Iran: Semi-finished steel production falls over 5% y-o-y in first 7 months of current Persian year

• Power supply curbs impact production
  
  
• Billet, blooms output declines 9% y-o-y
  
  

According to Petrometals, Iran's semi-finished steel output stood at 17.38 million tonnes (mnt) in the first seven months of the current Persian year (21 March 2024-20 October 2024), a decrease of 6% from 18.48 mnt in the same period last year. Production volumes declined due to the Iranian government's power supply restrictions on steel mills, which were more stringent compared to the corresponding period last year (CPLY).

• Billets and blooms accounted for 10.61 mnt of total semis output, down by 9% y-o-y compared to 11.64 mnt in the year-ago period.
  
  
• Production of slabs inched down marginally by 1% y-o-y to 6.77 mnt as against 6.84 mnt as against the previous year.
  
  

Notably, direct reduced iron (DRI) production stood at 24.55 mnt in the period under review, a rise of 10% compared to 22.23 mnt in the year-ago period. The significant increase in DRI production can be attributed to the operation of new direct regeneration units during last winter and spring of this year.