The most recent bookings by local traders in Iran of 140-180 mm I-beam sizes have been at $715-744/mt ex-stock Tehran, down from $735-785/mt two weeks ago. Having been on a soaring trend a few weeks ago, I-beam prices have been declining during the past two weeks in the local Iranian market. Indeed, the falling trend is so strong that most traders expect further price reductions in the coming days.
Iran's domestic I-beam market had been characterized by a rising trend from the end of February up to two week ago. During this period local demand was significantly higher than supply, which mainly came from Esfahan Steel, and the lack of balance between supply and demand pushed prices higher and higher. However, supply has now surpassed demand so that there is now no serious buyer with workable prices for I-beam supplied through the Iran Mercantile Exchange (IME).
Turkish origin 80-140 mm U-beam sizes are currently being transacted by local traders at $680-700mt ex-stock Tehran, down about $10-15/mt from the week before. Chinese and CIS U-beams, which hold a large market share in Iran, at present are about $10-20/mt less than the prices for Turkish material in the local Iranian market. A few Iranian rolling mills which produce 100 mm U-beam are supplying this material at $700/mt ex-stock Tehran.
The local market for angles in Iran has been on a declining trend over the past two weeks. Local traders are now selling 30 x 30 mm to 120 x 120 mm angle sizes at $570-600/mt ex-stock Tehran, down from $580-630/mt two weeks ago. The Iranian angles market is supplied principally by a number of local rolling mills. Thus, there is tighter competition among local suppliers of angles, as compared to the situation in the domestic I-beam and U-beam markets.
According to the new figures issued by the Iranian customs authorities, in the last Iranian year (21.03.2008-20.03.2009) Iran imported 265,000 mt of I-beam, 296,000 mt of U-beam and 31,738 mt of angles and T-bars, whereas it had imported 1,176,000 mt of I-beam, 314,000 mt of U-beam and 79,801 mt of angles and T-bars in the previous year.