With an output of 15.82 million tons, Mobarakeh Steel Company had the largest share of steel production in Iran during the first 11 months of the current Iranian year (March 21, 2019-Feb. 19).
The company produced 7.43 million tons of finished steel during the period, posting a 2% year-on-year rise.
In addition, 8.38 million tons of semi-finished products were produced by MSC, remaining unchanged year-on-year, the Iranian Mines and Mining Industries Development and Renovation Organization’s latest report shows.
Located in southwestern Isfahan, Mobarakeh Steel Company is the biggest steel producer in Iran and the Middle East & North Africa region.
MSC's steel production capacity stands at 10.2 million tons per year, while its actual annual production is 8.7 million tons. The mill’s steel sheet production stands at 7.3 million tons per year.
“We expect to face new demand in the future, requiring higher quality, more solid, anti-corrosion, lighter and more affordable steel products,” MSC Managing Director Hamid Reza Azimian was quoted as saying recently.
Notably, MSC plans to establish a second hot rolling mill, which is expected to make the country self-sufficient in steel sheet production.
MSC’s Hot Rolling Mill No. 2 will have a production capacity of 4.5 million tons of HRC per year, according to Azimian.
Iran's heavyweight steelmakers produced a total of 30.88 million tons of steel (semis and finished) during the 11 months to Feb. 19
“We have reached an agreement with a foreign company. The project requires €260 million worth of investment, 54% of which (or €140.4 million) will be provided domestically while the remaining 46% will be funded by the foreign side,” he added.
Azimian spoke with Financial Tribune on the sidelines of the 10th Iranian Steel & Iron Ore Market Conference & Expo, also known as 'ISMC 2020', on Jan. 21-22 at IRIB International Conference Center in Tehran.
According to the MSC chief, the project will create 1,000 direct jobs at MSC and 8,000 indirect jobs once it becomes operational.
“t will completely meet Iranian industries’ demand for different types of steel sheet of various sizes and qualities,” he said.
As per the agreement with the foreign contractor, the project will take 900 days to complete before it comes on stream.
In terms of finished steel production, MSC was followed by Esfahan Steel Company (ESCO) with 2.13 million tons (up 6% YOY), Oxin Steel Company with 714,852 tons (up 29% YOY), Khorasan Steel Company with 564,022 tons (up 9% YOY), Azarbaijan Steel Company with 342,341 tons (up 4% YOY), IASCO with 288,703 tons—254,631 tons of rebar (up 16% YOY) and 34,072 tons of “other” products (up 243% YOY), Bonab Steel Company with 215,423 tons—906 tons of beams, 212,876 tons of rebar (up 273% YOY) and 1,641 tons of “other” products (down 54% YOY), Ahvaz Rolling and Pipe Manufacturing Company with 225,000 tons (down 18% YOY), Chaharmahal-Bakhtiari Automotive Sheet Company with 216,516 tons (up 8% YOY) and INSIG with 177,032 tons—121,746 tons of rebar (up 112% YOY), 46,046 tons of beams (up 345% YOY) and 9,240 tons of pipes (up 54% YOY).
In semis production, MSC was followed by KSC with 3.39 million tons (down 3% YOY), ESCO with 2.21 million tons (up 6% YOY), South Kaveh Steel Company with 1.07 million tons (up 13% YOY), Khorasan Steel Company with 1.06 million tons (up 12% YOY), Chadormalu Steel Company with 932,575 tons (up 15% YOY), Arfa Iron and Steel Company with 798,953 tons (up 2% YOY), Iran Alloy Steel Company with 454,037 tons (up 18% YOY), Bonab Steel Company with 243,443 tons (up 865%) and INSIG with 14,785 tons.
The above-mentioned steelmakers, considered heavyweight producers in Iran, produced a total of 30.88 million tons of steel (semis and finished) during the 11 months to Feb. 19.
A total of 12.3 million tons of finished steel products, including hot- and cold-rolled coils, rebar, beams and pipes, as well as wide and galvanized sheets, were produced by these steel mills during the period under review to register a 7% YOY growth.
Their production of finished steel products stood at 1.02 million tons in the 11th month (Jan. 21-Feb. 19), posting a 5% decline year-on-year.
They produced a total of 18.57 million tons of semi-finished steel, including ingot, bloom and billet (semi-finished products) during the 11 months, up 4% year-on-year.
As for semis output during the 10th Iranian month ending Feb. 19, a total of 1.49 million tons of slab, bloom, billet and ingot were produced to register a 3% decrease YOY.
