Due to the impact of the war between Russia and Ukraine, the production of the two major steel exporting countries was affected. European steel prices soared 22% last week, reaching a new high since August last year.

 As the war threatens the supply of these two commodity producing countries, according to kallanish commodities, the benchmark price of steel in Europe soared 22% last week to 1160 euros (about US $1257) per ton, the highest since last August.

 Ukraine's steel producers, including ArcelorMittal and metinvest holding, have been forced to stop production due to the war. Ukraine is usually one of the five largest producers of steel exported to the EU, and its supply interruption will make the steel market more tense.

 On the other hand, Russian steel companies are also facing the dilemma of exporting to the EU. After Alexei mordashov, the Russian metal king, was sanctioned by western countries, his Steel Company Severstal PJSC suspended sales to Europe, which is the company's largest export market.

 After last year's record rise in metal prices, manufacturers and builders are afraid that the metal prices pushed up again due to the impact of the war will bring greater harm to them. In addition, if the rise in energy prices causes European steelmakers to further reduce production, the market supply situation will worsen.