MMK and ChelPipe agree to continue cooperation
The dialogue on strategic collaboration took place within the framework of the 13th Coordination Council of ChelPipe Group and MMK. Representatives of commercial, production, technical and logistics departments took part in the meeting held at the ChelPipe site.
"MMK is a long-standing and reliable supplier of metal for our company's plants", said Alexander Golodyagin, Head of Strategic Cooperation, ChelPipe Group. "Every year, MMK's steel sheet accounts for more than 50% in ChelPipe's order structure, rolled steel accounts for more than 70%. That is why, interacting with a key partner is so important for us. Continued cooperation between specialists, constructive dialogue, regular meetings and coordination councils allow us to find "bottlenecks" in our work and promptly respond to market demands".
"The partnership between MMK and ChelPipe contributes not only to the effective work of our companies which are large Ural enterprises," said Nikolay Lyadov, Deputy General Director for Sales of MMK. "Our joint work, which pays special attention to the issues related to product quality, allows us to properly fulfil the orders of leading Russian companies. The importance of these projects for the Ural region and for the Russian economy as a whole cannot be overestimated. Therefore, the requirements for the producers of the entire production chain are also high – and we must meet these requirements."
Following the results of the Coordination Council, metal and pipe manufacturers agreed to declare 2019 to be The Year of Quality and to pay special attention to the development of new products with improved operational, technical and quality characteristics for joint participation in major infrastructure projects. In particular, ChelPipe and MMK will be engaged in the development of new brands of rolled sheet products and pipes, as well as technologies for the production of stainless steel and corrosion-resistant steel. The next meeting is scheduled for Q2 2019.
MMK is one of the world's largest steel producers and a leading Russian metals company. The company's operations in Russia include a large steel-producing complex encompassing the entire production chain, from the preparation of iron ore to downstream processing of rolled steel. MMK turns out a broad range of steel products with a predominant share of high-value-added products. In 2017, the company produced 12.9 million tonnes of crude steel and 11.6 million tonnes of commercial steel products. MMK Group had sales in 2017 of USD 7,546 million and EBITDA of USD 2,032 million.
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