140-180 mm I-beam sizes are currently being transacted in the Iranian domestic market by local traders at $764-790/mt ex-stock Tehran, while the same material had stood at a price level of $747-775/mt the week before and at $727-747/mt in early February 2009. Due to its situation of high demand versus low supply, the Iranian domestic I-beam market continues to climb steadily in spite of the declines registered in Iran in the markets for other long products, including angles, U-beam and rebar. Esfahan Steel, the main supplier of I-beam to the local market, is at present dedicating most of its capacity (2.2 million mt annually) to I-beam production but still fails to satisfy local market demand.
On Sunday, March 1, Esfahan Steel sold about 81,000 mt of 140-180 mm I-beam sizes through the Iran Mercantile Exchange at $635/mt ex-works for 45-day delivery and cash payment. Meanwhile, Chinese origin I-beam was sold by local traders at about $600/mt ex-stock Tehran on the same date.
CIS origin 80-180 mm U-beam sizes currently stand at a price level of $650-680/mt ex-stock Tehran - showing no significant change compared with U-beam prices in February 2009. Meanwhile, European origin U-beam stands at about $680-700/mt. Local Iranian production U-beam is unable to satisfy domestic market demand, with the shortfall being met mostly by U-beam imports from the CIS, China and Turkey.
The latest transactions for 60 x 60 mm - 120 x 120 mm angle sizes in the Iranian domestic market were concluded at $530-560/mt ex-stock Tehran, compared to approximately $570-580/mt in mid-February. Local rolling mills, which more or less fully supply domestic market demand, have now reduced or even shut down their production due to the falling prices and also due to the approach of the long Iranian New Year holidays which will begin on March 20. Most buyers of angles have already put their ordering activity on hold as they think the reduction in billet prices in recent weeks (of about $60-70/mt) may also be reflected in angle prices.