The rising trend in the Iranian merchant bar market, caused by the weakening of the Iranian rial against foreign currencies, has continued over the last two weeks. One US dollar can now be exchanged for Rial 22,000 in the free market, compared to Rial 16,800-17,000 two weeks ago.
Most buyers and sellers have withdrawn from the market due to the current market instability, with just buyers who urgently require merchant bar coming to the market to make purchases.
Prices of small I-beam sizes (140-180 mm) have risen significantly in the last couple of weeks in Iran, while prices of larger sizes (200-270 mm) have witnessed more moderate increases. The quoted prices refer to I-beam produced by Esfahan Steel, the main local supplier of I-beam, while the prices of other local suppliers as well as prices of Chinese and South Korean origin I-beam, are lower.
At present, local traders are offering 140-270 mm I-beam at Rial 11.07-14.98 million/mt ($980-1,325/mt), up from Rial 10.40- 15.35 million/mt two weeks ago. The prices are ex-stock Tehran and VAT is included
U-beam prices have also continued to increase in Iran. Prices of 80-160 mm U-beam (Iranian and Russian origin) are now standing at about Rial 12.30-12.90 million/mt ($1,089-1,142/mt) ex-stock Tehran -including VAT, up from Rial 11.60-11.80 million/mt about 10 days ago.
Iranian origin equal angle sizes of 30 x 30 mm - 120 x 120 mm are currently priced in the domestic market at about Rial 12.35 -13.10 million/mt ($1,092-1,159/mt) ex-stock Tehran, including VAT.
US$1 = Rial 11,300 (formal rate)