News

Iran Steel Market Trend in Week 51st , 2025

Billet: Due to controlled supply management and the rising exchange rate, billet prices followed an upward trend.

Long Products
Rebar: The increasing prices of billet and the fluctuating currency value were the main drivers behind the rise in rebar prices.

I-beam: The upward movement in the exchange rate led to an increase in I-beam price starting Tuesday.

Flat Products
HRC: The combination of Mobarakeh's trading activity on the stock exchange and the increasing currency rates slightly pushed up price of HRC.

HRP: Oxin co HRP price fluctuated in tandem with the changes in the foreign exchange rate.

CRC: Limited supply, foreign exchange volatility, and higher export collectively led to a minor price recovery in CRC market.

HDG: The volatility in HRC market, ex-rate, and CRC market activity also pushed up HDG prices.

Weekly Analysis:
In the world market: The global market is currently stable. Iron ore prices have seen a slight dip and remained relatively flat, but the prices for billet and long products have not changed. The same stability is observed in the flat products market. However, the profit margins for steel producers are decreasing daily, even though raw material costs have remained largely constant.
The Chinese government, following its previous strategy of aggressive expansion into global markets, is now pursuing a program to reduce production volumes to control price declines and curb unemployment. China's four-decade-long policy of maximizing production while limiting consumption has become a burden on its economy. This policy has also negatively affected the country's population growth rate, leading to serious concerns about China's economic future. The large foreign trade surplus, coupled with heavy public sector debt, creates a complex and intertwined challenge.
Other markets, such as Turkey and Russia, have also experienced stability and recessionary conditions. It should be noted that markets are currently focused on the upcoming Christmas holidays, making the present slowdown entirely logical. However, the market outlook should become clearer approximately in second half of January.

In the domestic market: The market was calm for the first three days of the week, but sentiment changed drastically following unconfirmed news about the elimination of the subsidized currency rate (FX) in the First Hall and its transfer to the Second Hall (of the NIMA system or similar exchange platforms).
Although this development has not been officially announced, it is rumored to stem from new government policies aimed at reforming the pricing formula for gas feedstock supplied to petrochemical and steel industries in the budget for the Iranian calendar year (starting March 2026).
The apparent goal is to change the current pricing formula, which partly relies on European price benchmarks. This change would make the feedstock cost more realistic, although it is unclear whether this will ultimately result in an increase or decrease in costs.
Furthermore, there are discussions regarding the steel sector suggesting the removal of mineral royalties and other subsidies previously granted to the industry. The proposed benefit for steel companies in return for these changes is the ability to sell all of their export currency earnings in the Second Hall.

CBI average ex-rate for Steel Products (SANA): Rials 782,078 / 1USD
22 Dec 2025
M.Chitsaz
Iran Steel News Bulletin
IFNAA.IR
IRSTEEL.COM