Magnitogorsk Iron and Steel Works (MMK) plans to reduce its management personnel by 10% and halt new investment projects, according to Reuters.

Currently operating at only 60% capacity, the company faces a sharp decline in orders from the construction, energy, and automotive sectors. High interest rates and external trade restrictions have strained the industry, forcing leadership to prioritize efficiency over expansion.

CEO Pavel Shilyaev said that the current situation is difficult, noting that the company must align its workforce with reduced production levels.

Although environmental and efficiency upgrades will proceed, all other capital expenditures remain suspended.