Customer focus

EVRAZ remains focused on executing its development projects aimed at diversifying its product portfolio.

In 2020, the customer focus programme generated an EBITDA effect of US$234 million.

Customer focus programme EBITDA effect in 2020, US$ million

Steel segment

2020 key initiatives and results

  • Continued to develop a programme aimed at promoting demand for beams and structural products in construction and improving the availability of products to clients.
  • A 10% year-on-year increase in beam sales despite the reduction in demand for other products amid the COVID-19 pandemic.
  • Launched a project to sell beam sets for constructing buildings such as car parks, logistical centres and industrial facilities.
  • Launched a hub in Nizhny Tagil to improve availability of beams for customers.
  • Launched a metal service centre in Noginsk.
  • Ensured consistently high production volumes at EVRAZ Caspian Steel amid solid demand in Kazakhstan and Central Asia despite the pandemic.
  • Launched an initiative to digitalise sales channels, including the following key projects:
    • Steel Radar: an online resource that shows beam inventories in traders’ warehouses and enables purchase orders to be placed.
    • EDI/EDO: EDI is a platform for placing orders and handling administrative tasks like amending documents and invoices, while EDO is a platform for exchanging legal documents.
    • EVRAZ Webshop: a single e-commerce platform for all types of customers.
  • In the vanadium business, EVRAZ further expanded its customer base in Asia and the Middle East and North Africa (MENA) region.
  • EVRAZ established a new research and development centre at East Metals, a Group subsidiary in Switzerland, the main objective of which is to support the sustainable and diversified use of vanadium as an alloying element in current and future steel products.
  • Developed a new product, threaded rebar, which helps to reduce construction time.
  • Laid pilot batches of a unique new product, type DT400IK rails, for testing on the East Siberian and Trans-Baikal railways.

2021 key initiatives

  • Expand the range of steel solutions for construction industry.
  • Implement new phase of "Customer service" projects.
  • Continue digitalisation of sales channels.
  • Implement Digital transformation projects for clients.
  • Continue consumer properties assessment for DT400IK rails.
  • Certify the DT370 rails.

Coal segment

2020 key initiatives and results

  • Increased sales volumes under the long-term contracts despite the reduction in global demand amid the pandemic.
  • Increased the share of internal coal supplies to the Group’s assets in Russia to 78%.

2021 key initiatives

  • Increase sales under long-term contracts to premium markets.

Steel, North America segment

2020 key initiatives and results

  • Continued commercialisation of APEX G2 rail and rubber reinforcement rod/bar products.
  • Expanded our leadership position in the North American rail market (achieved 48% share).
  • Strengthened Quality organization and management systems across North American sites.
  • As part of the EVRAZ Pueblo new rail mill project, continued partnership with Xcel Energy and Lightsource BP, who have commenced construction of the new solar field adjacent to the mill and will provide about 90% of EVRAZ Pueblo’s electricity.

2021 key initiatives

  • Continue focusing on developing new products and applications across all product lines.
  • Continue enhancing and expanding R&D capabilities to meet customer demand.
  • Grow share of our rod product on the Aluminium Clad Steel Reinforced (ACSR) market.
  • Continue roll-out of enhanced quality and risk management practices and tools across North America.