Iran's semi-finished steel output down 8% on year in 9 months to Dec. 21

Iran's semi-finished steel output decreased 8% year on year over the first nine months of the current Iranian year (Jan. 1-Dec. 21) to 21.09 million mt, according to the latest report published Jan. 11 by the Iranian Steel Producers Association.

Some 12.47 million mt of billet was produced by Iranian mills during the period, down 13% on the year, while slab production also fell 2% to 8.62 million mt, according to ISPA.

Finished product output also dropped 5% on the year to 14.71 million mt, including 8.43 million mt of long products, down 3%, and 6.28 million mt of flat products, a 9% decline.

The ISPA report noted that 23.8 million mt of direct-reduced iron was also produced in Iran during the nine-month period, up 2% year on year.

"The main reason for the decline in steel production is the governmental restriction of electricity consumption by steel mills – which mainly use electric arc furnace steelmaking technology and need a huge amount of energy," a steel industry source told S&P Global Platts.