US Steel Kosice reduced steel production by 7% y/y in 1H2026

Steel shipments during the same period fell by 8% y/y

The Slovak steelworks US Steel Košice (USSK) reported a 7% year-on-year decline in steel production for the first half of 2026, to 1.79 million short tonnes, whilst its capacity utilisation rate fell by 5pp – to 72%. Steel shipments fell by 8% year-on-year to 1.58 million short tonnes, according to Kallanish.

At the same time, net revenue for the first six months rose by 6% year-on-year to $1.49 billion, driven by exchange rate fluctuations, higher selling prices and a favourable sales mix. Half-year EBITDA jumped by 40% year-on-year to $108 million.

In the second quarter, USSK reduced steel shipments by 6% year-on-year to 807,000 short tonnes. Steel production fell by 4% year-on-year to 923,000 short tonnes, whilst capacity utilisation fell by 3pp – to 74%.

Despite the fall in production and supply volumes, the company’s net revenue in the second quarter rose by 3% year-on-year to $772 million. The main drivers of this growth were higher average selling prices for most product types, as well as the strengthening of the euro against the US dollar. EBITDA rose by 52% year-on-year to $64 million. The trend was positive despite rising raw material costs (notably due to the revaluation of inventories and adjustments to CO₂ emission charges) and an increase in operating expenses of approximately $15 million.

At the same time, large-scale corporate and structural changes are underway at the company. From 1 October, Nippon Steel will bring USSK under its direct management and rename the division Nippon Steel Slovakia. The Japanese corporation aims to capitalise on the tightening of import regulations in the European Union and the high concentration of automotive industry customers in Central and Eastern Europe. Furthermore, in May, the company submitted an application to the regulatory authorities for permission to install an electric arc furnace at the Košice plant, which currently operates three blast furnaces (one of which is currently shut down).

As reported by GMK Center, the Japanese corporation Nippon Steel (owner of US Steel) recorded a net profit of 44.75 billion yen ($283.52 million) for the 2025/2026 financial year, compared with 383 billion yen a year earlier. At the same time, net sales rose by 15.7% year-on-year to 10 trillion yen ($63.7 billion), up from 8.70 trillion yen in the previous financial year. The company’s operating profit fell by 55.7% year-on-year to 242.9 billion yen ($1.54 billion).