Following the order of Head of Russian Government Vladimir Putin, a governmental committee on the metallurgical industry development has been set up. The committee is chaired by Vice Premier Igor Sechin.

One of the committee members, MMK Management Company’s President and BOD Chairman of Magnitogorsk Iron & Steel Works (MMK) Viktor Rashnikov said the new body was essential to solving the industry’s problems. He feels this industry has been affected by the crisis the most, so it’s important for the government and the major market players to come up with a coordinated crisis-defying strategy. The metallurgical industry is a source of 1.5 million jobs at the moment, so many regions and the so-called monocities’ well-being depend heavily on this sector’s prosperity, he says.

‘Things have grown less chaotic by now, with many companies adapting to the new conditions and getting their loans from the state bank. However, there is still a lot yet to be done in the field of tariffs, taxes, and demand stimulation. It is the government that can support the sector greatly by placing more orders and offering preferential terms to companies investing in import-replacing projects (like MMK’s Mill 5000, for example). I am positive that the metallurgical enterprises’ and the government’s joint efforts will help us take the industry out of trouble,’ Rashnikov noted.