MagnitogorskIron and Steel Works (MMK) and the government of the Samara Region have agreed to build a production and logistics centre in Togliatti. Investments in the facility will reach RUB 1.2 bln. 

The agreement was signed during the St. Petersburg International Economic Forum (SPIEF). The Governor of the Samara Region Dmitry Azarov, Chairman of the Board of Directors of MMK Victor Rashnikov and MMK CEO Pavel Shilyaev were all present at the signing of the agreement.

"The Samara Region is a long-standing and reliable partner of MMK. MMK's modern, innovative metal products are in high demand in the local automotive industry, which is one of the foundations of Russian engineering. The new production and logistics centre will consolidate MMK's strategic partnership with automakers in the region and will allow us to reach a new level of cooperation," Pavel Shilyaev said.

Construction of the centre is planned to start at the end of this year and due to be completed in the first quarter of 2021. It will be able to accommodate up to 150,000 tonnes of steel products at any one given time. The centre will fully meet the automotive industry’s needs for the supply of MMK's high-quality rolled products and will consolidate the Company's leading position in the automotive industry’s metal market.

About MMK

MMK is one of the world's largest steel producers and a leading Russian metals company. The company's operations in Russia include a large steel-producing unit encompassing the entire production chain, from the preparation of iron ore to downstream processing of rolled steel. MMK turns out a broad range of steel products with a predominant share of high-value-added products. In 2018, the company produced 12.7 mln tonnes of crude steel and 11.7 mln tonnes of commercial steel products. MMK Group had sales in 2018 of USD 8,214 mln and EBITDA of USD 2,418 mln.

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