Reuters cited Mr Sergei Nosov GD of RusSpetsStal as saying that Russian Technologies' RusSpetsStal steel unit has cut finished steel production at its core Krasny Oktyabr plant to 25% of 2008 levels.

Mr Nosov said "This year our average monthly production of finished steel is about 10,000 tonnes, adding that last year the plant in Volgograd had a monthly output of 40,000 tonnes.”

Mr Nosov said that his company plans to retain current staffing levels. He said that "We have not laid anybody off. We are trying not to repeat the experience of Pikalyovo."

Russian steel companies have cut production sharply, starting in the fourth quarter of last year as orders from crisis hit sectors such as construction and automobile production dried up. According to state statistical agency Rosstat, Russia's April crude steel output fell almost 30%YoY.

(Sourced from Reuters)