Russia's steel industry is facing a severe crisis, exacerbated by the Ukraine war and domestic policy decisions. Companies are struggling with high interest rates and Western sanctions, while a shortage of labor, diverted to the war effort or war economy, further impacts production. Steel producers have reported significant declines in revenue and EBITDA, alongside payment delays, reduced working hours, and job cuts. Despite efforts by Deputy Prime Minister Alexander Novak to support the sector, which is crucial for the Russian economy and a major global steel producer, challenges persist. Factors like a strong ruble and high interest rates are hindering exports and domestic demand, leading to a precarious situation for the industry.