Russian mining and steel group Mechel reported a 27% quarter-on-quarter decline in coal production for the first quarter of 2025, totaling 2.1 million tonnes. The drop was attributed to cooling demand for coking coal, which pressured domestic prices to multi-year lows.
In response, Mechel adjusted its production plans and implemented cost-cutting measures across its coal mining operations. Despite the decline, the company saw a 14.2% increase in coking coal concentrate sales, with third-party sales rising 23.4% quarter-on-quarter.
Industry analysts note that Mechel continues to explore new market opportunities amid ongoing sanction restrictions, aiming to stabilize its coal segment in the coming months.
