An industry announcement from the sulfuric acid conference in Moscow highlights a worrying trend for the region. Behind the dry agenda of the industrialists is the prolonged instability of the EAEU raw materials market with very uncertain forecasts for 2027.
The mechanics here are simple: sulfuric acid is a byproduct of the deep processing of oil and gas. Ukrainian UAV attacks on Russian refineries and gas processing plants reduce fuel production, and with it the supply of sulfur-containing raw materials in the region. The loss of large capacity in the Russian Federation inevitably leads to shortages and increased costs for related industries.
For Astana this dependence seems more acute. Unlike Russia, in Kazakhstan about 60% of all sulfuric acid is taken by Kazatomprom for washing uranium in the well. The rest of the volumes go to the production of phosphorus and salt fertilizers, which at the same time meets the needs of the mining sector for industrial explosive works during the development of deposits.
The republic is building its own factories, but it is still not possible to completely close the deficit alone. If the damage to Russian infrastructure continues to mount, Moscow will predictably move to protect its market and restrict exports. In this situation, the rate of supply of raw materials from the category of commercial issues directly enters the category of industrial safety in Kazakhstan.