• Tuesday, August 11, 2020

Iran steel industry blasts out of the blocks despite sanctions

Discussion in 'Iranian Defence Forum' started by SubWater, Dec 13, 2018.

  1. SubWater

    SubWater SENIOR MEMBER

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    Iran steel industry blasts out of the blocks despite sanctions
    Tue Dec 11, 2018 11:08AM [Updated: Wed Dec 12, 2018 04:52AM ]
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    [​IMG]
    Iran plans to boost steel output to 55 million tonnes a year by 2025.


    Iran is capable of producing 25 million tonnes of steel in the current fiscal year which ends on March 21, 2019 but foreign sanctions and duties are a big hurdle, the head of the Iranian Steel Producers Association says.

    Iranian steel production rose to a record 20.6 million tonnes in the first 10 months of 2018, making the country the world’s 11th biggest producer, data by the World Steel Association showed last month.

    This figure can rise to 25 million tonnes by the end of the current Persian year provided that the government puts its weight behind the push, Bahram Sobhani said on Monday.

    About 9-10 million tonnes of this amount can be exported if everything goes as planned and the government facilitates conditions for exports, he added.

    In the past, the government has left no stone unturned in bolstering the sector, withdrawing the special rate foreign exchange allocation for steel imports in a bid to support local production.

    “Sanctions and other external constraints have made exports of steel products difficult. In this situation, it is expected that the central bank, customs and other bodies will put hands together to export steel. Otherwise, the surplus output should be stocked or production slashed,” Sobhani said.

    Iran’s steel exports are already facing an increasingly hostile terrain in Europe where the bloc’s executive body, the European Commission, has levied trade tariffs against Iranian products.

    [​IMG]
    PressTV-EU overcomes split to hit Iran steel with penalty
    EU’s addition of new countries to the punitive measures gives added ground to accusations of protectionism from international steel exporters.

    Last October, the European Union decided to hit hot-rolled steel from Iran with trade tariffs despite initial opposition to punitive measures by European governments.

    US sanctions introduced in August represent a double-whammy. In October, the US Treasury announced sanctions on Mobarakeh Steel Company, the largest steel maker in the Middle East and North Africa and one of the largest industrial complexes operating in Iran.

    However, the degree of the Iranian steel sector’s vulnerability to outside sanctions is markedly reduced.

    When slapped with US and European sanctions in 2011, Iran was the world’s second or third biggest steel importer with 11 million tonnes a year, which gnawed at its oil revenues at a cost of $7-8 billion.

    “Today, we have reached a point where we are thinking of exporting steel and the situation is reversed,” Bahador Ahramian, the head of the Iranian Steel Producers' Association, said on Monday.

    Iran exported an average of 1.35 million tonnes of steel in 2011 and 2012. That capacity has risen to about 8 million tonnes now, indicating how the sector has grown by leaps and bounds.

    [​IMG]
    PressTV-Iran’s steel sector grows in line with strategic plan
    Iron ore pellet represented the biggest jump last year as the country opened several pelletizing projects.

    More than 5.3 million tonnes of Iranian rebars, billets, IPE (I-beams), blooms and slabs were exported in the first eight months of the Persian year, which are expected to reach 7.8 million tonnes by the end of the year, Sobhani said.

    “At an average rate of $450 (per tonne), Iran’s steel exports will total $3.5 billion,” IRNA quoted him as saying.

    The additional revenue is important as it insulates the steel sector from sanctions by making it self-sufficient.

    Moreover, more than 50 industries in Iran are linked to the construction industry. If there is not enough steel, the sector will grind to a standstill with all the related industries.

    Iran’s developing economy heavily relies on construction. The country plans to boost steel output to 55 million tonnes a year by 2025, of which 10 million tonnes would be earmarked for export.

    US sanctions make this ambitious target vulnerable, chiefly because they make Iran’s courting of foreign investors difficult while steel mill equipment makers keep aloof from the country.

    “Our main customers, including Iraq and Afghanistan, are abusing the sanctions restrictions, and in the past weeks they have imposed heavy duties on Iranian steel products, which can make exports more difficult,” Ahramian said.

    Still, the self-sufficiency drive is on track and industry experts concede that even in worst-case scenarios, Iran’s steel industry will continue to grow.

    [​IMG]
    PressTV-Iran opens steel mill using domestic technology
    Neyriz Steel Complex has a capacity to produce 800,000 tonnes of sponge iron a year, raising Iran’s nominal capacity to 19.5 million tonnes.

    “Previously a steel importer, the Islamic Republic of Iran has now reached the place where it can manufacture all kinds of steel equipment and localize related technologies,” Ahramian said.

    “The zero to 100 of a steel mill can now be designed and built in Iran,” he added.

    In January, Iran brought online its third steel plant which uses domestic technology for production of direct reduced iron (DRI) or sponge iron.

    In June, it launched commercial production of HR coils, steel sheet and ribbed sheet at Mobarakeh Steel Company, with a capacity of 1.6 million tonnes.
     
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  2. lastofthepatriots

    lastofthepatriots SENIOR MEMBER

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    Alhamdulilah
     
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  3. Pan-Islamic-Pakistan

    Pan-Islamic-Pakistan ELITE MEMBER

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    Great work, Iran. We are with you.
     
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  4. SubWater

    SubWater SENIOR MEMBER

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  5. Yankee-stani

    Yankee-stani SENIOR MEMBER

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    Steel and Iron Ore is great way for developing nations to make quick hard cash, and it worked for Turkey,China,India, and Malaysia in the past shame the goons in Islamabad let the Pakistan State Steel Mills rot away
     
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  6. Tokhme khar

    Tokhme khar BANNED

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    The problem seems to be that you guys don't kill your corrupt people. In Iran we kill very quickly. A corrupt bastard must die because he is indirectly responsible for a lot of deaths and suffering. Iran is number 2 in the world in executions after China.

    If we don't throw the book at the corrupt, we will become a failed state!

     
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  7. Hack-Hook

    Hack-Hook ELITE MEMBER

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    sadly it's not because of executing the corrupts one , it's mainly we are in route of drug trafficking and we execute drug dealers and the ones who participate in smuggling it. if we executed the corrupt ones we would have a lot more execution .
     
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  8. Yankee-stani

    Yankee-stani SENIOR MEMBER

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    99 percent of Pakistanis would want all the scums to be hanged but sadly our mentality sucks thats the problem
     
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  9. Pan-Islamic-Pakistan

    Pan-Islamic-Pakistan ELITE MEMBER

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    For the first time in decades, a nationalist government has come to power. Watch and see...
     
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  10. Tokhme khar

    Tokhme khar BANNED

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    Its not all drug dealers or murderers we execute........you want me to break it down for you? Fukk, every shitbilly/ hilljack man and his dog from the West condemn us for such a high rate of executions. You want me to hold your hand?

    You must kill bro.......and in large numbers too!.......otherwise you are not going to be taken seriously! Do it like us.

     
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  11. AZADPAKISTAN2009

    AZADPAKISTAN2009 ELITE MEMBER

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    Congrats to Iran on your success
     
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  12. WordsMatter

    WordsMatter FULL MEMBER

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    :rofl:
     
  13. Persian Gulf 1906

    Persian Gulf 1906 BANNED

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    most of the executions are for drug traffickers, they just execute a few corrupt people when there is a pressure like the sultan of coins recently

    if they wanted to execute the corrupt people in iran, they would need a new government...
     
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  14. SubWater

    SubWater SENIOR MEMBER

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    US sanctions are surprise boon to Iran's steel exports
    Wed Jan 9, 2019 09:06AM [Updated: Wed Jan 9, 2019 11:28AM ]
    1. Home
    2. Iran
    3. Economy
    [​IMG]
    Iranian rebars, billets, IPE (I-beams), blooms and slabs sell like hotcakes in the Middle East.


    Iran’s dramatic currency depreciation has had beneficiaries, foremost in its burgeoning steel industry which has seen exports remain steady despite the new US sanctions.

    Last August, the US reenacted its secondary sanctions against Iran’s steel and aluminum products, gold and precious metals, graphite and coal to choke off the country’s vital revenue streams.

    Further sanctions were imposed in November to target its lifelines in the oil, energy and shipping sectors, leading to a drop by several hundred thousand barrels per day in oil exports.

    However, the metals industry has taken it all in its stride and even been boosted by the lower rial which has made steel exports highly competitive on world markets.

    [​IMG]
    PressTV-Iran’s steel sector grows in line with strategic plan
    Iron ore pellet represented the biggest jump last year as the country opened several pelletizing projects.

    According to CEO of Tehran-based AASIM Consulting Group Mohsen Parvan, Iran's steel exports this year which ends March 21 are set to equal last year's record of over 9 million tonnes.

    "Iran has so far exported 6 million tonnes of steel in this Iranian year, similar to the previous year. At least half is semi-finished products such as billet and slab," oil pricing agency S&P Global Platts quoted him as saying.

    Iranian steelmakers have largely maintained their links with their partners, mostly in the Middle East, Russia, China and the European Union, despite the sanctions.

    Iranian rebars, billets, IPE (I-beams), blooms and slabs have avid customers in Iraq, Qatar, Oman and the United Arab Emirates.

    CIS nations such as Ukraine and Kazakhstan also take in supplies, with small amounts being sold in the EU where Iran’s steel exports are facing an increasingly hostile terrain.

    The European Union has been levying tariffs on Iranian steel imports since October 2017 when the European Commission, the bloc’s executive body, hit hot-rolled steel from Iran with taxes.

    Germany, Spain and Italy are Iran’s key customers for steel in the European Union.

    According to Iranian Steel Producers' Association (ISPA) figures, exports of steel products totaled 5.273 million tonnes in the first eight months of the current Iranian year.

    They included 1.92 million tonnes of finished products, up 104% year on year, and 3.335 million tonnes of semi-fabricated products, down 21%.

    Last month, head of the Iranian Steel Producers Association Bahram Sobhani said Iran is capable of producing 25 million tonnes of steel in the current fiscal year.

    [​IMG]
    PressTV-Iran's steel industry blasts out of the blocks
    Steel and iron ore is a strategic industry for Iran whose developing economy heavily relies on construction.

    Sobhani, however, gave a lower figure than AASIM’s 9 million tonnes in Iranian steel exports, expecting them to reach 7.8 million tonnes by the end of the year.

    “At an average rate of $450 (per tonne), Iran’s steel exports will total $3.5 billion,” IRNA quoted him as saying.

    Iran also imports steel, mainly stainless, flat and pipe products from CIS states, China and the EU, with Parvan expecting them to remain around 4 million tonnes this year.

    AASIM operates an engineering consultancy with an Indian partner in the Iranian iron, steel, mining and chemical sectors, according to Platts.

    Iran plans to boost steel output to 55 million tonnes a year by 2025, of which 10-15 million tonnes would be earmarked for export.

    Currently, domestic steel consumption remains flat due to stagnating construction and car manufacturing industries which use up much of the steel needed in Iran.



     
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  15. Mugen

    Mugen FULL MEMBER

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    Congratz! I am really glad that Iran is doing well.
     
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