Further increases anticipated in Iranian HRC market

Prices of hot rolled coil have seen some increases in the last two weeks in the local Iranian market, while there are some expectations for further price increases in the coming weeks especially considering the Iranian government's cancellation of energy subsides etc.
 
At present, local traders who import HRC from CIS countries are offering CIS origin 2 mm HRC at about $675-685/mt ex-stock Anzali port (Iranian port, southern Caspian Sea) for immediate delivery and cash payment, up from $670-675/mt about two weeks ago and down from $660-665/mt about six weeks ago.
 
Hgher sizes of HRC, i.e., 3-12 mm material produced by main domestic flat steel producer Mobarakeh Steel, currently stand in a price range of about $700-715/mt ex-works Esfahan, up from $685-710/mt about two weeks ago and up from $675-725/mt about six weeks ago.
 
On December 20, Mobarakeh Steel sold several batches of hot rolled coil to the local market via the Iran Mercantile Exchange (IME) at about $610-625/mt ex-works with 60-day delivery, with this level indicating no change over the last few weeks. As a state-owned steel plant, Mobarakeh usually complies with government policy favoring stable prices in the local market.