Iran’s Ministry of Industry, Mines and Trades (MIMT) has capped slab exports for the Persian year started 20 Mar’20 to shore up supplies for domestic downstream industries.
Iran will export a maximum of 9,36,000 t slab, around half of last year’s volumes.
Khouzastan Steel Company’s export has been capped at 2,76,000 t, HOSCO at 3,94,000 t and MSC (including Saba steel) at 2,64,000 t. MIMT has also directed major slab producers to mandatorily offer a minimum volume of slab at the Iran Mercantile Exchange (IME). KSC has to offer 10,04,000 mt in IME, whereas HOSCO and MSC have to offer 9,48,000 and 9,84,000 t respectively. The slab export cap is expected to hit Iran’s total steel export volumes.
Iran had a target of exporting 10 mn t steel this year but if less than 1 mn t slab can be exported, it would mean the country will have to export over 9 mn t total of billet and finished steel. That would be rather difficult to achieve, according to Planner.
Iran has already exported 2,04,000 t slab in the first 3 month of Persian year, leaving 7,32,000t for exports during the rest of this Persian year.
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