Ukraine's Iron Ore Exports Surge to 33.7 Million Tons in 2024, Driven by Sea Corridor Reopening

 Ukraine's Iron Ore Exports Surge to 33.7 Million Tons in 2024, Driven by Sea Corridor Reopening

Ukraine's iron ore exports saw a dramatic rebound in 2024, rising by 89.9% year-over-year (y/y) to reach 33.7 million tons, according to data from the State Customs Service. The resurgence is attributed to the reopening of the sea export corridor in August 2023, which restored logistical feasibility and access to key markets.

Export Performance and Key Destinations

Export volumes throughout the year were relatively stable, averaging between 8.5 and 9.3 million tons per quarter, except for a Q3 dip due to weak global demand.

• Q1: 9 million tons (+146.2% y/y, +76.3% quarter-over-quarter [q/q])
• Q2: 9.31 million tons (+99.5% y/y, +3.4% q/q)
• Q3: 6.93 million tons (+60.5% y/y, -25.5% q/q)
• Q4: 8.45 million tons (+65.4% y/y, +21.8% q/q)

China remained Ukraine’s largest market, receiving 15.09 million tons, followed by Slovakia (4.97 million tons) and Poland (5.09 million tons). Resuming shipments to China was crucial, as pre-war exports to the country accounted for 40% of Ukraine's total iron ore shipments.

In December 2024, Ukraine exported 3.449 million tons, marking the highest monthly figure since February 2022. This represents a 114.6% increase y/y and a 40.2% rise month-over-month (m/m). Key contributors included:

• China: 2.05 million tons (+101% m/m)
• Slovakia: 518.14 thousand tons (+34.1% m/m)
• Poland: 395.24 thousand tons (-3.3% m/m)

Revenue Growth and Industry Resilience

Revenue from iron ore exports reached $2.8 billion in 2024, up 58.7% y/y. December revenues alone were $273.06 million, reflecting a 91.6% y/y increase and a 45% m/m growth.

The Ukrainian iron ore industry, severely impacted by the war, saw exports halved in 2023 compared to pre-war 2021 levels. However, 2024's rebound highlights resilience and adaptability, particularly through renewed access to the Chinese market.

Andriy Glushchenko, an analyst at GMK Center, emphasized the strategic importance of maintaining exports to China to sustain the iron ore sector during the ongoing conflict.

Leading Producers and Future Prospects

Ukraine's main iron ore producing countries include Ingulets Mining,Kryvyi Rih Iron Ore Enrichment Plant, Poltava Mining, Yeristovo Mining,Northern Mining, Central Mining, Southern Mining, ArcelorMittal Kryvyi Rih, Sukha Balka, Rudomine.