In the past week, two of Russia’s largest steel producers have posted earnings showing losses of up to – 89%, as Magnitogorsk Iron and Steel Works (MMK) and Severstal reported collapsing profits, falling revenues, and negative cash flow for the second quarter and first half of 2025. The reports confirm that Russia’s once-dominant steel industry is now grappling with structural decline under the weight of sanctions, rising costs, and a shrinking domestic economy.