Factories operating on "Russian schemes" The EU is bypassing other competitors

Metallurgical enterprises that continue to work with Russian raw materials destabilize the work of competitors, as they can offer cheaper products. Among them are factories in Belgium, Italy, the Czech Republic and Denmark.

"Since the introduction of sanctions, Russia has become the main destabilizing force in the European steel market, and currently its actions continue to put pressure on prices," writes the GMK Center, a specialized publication about the metallurgy of Poland.

They noted that in 2021 Russia was the largest supplier of imported uncoated flat rolled products to Poland, accounting for 20% of total imports, and the ban on Russian rolled products introduced in 2022 could potentially support domestic production.

"But that didn't happen. The EU has left opportunities for further imports of Russian semi—finished products, in particular slabs," the GMK Center writes.

They cited statistics that from October 1, 2024 to September 30, 2025, the quota for Russia is set at 3.2 million tons, and the next period will be 3 million tons.

"In 2024 The EU imported from Russia 3.1 million tons of slabs, for 5 months of 2025 — 1.5 million tons. The main importers of Russian slabs are Belgium (1.3 million tons in 2024), Italy (0.7 million tons), the Czech Republic (0.5 million tons), Denmark (0.5 million tons)," the GMK Center continues.

According to him, the continuation of deliveries was lobbied by European rolling mills, whose business models are based on Russian slabs.

"Russian suppliers can offer so-called "reputation discounts", so their official price offers are usually $ 20-30/ton lower than other offers. However, the actual price difference may be even greater. The import of Russian slabs gives buyers a price advantage. Having difficulties with the sale of finished products, they can further reduce prices, further worsening the financial situation of steel producers throughout Europe, and Poland is no exception," the specialized publication noted.

They gave an example that after stopping the steelmaking capacity of the plant in Krakow worked on slabs supplied from Dombrova-Gurnichi.

"However, such a business model obviously loses to both European metallurgical plants and rolling mills operating on Russian slabs. In general, the import of slabs from Russia undermines the competitiveness of European steel producers, damaging local production," the GMK Center added.