Russian integrated steelmaker Severstal acquired 100pc shares of Sintez CIP, a prominent producer of carbonyl iron powder in Russia and the CIS region.
Carbonyl iron powder is used for the manufacture of electronics and appliances for the automotive and mechanical engineering industries. Severstal believes this strategic acquisition helps expand its product portfolio for unique market solutions.
In 2019, Sintez produced 1,500mt of finished goods and around 95pc of the company’s revenue was from exports.
Severstal produced 11.8mn mt of steel and 11mn mt of pellets in 2019. The company expects Russia’s construction sector to remain a key steel demand driver in 2020 supported by National projects investments. Russia plans to invest in infrastructure to boost the country’s ailing economy.