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Iran Steel Market Trend in Week 51st , 2015

Billet

Billet price was unchanged during last week in Iran despite lack of demand and market depression. Meanwhile, market leader Khouzestan Steel Co is trying to improve its export level to avoid domestic market from downward trend. When sanctions are released Iran billet export will improve definitely as the problems about receiving money from buyers will be solved.

Market participants expect ex-rate increase for many reasons, therefore billet export would be more interesting than domestic sales for the Iranian producers and it will help domestic billet price.

 

Long Products

Long products were downward during last week in Iran. Debar price was declining and is expected to continue this trend due to the gap it has with billet price.

I-beam price was also downward. Angle and channel will also continue declining in coming weeks.

 

Flat Products

HRC 2 mm thickness declined during the week at Northern and Southern port as expected to respectively Rials14 million/mt and Rials13.4 million/mt on truck including 9% VAT and cutom duties. A week ago it was Rials15.7 million/mt and Rials14.7 million/mt in Anzali and Imam Khomein Ports. This downward trend is expected to continue.

HRC thickness 2.5-6 mm was in limited supply from market leader Mobarakeh Steel Co. Its import offer is USD300/mt cfr, therefore importing from Kazakhstan or China with free market ex-rate is affordable and interesting. Mobarakeh Steel Co policy of fixing prices will help import market.

In HRP market lack of demand made prices downward despite low supply level.

CRC price was downward significantly. Some sizes dropped by Rials700,000/mt. Hopes of improvement in import market due to releasing sanctions affected domestic market trend.

HDG market also continued its downward trend.

 

Ex-rate:
In Exchange Room : Rials 30,119/1USD       
In free market    : Rials 36,290/1USD

 

Dec 20, 2015 11:41
Number of visit : 967

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