Iran Steel Producers Association announces expected volume of steel exports
Feb 02, 2019Business & FinanceComments Off on Iran Steel Producers Association announces expected volume of steel exports
The volume of Iran steel exports has fallen due to recent bans while the country's economic situation and limitations effected the process of exports to foreign countries.
"Iran has produced 22 million tons of steel during past nine months of the current Iranian year (March 21,2018) but the production could have reached 25 million tons of steel, " said the member of Iran Steel Producers Association Reza Shahrestani in an interview with Trend.
"The country's steel exports last year (March 20,2017) was 8.5 million tons and this year, due to domestic situation, it is predicted that domestic consumption would not be more than 12 million tons by the end of the year (March 20,2019). It was expected that exports would reach 14 million tons, but in the first past 6 months of the year 3.5 million tons of steel was exported."
"Unfortunately due to sanctions and the wrong government policy, it seems that Iran's steel exports will reach 6.5 percent of the total production by the end of the year in the best case and possibly, there will be steel surplus, as a result of which the supply would be lower than demand and prices would drastically drop," he said.
By imposing sanctions on Aug. 7, the Trump administration targeted Iran's steel and auto production, while it called for suspension of Iranian oil imports.
The Iranian government has banned the export of 50 products, as a measure to support national production, that effected the prices of steel, aluminum, copper and petrochemical materials.
The Persian Gulf states are the main costumers of steel alongside Taiwan while some of Iran steel is being exported to China, he said.