Currently, SIJ Group is not experiencing any specific consequences due to the developments in Ukraine. We have sufficient raw material stocks and orders, so our production and business processes are running normally.
On a global level, we can certainly expect a rise in the prices of some raw materials on the world markets and delays in deliveries, as well as a further increase in the price of energy products, but we are managing these risks and our production is uninterrupted.
SIJ d.d. is a Slovenian company with a co-ownership stake held by the Republic of Slovenia. There are no Russian companies in the ownership structure and the persons in charge have no political links with the Russian authorities and are not subject to any sanctions. Our financial resources do not include Russian banks and we have no problems with payments. The impact of current and possible new sanctions on our business will be the same as for the European and global economy as a whole.
Russia and Belarus are relatively small markets for SIJ Group, where we generate a good 2% of our sales revenue. We have not and do not supply steel or steel products for use in the military industry to Russia and Belarus.
We are, of course, closely monitoring the situation and the potential impact of current and announced sanctions. The level of uncertainty is high for the European economy as a whole and we cannot foresee all the consequences at this point. We have proven on several occasions that we are a reliable and flexible business partner, and we are confident that this will continue to be the case in the face of these unpredictable events.