Ukrainian parliament to ban privatization of steel giant

I don’t know enough about Ukrainian politics to understand why it needed 2 bills that sound the same (there was also a regulation On Keeping Krivorozhstal’s Shares in the State Sector that passed). But this is a huge reversal in a drama that’s been going on for over a year now …

Ria Novosti

Ukraine’s parliament passed a bill banning the privatization of Krivorozhstal, the country’s largest steel mill, in the first reading Tuesday.

The bill, which passed with 256 votes, 30 more than required, must undergo a second reading.

The parliamentarians also approved a draft bill to impose a moratorium on the privatization of Krivorozhstal, which accounts for 20% of Ukraine’s steel market.

How to resolve this news with the following?

Three Companies Bid for Ukraine’s Biggest Steel Mill, Government Says

KIEV, Ukraine (AP) — Three companies have submitted applications to participate in next week’s auction of Ukraine’s biggest steel mill, the State Property Fund said Monday as the deadline to participate expired.

Other European Steel news (well, views, I guess):

MEPS thinks the new German government isn’t going to help industrial growth (and therefore steel).

The formation of a “grand coalition� government in Germany has left economic commentators unimpressed. Many believe decisive and radical action is needed to spur industrial growth – and, with it, steel consumption. But a coalition government – composed of left and right wing parties who have little in common – could see compromise, indecision and even paralysis.

Once the powerhouse of the European economy, Germany has been floundering. National finances have deteriorated as stagnation took hold. More than 10 percent of the workforce is unemployed. At the recent election, the conservative Christian Democrat Union leader Angela Merkel campaigned on a platform of radical reforms of tax and the labour market. However, voters failed to back her in sufficient numbers and left no single party with enough seats in the Bundestag to take power.


So the economic outlook for Europe’s largest steel producing and consuming country remains distinctly lacklustre. Steel demand this year was already forecast to be down by more then 3 percent compared to last year

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