Analysis of the Current State and Forecast of Cast Iron Production in Russia

Abstract

The purpose of the study is to analyze the current state of the cast iron production and to predict production volume and cost in the near future based on the analysis results. Cast iron is one of the most common materials used in various industrial sectors. Cast iron scrap processing is the least expensive and saves both money and time. It is produced both in Russia and abroad and is one of the export types. Cast iron production significantly influences other industrial sectors. All this confirms the relevance of the study. The novelty of the study consists in the identification of the leaders among the cast-iron producers in the world and Russian metallurgical companies, as well as the determination of trends in its production at the present stage of economic development. The increasing consolidation level of cast iron producers has been revealed: China, India, Japan, and Russia represented 85% of the cast iron global production in 2019. In Russia, nine metallurgical companies account for 80% of cast iron production. In general, cast iron production in the world is stable and the import share of cast iron is about 4%. Cast iron prices tend to decline. The work identifies the lower and upper limits of the possible range of the cast iron prices. The authors conclude that the declining prices of cast iron in Russia may make its production unprofitable.