Steel intermediates rise 5.4% in eight months as finished output slips: ISPA
Iran’s steel sector saw gains in upstream and intermediate segments in the first eight months of the current fiscal year — spanning March 21 to November 20 — even as finished product output suffered a decline, according to data from the Iranian Steel Producers Association (ISPA).
Intermediate steel output climbed 5.4% year-on-year, even as total finished steel production fell 1.1%. The increase in intermediate output was underpinned by an 8.1% rise in sponge iron production and an 8.2% expansion in iron ore concentrate output. Pelletized iron ore production remained nearly unchanged during the period, IRNA reported.
Analysts noted that milder fall temperatures in the year compared with last year helped sustain production momentum by preventing the reimposition of gas curbs on steelmakers over the past two months.
The sharpest decline among finished products was recorded in steel beams, with output falling 27.4%, mainly due to operational changes in production lines at Esfahan Steel Company.
Flat steel products also saw reduced output, with industry sources citing weak domestic demand, unresolved export obstacles and continued imports as key constraints.