Russian export prices for pig iron have dropped

Russian export prices for pig iron have dropped to their lowest level in five years, hovering around $300 per tonne FOB.

The decline is driven by weak demand in major consuming regions, particularly Türkiye, the main destination for Russian exporters. Other key markets include Italy, China, and India.

European companies nearly exhausted their annual import quota for Russian pig iron during the first quarter of the year, with exports to the EU reaching 697,000 tonnes out of a 700,000-tonne limit.

Another major factor behind the price decline is the oversupply of Chinese finished steel products on the global market, which has put downward pressure on raw material prices.

Russia’s pig iron export volumes have been steadily decreasing. While monthly shipments abroad averaged 331,000–364,000 tonnes between January and April, they dropped to 236,000 tonnes in August and are expected to fall further to around 200,000 tonnes by December.

By the end of 2025, Russia’s total pig iron exports are projected to reach about 2.99 million tonnes, marking a 7% year-on-year decrease. A similar decline of 8% was recorded in 2024 compared with 2023.

Globally, pig iron production between January and August 2025 fell by 1% year-on-year to 931 million tonnes. The top producers remain China (over 579 million tonnes), India (102.2 million tonnes), and Russia (39.5 million tonnes).