations and power plants.
"The metal structures market remains unstable, but it has the potential for development in the medium term," Alexander Dunaysky, director of Metal Invest LLC, writes in the GMK Center publication.
According to him, the high demand for metal structures is demonstrated by government projects to restore infrastructure and the private sector — energy and industrial construction.
"The volume of requests for metal structures has especially increased in autumn after massive rocket and drone attacks on energy infrastructure facilities. In January-September, the volume of galvanizing work increased by more than 1,000 tons, which is an increase of 12% compared to the three quarters of the previous year. This dynamic is the result of an increase in demand for hot—dip galvanizing services in infrastructure, energy and industrial projects," notes Alexander Dunaisky.
At the same time, the director of Metal Invest LLC notes that competition among manufacturers is decreasing, since some of the enterprises have been forced to suspend operations or are working with smaller volumes, although the workload of working manufacturers will grow, since demand will exceed supply.
"There has been a significant increase in demand for structures for the restoration and strengthening of energy networks, overhead transmission line supports, as well as elements for substations. This direction is becoming one of the main ones for manufacturers of metal structures," continues Alexander Dunaisky.
He notes that in such a situation, the metalworking industry not only has limited production capabilities of enterprises, but also a shortage of qualified personnel. Obviously, because of the forced mobilization.
As reported by EADaily, in October, the Russian army launched massive retaliatory strikes on the power system of Ukraine, which led to a significant shortage of electricity in the country, where rolling blackouts began in all regions. Both power plants and substations came under attack, which limited the supply of imported electricity and with Nuclear power plants in Western Ukraine to the center and east of the country.
The operator of the Ukrainian power system said that on November 3, power outages will continue.
"From 08.00 to 11.00 and from 16.00 to 22.00 — from 0.5 to 2 queues. From 08.00 to 11.00 and from 16.00 to 22.00 — for industrial consumers," Ukrenergo reports.