Iran’s steel market is in a favorable position compared to the world market and we are witnessing the growth of steel production and exports to all parts of the world. Iran has come a long way in reaching this point of maturity for 50 years and in this way with trial and error There have been many. In the following, we will refer to a part of Iran’s domestic steel performance in the past year. Please be with Artan Press.
*** Iran’s steel industry replaces the sale of Iranian oil
Iran’s steel industry is in a position that can replace the sale of Iranian oil and is considered a very dynamic industry in terms of revenue generation. As it turned out, during the toughest US sanctions, Iran’s steel industry was one of the first items on Trump’s blacklist because the United States knew full well that Iran’s steel industry could meet the challenges of sanctions on Iran’s oil. And take the path of Iran’s economy out of turmoil.
*** Iran is the best producer of steel in the Middle East
The Americans knew full well that steel in Iran, as an industry and strategic commodity, had a good growth path and reached the point where it was the best producer of steel in the Middle East and the second country with the most positive performance in steel production per year. 2020 is recorded in his record. In the worst conditions of Corona in Iran, steel mills were not shut down and the production line, although at a low speed, but continuously took the production route, which is a major factor for growth and development in 2020.
*** Iran ‘s steel industry needs strong management and dynamic policies
It can be boldly claimed that the Iranian steel industry has passed the path of maturity and from now on only a strong management and dynamic policies can bring this industry to its final level. Overcoming production problems, supplying raw materials, meeting the needs of downstream industries and opening up export markets have been achievements that managers and managers of the country’s steel industry have achieved with great planning and macro investments.
*** Iran ‘s steel industry The cane of Iran’s economy in the difficult days of sanctions
It should be emphasized that the steel industry, while creating unique opportunities for development and employment, with the growth of exports and currency, has been the staff of Iran’s economy in the difficult days of sanctions. Iran Steel started its sparks of growth in 1998 and with all the sanctions and challenges, was able to achieve its best performance in the last ten years in 1999. Perhaps one of the most important reasons why the steel industry achieved this was the complete self-sufficiency of the steel chain in raw materials and technology, and this was the reason why US sanctions did not interfere in the process of producing Iranian steel.
*** ۲۰ million tons of steel products last year
Last year, over 20 million tons of steel products, including sheets, rebars, pipes and profiles, etc. were produced in the country, which shows a 6% growth in the production of these products. Production of sponge iron, another product of the steel industry, increased by more than 6% last year and reached about 28 million tons.
*** Iran ‘s steel export record this year
Last year and this year, Iran’s steel export record has been assessed as acceptable despite sanctions. For example, last year, sponge iron was the export leader of the Iranian steel market, and this was a big step for Iran to get out of the way of selling raw materials and be able to supply second and third tier products to the world market. The growth of more than 77% in the sales statistics of sponge iron shows that the Iranian steel market has a good position in the export markets.
*** The world steel industry in 2020
But the growth of the Iranian steel market with a one-dimensional view of this market is considered unkind to the Iranian steel industry and its export processes. We need to examine and see under what circumstances Iran has taken the Middle East export leadership in the steel industry. The global steel industry in 2020 was severely affected by the Corona pandemic. The Corona epidemic, the economic crisis and the sharp drop in steel prices in China and other major producing countries in the world, led to a major shock to the global steel market, and the demand and price of steel fell sharply. Despite these conditions, Iran Steel was able to follow the path of success to an acceptable level.
*** Iran ‘s steel industry needs support to facilitate the export of goods
In the current situation, with the return of the Chinese as the largest player in global steel transactions to the field of production, the real sales scenario of Iran begins. In the current situation, Iran’s steel industry needs the most support from the government and the central bank to facilitate the export of goods. We are completely opposed to the supply of energy and foreign exchange rents, but facilities should be provided to steelmakers to create a market and liquidity of transactions in order to minimize the sleeping costs of goods for them.
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