Severstal reduces capital expenditures amid declining demand

Severstal has adjusted its 2026 budget due to a 31% decrease in steel demand since the beginning of 2024. Repair fund expenses have been reduced by 14%, administrative expenses and labor costs have been reduced by 5%, and capital expenditures have been reduced by 24% compared to the previously announced target of ₽147 billion. However, the company will continue to implement major strategic projects that will contribute to its future competitiveness, such as the construction of an iron ore pellet production facility.