In 2004 MMK shipments of rolled steel sheet to auto makers reached 12% of the total domestic shipments.
   In 2003 the Company shipped 470,000 tons of sheet steel to the auto making industry. In 2004 the figure went up to 557,000 accounting for 12% of the Company’s total domestic shipments. Major MMK’s consumers in the sector include such well-known Russian companies as AvtoVAZ, RusPromAvto, KAMAZ, IzhMashAvto, UralAZ, ZIL, MAZ, BelAZ. MMK products destined for the auto making industry comprise cold and hot rolled sheet steel, cold rolled strip, sections and hot dip galvanized sheet.
   MMK’s potential for deliveries to the auto sector has significantly broadened with the commissioning of a tandem reversing cold rolling mill and Russia’s largest continuous hot dip galvanizing line in 2002. Lately the Works has started production of IF-steels permitting to turn out deep drawing quality flat products for manufacturing auto body components.
   The Company is currently working on incorporating the ISO/TU 16949:2002 standard in MMK’s existing quality management system. It is expected that the Company’s certification under this standard will take place in December of 2005.
    The auto making sector has always been a key strategic partner for MMK, and meeting the sector’s demand for high quality rolled steel is a priority task for the Company. In 2005, given the projected growth of production in the Russian auto industry, MMK plans to increase shipments to 570,000 tons. Apart from increasing the quantities, the Company is taking steps to improve the quality of the steel products shipped. Following the modernization of the heat treatment department and the pickling lines in Rolling Shop # 5 MMK will step up shipments of high quality surface finish products for external auto body parts. It is also planned to increase shipments of hot dip galvanized IF-steel strip. The modernization of the long products division and the start-up of the new mills will allow to increase shipments of high quality rolled sections.