Iran’s Steel Export Situation Raises Concern

The export performance of major Iranian steel producers indicates a continued decline in steel exports, driven by rising domestic demand and the Ministry of Industry, Mine, and Trade’s (IMT) market regulation policies.

In September, exports from this group fell by around 20%, and in the first half of the year, exports declined by 32% overall. Khuzestan Steel (Fakhuz) recorded the sharpest drop with a 43% decrease, followed by Mobarakeh Steel with 14% and Esfahan Steel (Zob Ahan) with 16%, which had the most significant impact on last month’s export decline.

On the other hand, Kaveh South (Kaveh Jonoub) posted a strong 85% growth, while Chadormalu (KCHAD) increased exports by 46%, marking the highest growth among producers.

The decline in Iran’s steel exports could worsen the country’s currency crisis and lead to the loss of international markets, despite Iran being the world’s 10th largest steel producer. Interestingly, India is rapidly seizing this opportunity and attracting Iran’s former export customers.