New global developments, especially the increased oil prices followed by the gradual rise in semi-finished product prices over the last few weeks - something which was not expected by most market players - have provided the steel markets in Iran with upward momentum.
Iran's hot dip galvanized market is not so dependent on imports as Iranian producers meet the major part of market demand. Nevertheless, shortages are compensated by imports. CIS origin hot dip galvanized coil is now being offered at $620-640/mt CFR Iranian northern ports (mainly Anzali), while the same material is being offered at lower prices for destinations in the Persian Gulf. Generally, prices offered for an Iranian destination are higher than prices for destinations in neighboring countries due to the difficulties and problems facing sellers who engage in trade with Iran. Specifically, banking sanctions have been imposed by the UN Security Council due to Iran's uranium enrichment program.
Finally, Iran imported about 163,000 mt of HDG in the first 11 months (21.03.2008-20.02.2009) of the last Iranian year, while it imported about 233,000 mt of HDG in the same period of the previous year - according to the newly published Iranian customs figures.