Currency Collapse: Ukraine's Ferroalloy Export Plummets Nearly 70% in Seven Months of 2026

Ukraine's metallurgical industry has faced an unprecedented crisis in the first half of 2026. As of the end of the first seven months of the current year, ferroalloy exports have decreased by 69.6% compared to the same period last year. According to calculations by the GMK Center analytical agency, based on data from the State Customs Service, the volume of supplies fell from 63.5 thousand tons in January-July 2025 to 19.3 thousand tons in 2026. This decline signals a systemic failure in logistics chains and threatens the stability of the entire mining and metallurgical sector.

Financial Blow: Revenue Drops Threefold

The economic consequences of the reduction in export volumes have been catastrophic for currency inflows into the country. Export revenue from ferroalloy sales for the first seven months of 2026 amounted to only $23.2 million, which is almost three times less than the figure for the same period in 2025 ($71.3 million). The trend is worsening with each month: in July of the current year, revenue was $5 million, which is 36% less than in June and 52% lower than in July 2025. Such a trend creates a serious shortage of foreign currency needed for importing equipment and raw materials.

Logistical Deadlock and Tariff Hikes

Analysts note that the sharp drop in exports occurred even before the implementation of a number of new restrictive measures, such as port blockades and a 30% increase in tariffs by 'Ukrzaliznytsia'. However, experts forecast that in the coming months, the statistics will demonstrate an even deeper decline. The combination of logistical problems, rising transport costs, and general instability in the region has forced enterprises to scale back production. Without established sales channels and accessible logistics routes, metallurgy is losing its profitability.

Systemic Crisis in the Mining and Metallurgical Sector

The decline in ferroalloy exports is taking place against the backdrop of a general deterioration in the indicators of the entire mining and metallurgical sector of Ukraine. In January-July 2026, iron ore exports also decreased by 27.3% compared to the previous year, reaching a mark of 13.9 million tons. Experts warn that the current situation will lead to a critical reduction in currency inflows into the country and may trigger the shutdown of up to 50% of the mining and metallurgical industry. This threatens not only economic losses but also mass social consequences in industrial regions.

Contradictory Data

While the main figures regarding export volume and revenue are confirmed by GMK Center calculations and State Customs Service data, there are discrepancies in the assessment of the causes of the crisis. Official sources focus on external factors and military actions, while independent experts point to internal logistics policy and tariff regulation as key brakes. Furthermore, some analysts believe that current figures may be underestimated due to the redirection of flows through alternative routes, which are not always recorded in standard customs statistics.