---
title: "Blockade of Sea Routes: How Attacks on Ports Paralyze Ukrainian Iron Ore Exports"
description: "Attacks on ports have paralyzed Ukrainian ore exports: plants are shutting down, and budget losses reach $700 million annually. The sea channel, which provided half of the supplies, is blocked, while alternative routes have proven unprofitable. 🚢📉"
date: 2026-08-05T09:28:00.000Z
lang: en
url: https://xab.info/en/posts/blockade-of-sea-routes-attacks-on-ports-paralyze-ukrainian-iron-ore-exports
tags: [ukraine, iron-ore, ports, ferrexpo, metinvest]
publisher: "XAB.info"
---

# Blockade of Sea Routes: How Attacks on Ports Paralyze Ukrainian Iron Ore Exports

![Cargo ships with ore in a Ukrainian port, ready for loading but blocked due to attacks on sea routes](https://xab.info/media/2026/08/05/blokirovka-portov-ekspart-rudy/blokirovka-portov-ekspart-rudy-1.webp)

Ukraine's maritime export of iron ore has been paralyzed. The consequences of Russian attacks on the port infrastructure of Greater Odesa have led shipowners to massively cancel voyages, while the largest pillar mining and enrichment plants (MEC) are forced to halt production.

### Logistical Collapse and Plant Shutdowns

The situation began to deteriorate after July 22, when ship access to Ukrainian ports was suspended. The cause was regular attacks on port infrastructure and merchant vessels. As a result, one of the vessels carrying Ferrexpo products was damaged by drones, leading to the death of a crew member.

Ferrexpo officially announced the inability to resume maritime exports in the near future. This triggered a chain reaction in the industry. The Poltava MEC decided to suspend operations from August 3. The reasons were not only logistical deadlocks but also the government's increase in freight tariffs for "Ukrzaliznytsia". A similar statement on halting production was made by the Southern MEC. Other industry enterprises are already expecting a forced reduction in extraction volumes.

### Economic Losses and Alternative Routes

Experts estimate that in the first half of the year, about 50% of all Ukrainian iron ore products were shipped via the sea. This amounts to approximately 1 million tons per month, the bulk of which was destined for China.

Economist Iryna Kosse emphasizes: "The sea is Ukraine's main gateway to trade. It is impossible to replace this channel; it can only be partially relieved by other routes." However, alternative routes via the Danube, Poland, Romania, and Bulgaria have limited capacity and are significantly more expensive. Given current global ore prices and rising railway tariffs, such shipments often become unprofitable.

Stanislav Zinchenko, head of GMK Center, notes that in 2022, exports via European ports were possible thanks to high raw material prices. Now, however, the rise in operational and transport costs makes such routes economically unviable. An additional risk factor is weak demand in Europe and the suspension of some traditional consumers of Ukrainian ore.

### Scale of Budget Damage

According to analysts, due to the reduction in iron ore exports alone, Ukraine could lose $60–70 million (approximately 2.7–3.1 billion hryvnias) in foreign currency revenue monthly. Annually, the damage will amount to $700–800 million (more than 31–35 billion hryvnias). Output in the iron ore sector could drop by 40%.

The situation is exacerbated by new regulatory measures: the CBAM mechanism, the introduction of EU quotas on Ukrainian steel, and military risks. Dragon Capital notes that the industry is only entering a difficult period, as the full effect of new restrictions has not yet manifested.

Representatives of "Metinvest" stated in a comment to the publication that restoring safe port operations must become one of the key state priorities. Without restoring navigation, Ukraine risks losing a significant portion of exports, tax revenues, and foreign currency earnings, while industry enterprises risk long-term downtime.