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Industry and import substitution
11:25, 02 September 2026
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Severstal Takes Ladle Management Digital

Russian steelmakers are automating production and saving billions. At the Cherepovets Metallurgical Complex, the flagship facility of PJSC Severstal, a digital assistant has been deployed to manage the steel ladle fleet. The solution moves a critical stage of secondary steelmaking from subjective visual oversight into a digital control environment, providing end-to-end equipment traceability and synchronizing adjacent production stages.

Previously, shift supervisors managed the ladles based on experience and visual checks. This approach created several problems: uneven use of the fleet, the risk of assigning a critically worn ladle to a heat, and fragmented data. The new system aggregates information from multiple sources and uses algorithms to analyze it. In real time, the program tracks temperature, holding time and intervals between heats, immediately flagging deviations. The system does not replace the supervisor. Instead, it helps the supervisor make decisions and eliminates errors caused by manual management.

The outcome is already measurable. Each ladle receives a digital passport containing its complete history of heats and repairs, allowing maintenance schedules to be balanced and peak workloads for repair teams to be reduced. The supervisor can see the status and location of every ladle in real time, reducing downtime at continuous steel casting machines and furnaces. The system also checks chemical-composition compatibility and the condition of bottom stirring, reducing scrap.

Investing in Independence

PJSC Severstal is one of the leaders in digital transformation in the steel industry. In 2002, the company established the Severstal-Infocom IT company, and in 2018 it launched a large-scale digital transformation program. In June 2024, the company announced plans to invest 290 billion rubles (about $3.3 billion) in comprehensive automation and the development of digital services.

In April 2026, Severstal completed its transition to its own Metallurgiya (Metallurgy) MES, fully replacing the foreign DanieliQMet software at the Cherepovets Metallurgical Complex. The solution is built on a flexible low-code platform with AI tools and is not tied to foreign database management systems. The impact of the move includes a 30% reduction in the cost of collecting information, a 20% increase in equipment efficiency and 10% energy savings. In parallel, an integrated planning system is replacing SAP APO, managing the chain from demand forecasting through product shipment.

In 2022, Severstal took the lead of the Industrial Competence Center (ICC) Metallurgiya (Metallurgy), a federal project that brings together 18 of the industry's largest players, including Nornickel, MMK and Metalloinvest. Its goal is to develop open standards for Russian industrial software so that systems from different vendors can work together. Today, the ICC portfolio includes more than 160 projects, more than 100 of which are mature industrial software products.

Keeping Pace With Global Trends

Moving away from subjective visual checks toward digital systems is a sustained global trend. Major international players, including ArcelorMittal, POSCO and Tata Steel, are deploying machine-vision systems and digital twins at scale to track ladle fleets. Russian steelmakers are following the same path. In 2021-2022, for example, PJSC Novolipetsk Steel launched the MES ExpertBase and Data-Track modules developed by Russian company Data-Tsentr Avtomatika LLC to track ladle routes. Better logistics allow the mill to save about 100 million rubles (about $1.2 million) a year on energy, electrodes and alloying additives.

By 2024-2025, monitoring technologies had reached a new level. Amurstal JSC deployed a smart-vision system using thermal cameras in its electric steelmaking shop. The solution automatically detects slag entering the ladle during tapping, eliminating the risk of human error when assessing the molten steel visually. In January 2025, PJSC Magnitogorsk Iron and Steel Works (MMK) launched a digital assistant for predicting steel temperature during casting on continuous casting machines. This system was developed by MMK's in-house artificial intelligence competence center, which received investments of 4.5 billion rubles (about $52 million).

In 2026, EVRAZ ZSMK deployed an innovative solution, a digital advisor on a ladle-furnace unit in its converter shop. It helps steelmakers accurately calculate the required consumption of cored wire based on the parameters of a specific heat and the characteristics of the material. Experts estimate that cored-wire consumption could fall by about 10%, while the annual impact of the deployment is estimated at 23 million rubles (about $265,000).

The End of Patchwork Automation

The industry is moving from point automation toward end-to-end digital ecosystems that bring logistics data, equipment condition and product quality into a single operating environment. In the longer term, the project deployed at the Cherepovets Metallurgical Complex could support advanced AI models that predict the remaining life of refractory lining down to an individual heat or automatically adjust the thermal regime of the ladle-furnace section to reduce energy use. Successful operation of these modules strengthens the plant's technological independence and creates new competitive IT products for the industrial sector.

Work launched three years ago at the Industrial Competence Center Metallurgiya is progressing quite successfully. <…> Mature Russian solutions are now available for 62.5% of the metallurgy IT landscape. Using solutions developed within the ICC, we are not simply replacing imported software. Our goal is to make sure our developments match the world's best solutions
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