Russia's steel industry is facing a severe crisis, exacerbated by the Ukraine war and internal political decisions. Companies are struggling with high interest rates and Western sanctions, while a shortage of personnel, diverted to the front or war economy, further impacts production. Forbes Russia reports significant declines in revenue (16%) and EBITDA (50%), alongside payment delays, reduced working hours, a 30% drop in investments, and the loss of approximately 3,000 jobs. Deputy Prime Minister Alexander Novak acknowledged the sector's potential for productivity gains, with further support discussions planned with Denis Manturov. Despite being a key economic sector and historically a major global steel exporter, production has fallen from 71.1 million tons in 2015 to 67.8 million tons in 2025, contrasting sharply with China's growth. High profit margins had previously cushioned the impact, but a strong ruble and high interest rates are now hindering exports and domestic demand, making it difficult to cover costs.