News

Iran steel market Trend in Week 08th , 2017

Billet

Billet price appeared to be upward by beginning of last week. After re-rollers’ meeting at Steel Producers’ Association and rising long products prices, billet size 150 mm also improved by USD 95 /mt to USD439.5/mt and size 125 mm increased by USD 13/mt to USD 355/mt ex-work including 9% VAT. No deal was done at this prices as transactions were finished at USD 5 /mt lower.

Market participants don’t see any reason for upward trend of long products in coming Iranian New Year (start from 21 March) unless demand level improves.

According to data from Islamic Republic of Iran Shipping Lines, during last 11 months Iran has exported 451.000 mt billet and imported 144.000 mt billet. But Steel Producers’ Association data says 2.844 million mt billet has been exported during first 10 months of current Iranian year and 81.000 mt has been imported.

If global billet price decline, would affect Iran billet export market too which won’t be a good news. There are only two working weeks till year end, therefore billet price won’t increase more and may drop to previous prices before current rise.

 

Long Products

Long products started week 8th with USD 13 /mt decline in prices. Average price of debar diameter 14-25 mm was USD 422 /mt and I-beam was USD 486 /mt both ex-work Esfahan including VAT by beginning of the week (Saturday in Iran).

Like other previous weeks, some meetings at Steel Producers’ Association between re-rollers affected market sentiment. Prices started rising by Sunday. Some mills increased price by up to USD 26 /mt , but ready for USD 8/mt discount when negotiating. Steel Sellers’ Union asked distributors to resist against illogical fluctuations and avoid new purchases. This policy made prices downward again by Tuesday onward. By end of the week debar was heard at USD 410 /mt ex-work including VAT by some mills.

 

 

Flat Products

HRC 2 mm thickness declined by USD 3 /mt during last week to reach USD 572 /mt on truck in Anzali including VAT and custom duty and market was quiet. Import offers by CIS suppliers was unchanged but some rumors about USD 20/mt possible decline was heard. Thickness 2.5-6 mm improved by USD 3-5/mt but supply shortage was not as worse as previous weeks. Market still lack some sizes availability such as 10,12 and 15 mm.

HRP thickness more than 15 mm, was in limited supply by Kavian Steel Co, but Oxin co product was available. Downward trend in Oxin co plate price is expected in coming weeks when demand level decline.

CRC market was quiet and prices almost stable. Some sizes are in supply shortage but lack of demand made prices unchanged. There were some rumors in the market about reduction of CIS offers, therefore market participants don’t expect any improvement in price in near future

HDG market was still faced with supply shortage which made some sizes improve by USD 13 /mt.

 

Ex-rate:
In free market:  Rials 37.770 /1USD

25 Feb 2017

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Iran Steel Service Center

IFNAA News Agency                                                 

http://www.ifnaa.ir/en/home

Feb 26, 2017 10:17
Number of visit : 316

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