A total of 501,000 tons of finished and semi-finished steel products were exported from Iran during the first Iranian month (March 21-April 20) to register an 18.4% year-on-year decline, according to the Iranian Steel Producers Association's latest report.
Semi-finished steel made up 392,000 tons, or more than 78.24% of the total export volume, down 21% YOY.
Billet and bloom had the lion’s share of semis exports with an aggregate of 284,000 tons to mark a 9% YOY decline. Slab followed with 108,000 tons, down 41% YOY.
Exports of finished steel products dropped 8% YOY to reach 109,000 tons.
Long steel products had the major share of finished products with a total of 77,000 tons (70.64%) to register a 17% growth YOY.
Rebar was the main exported product in this category with 68,000 tons, registering a 26% increase YOY, followed by beams with 6,000 (down 25% YOY) and L-beam, T-beam and other types of beams with 3,000 tons (down 25% YOY).
Flat steel products had a 32,000-ton share in the export of finished steel products, down 40% YOY.
Hot-rolled coil grabbed the lion’s share in this category with 29,000 tons to register a decline of 43% YOY.
Next was coated coil with 2,000 tons, up 100% YOY, and cold-rolled coil with 1,000 tons (unchanged).
Exports of direct-reduced iron decreased by 10% YOY to reach 44,000 tons.
An earlier report released by the Iranian Mines and Mining Industries Development and Renovation Organization showed a total of more than 258,461 tons of exports over the month, Khouzestan Steel Company was Iran's biggest exporter of steel as its exports rose by 96% compared with last year’s similar month.
The steelmaker, located in the southwestern Khuzestan Province, exports to over a dozen countries. About half of KSC's exports go to the Middle East and North Africa region. Its other major export destinations are located in the Far East and Americas.
It was followed by Hormozgan Steel Company with 62,652 tons, registering a 40% increase year-on-year. It was followed by Mobarakeh Steel Company with 56,102 tons, up 45% YOY; Esfahan Steel Company with 32,324 tons, down 42% YOY; South Kaveh Steel Company with 25,000 tons, up 25% YOY; and Iran Alloy Steel Company with 1,351 tons, down 67% YOY.
Imports Down 54%
The import of almost all steel products was down during the one-month period compared with last year’s same month.
The ISPA report shows Iran’s steel imports stood at 29,000 tons during the month to April 21, to register a 54% decline YOY.
Iran did not have any import of semi-finished product during the month while the import of finished steel dropped 55% YOY to 29,000 tons.
The imports mostly included flat steel products with 23,000 tons, down 58% YOY. HRC was the top product in this category with 14,000 tons, down 13% YOY, followed by coated coil with 5,000 tons, down 67% YOY, and CRC with 4,000 tons, down 83% YOY.
The import of long steel products stood at 6,000 tons, indicating a 31% decline YOY. L-beam, T-beam and other types topped the list in this category with 3,000 tons, down 25% YOY, followed by beams with 2,000 tons (up 100% YOY) and rebar with 500 tons (down 83% YOY).
8% Growth in Production
The ISPA report also shows Iranian steelmakers produced 3.84 million tons of products during the one-month period to register an 8.68% growth compared with the same month of the year before.
Semi-finished steel comprised 2.17 million tons of the total output, up 3% YOY.
Billet and bloom made up 1.24 million tons of all semi-finished production while slab output hit 930,000 tons to register a 16% rise and 10% decline respectively year-on-year.
As for finished steel, output increased by 16% YOY to reach 1.66 million tons.
Flat steel products had the lion's share of finished steel production with 905,000 tons, up 18% YOY. HRC made up 786,000 tons of the production in this category, registering a 14% growth YOY, followed by CRC with 207,000 tons (up 20% YOY) and coated coil with 137,000 tons (up 49% YOY).
This is while long steel products had a 763,000-ton share in the output of finished steel products during the month to pose a 15% rise YOY. Rebar had the major share with 591,000 tons (up 23% YOY), followed by beams with 109,000 tons (up 31% YOY) and L-beam, T-beam and other types reached 63,000 tons (down 37% YOY).
Iran’s direct-reduced iron production is registering a healthy growth. It stood at 2.54 million tons during the month, indicating a 14% rise YOY.
Apparent Usage up 11%
According to ISPA, Iran's apparent steel usage—defined as production plus imports minus exports, sometimes also adjusted for changes in inventories—stood at 1.78 million tons for semis, growing 11%; and hit 1.58 million for finished products to go up 15% YOY.
Flat steel products had the lion’s share of finished steel consumption as it reached 778,000 tons, up 12% YOY. HRC had the biggest share with 771,000 tons (up 17% YOY), followed by HRC with 210,000 tons (up 7% YOY) and coated coil with 140,000 tons (up 32% YOY).
Long steel products made up 692,000 tons of finished steel consumption with 692,000 tons, going up 14% YOY. Rebar grabbed the biggest share with 524,000 tons, up 22% YOY, followed by beams with 105,000 tons (up 38% YOY) and L-beam, T-beam and other types with 63,000 tons (down 37% YOY).
As for semis, billet and bloom usage grew by 26% to 963,000 tons, while that of slab dropped 3% to 822,000 tons.
DRI usage was up 15% for the period to 2.49 million tons.
Iran was the world's 10th biggest steel producer in 2018, according to World Steel Association. The country aims to increase its production capacity from the current 34 million tons to 55 million tons per year by 2025.
According to Deputy Minister of Industries, Mining and Trade Khodadad Gharibpour, Iranian steel industry is an export-oriented one, such that the country exports more than 40% of its steel output.
