Major Iranian Mills Increase Steel Exports by 25%

In the first month (March 21-April 20) of current Iranian year, the country's steel industry has registered a growth of 25% in exports against last year. According to Iranian Mines and Mining Industries Development and Renovation Organization, the prime steel makers of the country exported a total of 437,090 MT of steel in the first Iranian month. Below are some prime producers of finished steel.

Khouzestan Steel Company was the largest exporter of steel for this month with 258,461 MT. The company's exports rose by 96% compared with last year's similar month. Its major market for export were MENA and Far East nations.

Hormozgan Steel Company is following Khouzestan Steel Company with 62,652 MT, registering a 40% increase year-on-year. Mobarakeh Steel Company with 56,102 MT, up 45% YOY; Esfahan Steel Company with 32,324 MT, down 42% YOY, South Kaveh Steel Company with 25,000 MT, up 25% YOY; and Iran Alloy Steel Company with 1,351 MT, down 67% YOY.

Iran steel exports were negatively impacted amid US sanctions. Towards the beginning of May'19 U.S. President Donald Trump imposed new sanctions on Iran, targeting revenue from its exports of industrial metals. An executive order issued by Trump covers Iran's iron, steel, aluminium, and copper sectors, the government's largest non-petroleum-related sources of export revenue and 10% of its export economy, a White House statement said.

Iranian steel exporters had to cut offers significantly to attract customers and compensate for the risks involved in trade with the country.

Inputs from Financial Tribune