Iranian Flat Steel Importers Lying Low

Buying activity in the Iranian flat steel import market has remained sluggish over the past week, as customers wait for the government to implement new import duty regulations.

Metal Bulletin also reported on Jan. 11 that weak demand has made Iranian stockists decrease prices for the material already available in ports, which resulted in even less interest in imports.

  Hot Rolled Coil

Offers of 2-mm hot rolled coil from Russia’s MMK to Iran varied within the range of $510-540 per ton CFR Anzali, depending on the month of shipment, sources said.

Material for shipment in March was reportedly available at $510-520 per ton CFR, while February-shipment coils were at the upper end of the range.

Kazakhstan’s ArcelorMittal Temirtau was said to be sold out until March and was not offering anything at the moment.

Kazakhstan-origin material from traders was reported to be available at $550 per ton CFR.

Market participants also reported indications of Chinese HRC offer prices within the range of $530-550 per ton CFR southern ports.

But Iranian customers showed no interest in booking any material, citing high prices and expectations of import duty reductions in the near future.

“There were no deals heard concluded recently, as buyers are all waiting for customs to adapt to the new import fee regulations,” an international trader said.

“Even at MMK’s price, it is not possible to sell in Iran, never mind the material from traders,” one source said.

Metal Bulletin’s price assessment for Iranian imported HRC dropped by $15 on the upper end of the range, to $510-515 per ton CFR Iranian ports on Wednesday.

  Cold Rolled Coil

The price assessment for Iranian imported cold rolled coil was $560-570 per ton CFR Iranian ports on Wednesday, up by $10 over the week against $550-560 per ton CFR.

There were no fresh offers from CIS mills heard last week as the largest supplier, ArcelorMittal Temirtau, was out of the market.

Recent prices varied within the $550-560 per ton CFR Anzali range.

Offers of CIS-origin CRC from traders were heard at $570-580 per ton CFR Anzali. However, no new deals were reported concluded, with customers citing the decline in consumption of this product over recent months.

“CRC is raw material for many industries,” one source said, “and the downward trend in its consumption means a downtrend in industrial manufacturing.”