Iran’s steel exports have remained unabated over the first eight months of the Persian year, despite the valid US sanctions. However, the prospects of shipments from Iran are unclear for now.
According to the IMIDRO (Iranian Mines and Mining Industries Development and Renovation Organization) during the eight months of Iranian year (March 21 - November 21, 2019) steel exports from Iran amounted to 7.8 million mt, up by 23.5 percent year on year. In the eighth month, however, Iran decreased its export shipments by 7.97 percent month on month, the volume was still by 30.58 percent higher year on year, resulting in export of 901,000 mt.
Southeast Asian buyers remaining interested in semis imports from Iran gave the key support to the sellers. In addition, China turning to active imports of billet and slabs among the rest has fuelled exports from Iran since around September last year, as SteelOrbis reported earlier.
More active steel exports from Iran supported the local steel output. In the first eight months of the Persian year the country produced 19.7 million mt of crude steel, by 6.2 percent up year on year.
The recent escalation of tensions between the US and Iran may affect the steel market sentiment – the foreign customers may put orders on hold to avoid possible consequences until the situation gains clarity.