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Activity in Russian steel construction segment down to its lowest over three years

According to Evraz Steel, the industry health ratio in Russia stood at 65.5% as of the end of December 2025, which is approximately 15 percentage points lower than the level in the like period of the prior year

MOSCOW, February 17. /TASS/. The activity in the sphere of steel construction in Russia declined to the minimal values over the last three years, according to the industry health ratio calculated by Evraz Steel experts.

According to the company, the industry health ratio in Russia stood at 65.5% as of the end of December 2025, which is approximately 15 percentage points lower than the level in the like period of the prior year. The situation in the industry continues to be influenced by general macroeconomic factors, particularly the current key rate level and affordability of funds for borrowing. Furthermore, the strong ruble exerts noticeable influence, hindering go-forward decision-making on construction, especially among majors in export-oriented sectors.

The Far Eastern, Northwestern and Siberian Federal Districts keep the highest intensity of building infrastructural and large industrial facilities, the company noted. This is attributed in the first instance to construction at mining facilities, such as Malmyzhsky mining and concentration plant, Tayozhny mining and concentration plant, and Udokan, and to the construction project of the Rosatom shipyard in the Murmansk Region.

The health ratio for the industry also declined in CIS countries from 83.7% in the fourth quarter of 2024 to 65.3% by the end of 2025 amid the economic situation in Russia, as domestic players are investing among others in infrastructural projects in the CIS.

The industry health ratio reflects the share of active steel construction projects among their total quantity and is the forward-looking indicator, the company noted. Based on data as of 2025 year-end, the decline in structural steel consumption will continue in Russia over the next six months and it will plunge in total by 10-15% in 2026.

Evraz Steel analysts draw attention to the proactive price increase in the global non-ferrous metals market among other factors significant for the industry. Construction projects of non-ferrous metals facilities, which are quite a number in Russia, will feel themselves confidently outside of pegging to the ruble rate and the key rate of the Central Bank, which will support the industrial construction market.

The company sees points of growth and opportunities to increase shipments of structural steel in individual segments in the challenging market situation, Evraz market demand development director Dmitry Eremeev said. "Evraz Steel Building increased structural steel shipments by more than 40% to over 72,000 tons as of the end of the last year. In 2026, the company plans to keep the same volume of product sales," he added.

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