Economy, Business And Markets

Arvand FTZ Strives to Become Steel Hub

Arvand FTZ Strives to Become Steel HubArvand FTZ Strives to Become Steel Hub

Three steel plants with a combined production capacity of close to 5 million tons per year will be established in Arvand Free Zone, effectively making the FTZ the country’s steel production hub, says Esmaeil Zamani, the zone’s managing director.

Arvand FTZ, with an area of 37,700 hectares, is located in the northwest of Persian Gulf, covering the cities of Abadan, Khorramshahr and Minoushahr in Khuzestan Province and sharing borders with Iraq and Kuwait.

According to the official, the projects will be jointly undertaken by Kaveh Steel Company, United Steel Industrial Company of Kuwait and Arvand Jahanara Steel Company in Khorramshahr Industrial park.

“The establishment of the steel plants in Arvand will not only create ample employment opportunities in Khorramshahr and Abadan, but will also enable us to supply regional markets like Iraq,” IRNA quoted Zamani as saying.

Referring to heavy water consumption in the steel industry, the official said the FTZ’s proximity to Karoun, Bahmanshir, and Arvand rivers provides a great opportunity for investors interested in establishing industrial plants there.

Zamani noted that talks are underway for the establishment of a joint aluminum production plant in cooperation with a Chinese firm as the project financier.