In 2020, Magnitogorsk Iron and Steel Works (MMK) shipped 745,500 tonnes of steel products in specialised containers, up 220% compared to the previous year.

Today, the transportation of rolled metal products in open and closed containers is one of the key trends among Russia's leading steel companies, and MMK pays great attention to developing in this area. Among the main advantages of using containers for transportation of steel products are simplicity, convenience and speed of unloading fr om specialised containers compared to open containers, moreover there is no need to unload, store and load multi-trip fasteners (frames) used with open containers, thus reducing the consignee's costs. In addition, the use of containers improves service levels by organising multimodal delivery schemes directly to the consignee's gate, thereby enabling the delivery of small consignments to points wh ere there are no proprietary railway lines.

But most importantly, containers provide additional protection of metal products from mechanical impact and damage during transportation and handling operations, and in the case of closed containers, they also protect the products from atmospheric precipitation. Ensuring that the cargo is secure helps to meet customers’ quality requirements for the delivered products.

Client focus is one of MMK's key strategic initiatives. "In today's environment, it is not enough just to produce quality products that are in demand in the market. The development of customer services is becoming increasingly important. That is why we pay great attention to the digitalisation of sales channels, the development of logistics through the creation of remote warehouses and the implementation of a distribution strategy, and to ensuring the secure delivery of steel products to the customer," said MMK CEO Pavel Shilyaev.

MMK currently only ships coils in containers. In April, the share of rolled products shipped in containers should account for 16% of total coil shipments. Within three months, MMK expects this figure to increase to 20%.

Coils are loaded into containers directly in the shops at MMK's production site.

MMK ships its products in containers in all directions: to the Russian and CIS markets, as well as for export to non-CIS countries (with delivery up to ports). The main recipients of MMK’s steel products in containers are automotive companies, pipe makers, equipment manufacturers and regional warehouses. Among other destinations, products in containers are delivered in small batches to MMK Trading House's warehouses using multimodal delivery schemes.