Russia Orders New Support Measures for Metallurgy and Coal Industries

Russia's cabinet has ordered the preparation of fresh support measures for two of the country's heaviest industries — metallurgy and coal mining — following a meeting of the subcommission on increasing the stability of the financial sector and individual branches of the economy. Deputy Prime Minister Alexander Novak instructed the Industry and Trade Ministry, the Finance Ministry and, jointly, the Economic Development Ministry to work through the initiatives of the largest companies and prepare support measures for the development of the metallurgical and coal sectors, the cabinet's press service said in a statement published on August 28.

"The question of fine-tuning sectoral support measures requires a weighed approach by the supervising departments. Monitoring of the situation, as well as the introduction of new mechanisms, must be conducted on an ongoing basis. This will allow not only assessing the effects of their implementation but also promptly introducing new approaches for the uninterrupted functioning of the industries," the cabinet press service quoted Novak as saying.

Metals: logistics improve after earlier decisions

Participants of the meeting reviewed the current situation in the production of ferrous and non-ferrous metals. Industry representatives noted an improvement in logistics for the uninterrupted delivery of metallurgical sector products to the domestic market and for export, achieved as a result of decisions previously adopted at the subcommission. A representative of the Energy Ministry also reported on the situation in the coal industry, according to the cabinet's readout of the meeting.

The July coal relief package

The new instruction builds on measures already in force. In July, the Russian government approved a support package for the coal industry that provides for a deferral of payments of the mineral extraction tax and of insurance contributions until November 30 inclusive. In addition, until the end of autumn, no recovery actions will be applied against coal companies over tax debts and insurance contribution debts that had accumulated as of June 1, 2025. Debtor organizations against which bankruptcy proceedings have been initiated are the exception to that moratorium.

• The Industry and Trade Ministry, Finance Ministry and Economic Development Ministry are to prepare support measures for metallurgy and coal
• Coal companies received a deferral on mineral extraction tax and insurance contributions until November 30 inclusive
• No recovery of tax and insurance debts formed by June 1, 2025 until the end of autumn
• Companies in bankruptcy proceedings are excluded from the debt moratorium

The subcommission's agenda shows how Russia has moved to standing, sector-by-sector crisis management for industries squeezed by weak demand and high borrowing costs: monitoring is to be continuous, and new mechanisms are to be introduced as the effects of existing ones become visible. For metallurgy, the immediate gain reported to the subcommission was logistical — smoother uninterrupted supplies to domestic buyers and exporters — while for coal the relief remains fiscal, with tax and contribution deferrals running into late autumn. The next step, per Novak's instruction, is a consolidated package of development measures for both sectors, drafted from the initiatives of their largest companies and coordinated across three ministries.