Iran's steel consumption trends in September update

According to the Iranian Steel Producers Association, the country's finished steel consumption increased by 5.3% compared to the previous year, reaching 8.6 million tonnes during the reported period. This growth rate was slower than the previous year, partly attributed to more flexible export regulations via local dealers with currency exchange preferences.

Demand in the long steel strengthened by  2.2%, totaling 4.3 million tonnes. Conversely, flat steel consumption surged by 7.6%, reaching approximately 4.2 million tonnes. However, increased imports of flat products, which doubled to 489,000 tonnes during the five months, had a limiting effect on the local industry.

Semis consumption declined by 2.4% to 9.9 million tonnes. Notably, due to the surge in flat product imports, slab use decreased by 9.8% to 3.9 million tonnes, while billet and blooms consumption rose by 3.1% to 6 million tonnes. Market sources suggest that billet suppliers, facing international market uncertainty due to unstable taxation, occasionally favored local sales.