Description
SWOT ANALYSIS OF NOVOLIPETSK STEEL
Novolipetsk Steel
Parent Company
NLMK Group
Category
Iron & steel
Sector
Industrial products
Tagline/ Slogan
Strength in steel
A vertically integrated steel business controlling every stage of steel creation from mining to the final stages of steel processing and delivery USP to the customers
STP
Pig iron, semi-finished products (slabs and billets), hot-rolled and coldrolled steel, galvanized steel and pre-painted steel, electrical steel, as Segment well as long products and metal ware
Oil and gas pipelines, ships, buildings and high-pressure vessels, Target Group construction sector, automotive
Producer of clean and durable steel that is used in thousands of Positioning applications that improve everyday lives
SWOT Analysis
1. Balanced portfolio of efficient assets with balance between integrated BOF and scrap-based production route 2. Self-sufficiency in core raw materials 3. Diversified product mix - from flats to longs, from semis to high value added products 4. Investment grade credit rating from major agencies 5. Professional & experienced management team having consistent growth strategy to create value Strength 6. Strong workforce and financial position
1. Weak recovery in developed markets Weakness 2. Dependence on trends in target industries
Opportunity
1. Expanding overall production capacity
2. Launching of pig iron desulphurisation units and ladle furnaces that allow more flexibility in the ultimate chemical content of steel, directly translating into an improved quality and the opportunity for an increased product mix 3. Further enhancement by vertical integration and by improving the efficiency of production 4. Increasing international presence to boost operations
1. Weakening global steel market on the back of the global economic instability 2. Strong competition brought about by the slump in demand Threats 3. Government & Environmental regulations
Competition
1. ArcelorMittal 2. Mechel OAO Competitors 3. OAO Severstal
doc_552139205.docx
SWOT ANALYSIS OF NOVOLIPETSK STEEL
Novolipetsk Steel
Parent Company
NLMK Group
Category
Iron & steel
Sector
Industrial products
Tagline/ Slogan
Strength in steel
A vertically integrated steel business controlling every stage of steel creation from mining to the final stages of steel processing and delivery USP to the customers
STP
Pig iron, semi-finished products (slabs and billets), hot-rolled and coldrolled steel, galvanized steel and pre-painted steel, electrical steel, as Segment well as long products and metal ware
Oil and gas pipelines, ships, buildings and high-pressure vessels, Target Group construction sector, automotive
Producer of clean and durable steel that is used in thousands of Positioning applications that improve everyday lives
SWOT Analysis
1. Balanced portfolio of efficient assets with balance between integrated BOF and scrap-based production route 2. Self-sufficiency in core raw materials 3. Diversified product mix - from flats to longs, from semis to high value added products 4. Investment grade credit rating from major agencies 5. Professional & experienced management team having consistent growth strategy to create value Strength 6. Strong workforce and financial position
1. Weak recovery in developed markets Weakness 2. Dependence on trends in target industries
Opportunity
1. Expanding overall production capacity
2. Launching of pig iron desulphurisation units and ladle furnaces that allow more flexibility in the ultimate chemical content of steel, directly translating into an improved quality and the opportunity for an increased product mix 3. Further enhancement by vertical integration and by improving the efficiency of production 4. Increasing international presence to boost operations
1. Weakening global steel market on the back of the global economic instability 2. Strong competition brought about by the slump in demand Threats 3. Government & Environmental regulations
Competition
1. ArcelorMittal 2. Mechel OAO Competitors 3. OAO Severstal
doc_552139205.docx