Reuters reported that ArcelorMittal's Ukraine unit, the largest steel mill in the country, expects a 20% reduction in output this year and will cut investments on lower demand.

Mr Jean Jouet CEO said steel output at the Kriviy Rih plant would fall to 5 million tonnes this year from 6.2 million tonnes in 2008.

He said that "In November we shipped around 250,000 tonnes for a plan of more than 500,000. So, if the trend goes this way this year, we should reach 5 million tonnes."

Mr Jouet said investments this year would be "significantly lower" and that the company would concentrate on short-term projects that will reap benefits quickly. He did not specify any figures.

(Sourced from Reuters)