Billet: Billet price remained stable during last week
in Iran domestic market. Supply has not yet returned to normal level but demand is available.
Long Products
Rebar: Rebar price was down due to weak demand.
I-beam: Lack of demand caused I-beam price to fall.
Flat Products
HRC: The calm market and higher supply by Mobarakeh
Steel co caused HRC price to drop.
HRP: Market management made HRP price unchanged.
CRC: CRC price has reached the bottom and its seasonal demand is coming.
HDG: Lower HRC price made HDG market also downward by end of the week
after some resistance.
Weekly Analysis:
In the world market: Global market is still in recession, the latest analyzes
show that China's economic growth will decline next year, expansion of the war
in the Middle East has delayed hopes for improvement of the market. The world
is busy with AI, while construction market need a calm situation and more hope,
that it does not have a positive outlook for now.
Oil price is on
a downward trend and remains below USD 80/mt, billet fluctuates in the range of
USD 459-460 /mt. Slab and flat products market condition is worse because they
are industrial goods and their demand depends on economic growth. The market does not promise a good end for year 2024
unless USA election change the scene.
In the domestic market: Power shortage problem is almost solved, as expected, DRI price will
slowly improve because suppliers like South Kaveh steel co
will supply billet instead of DRI. This condition will increase billet supply and
decrease its price. Rebar market does not have the power to absorb supply
increase and naturally its price will decline. This condition would occur for
flat products too. New rolling mills are opening every day, so the competition
will be tighter.
Iran's steel market is facing a surplus of
production, that's why it has no choice but to increase export. In the coming weeks, we
will witness stagnation and drop in prices until the government announces its
plan.
CBI average ex-rate for Steel Products (SANA): Rials 460,388/ 1USD
23 Sep 2024
M.Chitsaz
Iran Steel News
Bulletin
IFNAA.IR
IRSTEEL.COM