Severstal records increased demand in construction sector in June, confirms forecast of 7% decline in Russian metal consumption in 2026

MOSCOW. July 20 (Interfax) - Tough monetary policy continues to constrain demand for steel in Russia, with Russian metal consumption falling 7.5% year-on-year in the first half and 3.5% in the second quarter, Severstal said in a statement .

The rates of decline did slow somewhat compared with the beginning of the year - in June, the company recorded a slight increase in demand in the construction sector, supported by the implementation of infrastructure projects and government programs. Taking this into account, Severstal confirms the forecast of a 7% decrease in Russia's metal consumption in 2026.

"If the current macroeconomic situation continues in the second half, we forecast that steel demand on the domestic market will gradually stabilize. The company will continue to focus on lowering the cost of sales, developing high value-added products and implementing strategic investment projects on time," the press release reads.