Kazakhstan to Enforce Steel Billet Export Ban

Kazakhstan Implements Six-Month Steel Billet Export Ban

Kazakhstan is set to enforce a six-month ban on steel billet exports to foster growth in local steel manufacturing. The Ministry of Industry and Construction has drafted a decree that will regulate the export of billets. This draft is open for public discussion until June 11, 2025. The ban aims to strengthen the country’s ability to produce higher value-added steel products.

Under the decree, the export of iron and unalloyed steel in ingots or other primary forms, including semi-finished products, will face restrictions for the next six months. The ban will apply to all transportation methods, signaling a shift in Kazakhstan’s approach to its steel market.

Impact on Kazakhstan’s Steel Industry

Kazakhstan’s steel industry has shown positive growth recently. From January to April 2025, metallurgical enterprises increased steel production by 9.1% year-on-year, reaching 1.41 million tons. Notably, flat product production rose by 14.8%, totaling nearly 958 thousand tons.

The ban is expected to boost local production, especially in the downstream and finished steel sectors. By limiting billet exports, Kazakhstan plans to encourage steelmakers to focus on producing higher-value products. This policy aligns with the government’s goal of increasing the added value of steel production and improving Kazakhstan’s competitiveness in the global steel market.

A Step Toward Advanced Steel Manufacturing

Kazakhstan’s steel industry has made significant strides in production. In April 2025, the country produced 369.63 thousand tons of steel, marking a 1.2% increase compared to March and a 5% rise compared to April 2024. Finished steel output remained steady at 246.54 thousand tons month-on-month. This growth shows Kazakhstan’s dedication to strengthening its domestic manufacturing capabilities.

In 2024, the steel industry posted impressive numbers, increasing total production by 9.5% to 4.17 million tons. Flat product production surged by 18.2%, reflecting successful efforts to boost steel output. Plants such as Qarmet Iron and Steel Works exceeded production targets in steel, coke, sinter, and long products.

SuperMetalPrice Commentary:

Kazakhstan’s move to ban steel billet exports signals a turning point for the country’s steel industry. By focusing on local production of value-added steel, Kazakhstan is positioning itself as a stronger player in the global market. As demand for high-quality steel rises internationally, this policy could enhance the country’s long-term industrial growth. The shift from exporting raw materials to producing finished products aligns with broader global trends in the steel industry, where high-value steel products are in increasing demand.