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Steel & Metal
- Ukraine -

Trade Between Ukraine and the Czech Republic During the War

After the start of the Russian military aggression, the Czech Republic became an important partner for Ukraine in terms of military supplies and continued to be a traditional supplier of automotive equipment and consumer goods. For Ukrainian mining companies, Czech steel mills have also become more important consumers of iron ore amid difficulties in exporting products to other regions.

In 2023, Ukrainian exports in physical terms exceeded imports from the Czech Republic 12 times, while in monetary terms they were 44% lower. This ratio indicates that Ukraine mainly supplies the Czech Republic with raw materials. The largest items of Ukrainian exports in 2023 were iron ore ($349 million or 85% of exports in physical terms), cable ($157 million), rapeseed ($32 million) and sugar ($20 million).
The largest items of imports from the Czech Republic are "other products" ($540 million), which can be understood as military goods, automobiles ($139 million) and auto bodies ($45 million), energy equipment ($56 million), cleaning ($42 million) and hygiene ($39 million) products.

Due to the loss of capacity and reduction of domestic production, Ukrainian exports of iron and steel products to the Czech Republic in 2023 compared to 2021 decreased by 24% – to 3.8 million tons, in monetary terms – by 48%, to $394 million. Iron ore prevails in the structure of Ukrainian exports of iron and steel.

The prospects for increasing exports of Ukrainian iron ore to the Czech Republic look partly uncertain amid difficulties in the work of the largest steel producer in the country – Liberty Ostrava, which has not operated since the end of 2023 and is actually bankrupt.

Compared to pre-war 2021, Czech exports of iron and steel products to Ukraine in 2023 decreased by almost 90% – from 160 thousand tons to 19 thousand tons. Export revenues for the same period decreased to $25 million. The country did not take advantage of the deficit of metal products in Ukraine to increase supplies, as Poland did.

Overall, trade between Ukraine and the Czech Republic is complicated by the poor capacity of transportation crossings on the border with Slovakia and the almost six-month blockade of border crossings on the border with Poland.

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