Iran: Billet, rebar prices rise as rial depreciation tightens steel market

• Higher billet costs lift downstream rebar prices
• Tighter domestic supply contributes to price uptick

Iranian billet prices increased by 176,000 rial/kg ($100/t) w-o-w to 1,025,000 rial/kg ($581/t), while rebar prices rose by 235,000 rial/kg ($133/t) to 1,220,000 rial/kg ($692/t). The increases were driven by the sharp depreciation of the rial, higher billet costs, and tighter domestic supply.

New Iran Mercantile Exchange (IME) restrictions on billet purchases disrupted market activity, while concerns over potential gas-supply constraints and raw-material availability added further supply-side pressure. Rising billet prices were subsequently reflected in finished steel, pushing rebar values higher despite weak underlying demand.