iran steel market overview - · pdf fileiran steel market overview mr. hadi hami, marketing...

SBB Steel Markets - Middle East Steel Conference, 2-3 September 2007, Shangri-La Hotel , Dubai, UAE © 2007 MEsteel.com - All Rights Reserved.

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IRAN STEEL MARKET OVERVIEWIRAN STEEL MARKET OVERVIEWMr. Hadi Hami, Marketing Manager

www.mesteel.com

SBB STEEL MARKET MIDDLE EAST CONFERENCE

2-3 September 2007,

Shangri-La Hotel, Dubai, UAE


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Iran Steel Market

• Production overview & outlook• Exports: Which mill exports what?• Imports: How volatile is the market? • Import sources diversify. Why China?• Middle East and Iran demand side issues• Iran pipes & tubes market perspective• Iran steel prices & market opportunities


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• Iran Steel Production Overview - Outlook

– Semis production (per mill in 2004 – 2006)– Finished products production

(per mill in 2004 – 2006)


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Iran Steel Production (mt) (2004 - 2006)

0

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

12,000,000

Semis Finished Products

Semis 8,989,640 9,574,291 9,928,081

Finished Products 9,432,800 10,594,844 11,054,015

2004 2005 2006


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Iran Semis Production (mt) per mill (2004 - 2006)

0 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000

2004

2005

2006

Khorasan Steel Co 317,012 410,674 460,274Iran Alloy Steel 150,389 188,337 187,726INSIG 105,273 115,681 125,150Khouzestan Steel Co 2,150,849 2,205,792 2,280,128Mobarakeh Steel Co 3,859,516 4,146,372 4,658,264Esfahan Steel Co 2,406,601 2,507,435 2,216,539

2004 2005 2006


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Iran Finished Products Production (mt) per mill ( 2004 - 2006)

0 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000

2004

2005

2006

Others 300,000 730,000 900,000Ahwaz Rolling & Pipes 293,658 320,218 224,437Kerman Steel Co 110,036 103,225 102,818Khorasan Steel Co 555,502 603,290 644,234Azarbaijan Steel Co 573,084 525,103 553,664Iran Alloy Steel 162,071 180,996 182,136Kavian Steel Co 465,329 480,451 439,097INSIG 692,652 852,665 1,056,076Mobarakeh Steel Co 3,853,548 4,222,644 4,609,021Esfahan Steel Co 2,426,920 2,576,252 2,342,532

2004 2005 2006


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Iran steel exports per product type (2005 – 2006)

• Export Figures per mill (2005 - 2006)• “Value” of steel exports per mill (2005 - 2006)


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Iran steel exports (mt) per mill (2005 - 2006)

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

Esfahan Steel Co (ESCO) 284,232 213,856Saba Complex 48,889 70,149Mobarakeh Steel Co (MSC) 1,052,881 1,087,701Khouzestan Steel Co (KSC) 927,237 531,274Iran National Steel (INSIG) 143,995 49,530Kavian steel 1,000 1,782Iran Alloy Steel 17,103 18,891Azarbaijan Steel 17,307 15,570Khorasan Steel Co 13,067 3,732Ahwaz Rolling & Pipes 32,713 37,487

2005 2006


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Total Iran Steel Exports ( 2005 - 2006)

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

Expo

rted

Qua

ntity

(mt)

Total Iran Exports 2,538,424 2,029,972

2005 2006


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M obarakeh Stee l Exports ( 2005 - 2006)

500

100,500

200,500

300,500

400,500

500,500

600,500

700,500

800,500

900,500

Expo

rted

Qua

ntity

(mt)

Hot Rolled Sheets 77,614 141,661

Hot Rolled Coils 928,861 894,089

Pickled Coils 3,537 31,101

Cold Rolled Coils 828 1,581

Coated Coils /Sheets 1,345 9,625

Slabs 40,696 9,644

2005 2006


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Khuzestan Steel Exports ( 2005 - 2006)

0

100,000

200,000

300,000

400,000

500,000

600,000

Expo

rted

Qua

ntity

(mt)

Blooms 609,696 442,148

Billets 155,902 28,597

Slabs 161,639 60,529

2005 2006


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ESCO Exports ( 2005-2006)

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

Expo

rted

Qua

ntity

(mt)

I-Beams 119,777 136,887

Rebars 98,462 76,969

Sections 65,993 0

2005 2006


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Saba Complex Exports ( 2005 - 2006)

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

Expo

rted

Qua

ntity

(mt)

Hot Rolled Coils 48,889 70,149

2005 2006


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INSIG Exports ( 2005 - 2006)

0

8,000

16,000

24,000

32,000

40,000

48,000

56,000

64,000

72,000

80,000

Expo

rted

Qua

ntity

(mt)

I-Beams 63,957 4,700

Rebars 76,497 42,581

Seamless Pipes 3,541 2,249

2005 2006


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Imports: How volatile is the market?

• Steel imports per product type (mt) (2004-2006)

• “Average Price” of steel imports per product type (2004-2006)


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Iran steel imports per product type (2004-2006)

0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000

Pig Iron

Ferro Alloys

Iron Powder

Iron Scrap

Alloy Scrap

Billets

Hot Rolled Coils

Cold Rolled Coils

Coated Coils/Sheets

Rebars

Sections & Beams

Wires

SS Billets

SS Coils/Sheets

SS Bars

SS Sections

SS Wires

Alloy Steel Billets

Alloy Steel Sheets

Alloy Steel Rebars

Alloy Steel Profiles

Alloy Steel Wires

(mt)

2004 2005 2006


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Iran "Average Price " of imported steel products per product type (2004-2006)

0 500 1000 1500 2000 2500 3000 3500 4000 4500

Pig Iron

Ferro Alloys

Iron Powder

Iron Scrap

Alloy Scrap

Billets

Hot Rolled Coils

Cold Rolled Coils

Coated Coils/Sheets

Rebars

Sections & Beams

Wires

SS Billets

SS Coils/Sheets

SS Bars

SS Sections

SS Wires

Alloy Steel Billets

Alloy Steel Sheets

Alloy Steel Rebars

Alloy Steel Profiles

Alloy Steel Wires

($/mt)

2004 2005 2006


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Import sources diversify, Why China?


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Middle East long products imports, Ex-China per country (2006)

0

100

200

300

400

500

Vol (

'000

) mt

United Arab EmiratesIranSaudi ArabiaSyriaYemenKuwaitBahrainIsraelQatarJordanLebanonIraqOmanPalestine

United Arab Emirates 443

Iran 360

Saudi Arabia 230

Syria 202

Yemen 125

Kuwait 59

Vol ('000) Mtons


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Middle East flat products imports, Ex-China per country (2006)

0

50

100

150

200

250

300

350

Vol (

'000

) mt

United Arab EmiratesSaudi ArabiaIranIsraelKuwaitSyriaJordanYemenQatarLebanonBahrainIraqOman


Saudi Arabia 111

Iran 88

Israel 82

Kuwait 22

Syria 19

Vol ('000) Mtons


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Middle East long products imports, Ex-China per country (Jan-Feb 2007)

0

100

200

300

400

500

600

700

Vol (

'000

) mt

IranSaudi ArabiaRep YemenUnited Arab EmiratesSyrianKuwaitJordanIsraelQatarOmanIraqLebanonPalestineBahrain

Iran 575

Saudi Arabia 73

Rep Yemen 69


Syrian 37

Kuwait 16

Vol ('000) Mtons


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Middle East flat products imports, Ex- China per country (Jan - Feb 2007)

0

10

20

30

40

50

Vol

('00

0) m

t

United Arab EmiratesSaudi ArabiaIsraelIranKuwaitJordanOmanLebanonSyrianQatarBahrainIraqRep Yemen


Saudi Arabia 23

Israel 22

Iran 7

Kuwait 6

Jordan 5

Vol ('000) Mtons


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Iran Seamless Pipe Producer

Iran National Steel Industrial Group (INSIG) (The only local player)


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Iran Seamless Pipes Production (INSIG Production)(mt) (2004 -2006)

20042005

2006

3789836878

30315

32003541

2249

Year Production Export


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Iran Total Seamless Pipes Production (mt) (INSIG) (Q1+Q2 2007)

15,960

7,980

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

(Q1+ Q2 2006) (Q1+Q2 2007)

Production


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Seamless pipe demand increase

- Domestic Consumption Increase- Shortage of Raw Materials

- Import difficulties- More Government Restrictions


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Iran Carbon Steel Prices

• 2006

• 2007


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Iran Steel Semi Finished Products Prices ( 2006 )

0

100

200

300

400

500

600

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

($/m

tt)

Billets Slabs


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Iran Steel Semi Finished Products Prices - 2007

0

100

200

300

400

500

600

700

Jan Feb Mar Apr May June July Aug Sep

USD

/ m

t

Billets Slabs


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Iran Steel Rebar Prices ( 2006 )

0

100

200

300

400

500

600

700

800


($/m

tt)


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Iran Steel Rebars Prices - 2007

600

620

640

660

680

700

720

740


USD

/ mt


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Iran Steel Beam Prices ( 2006 )

0

100

200

300

400

500

600

700

800

900

1000


($/m

tt)

Beams ( 140mm - 180 mm ) Beams ( 200mm - 300 mm )


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Iran Steel Beams Prices - 2007

0

200

400

600

800

1,000

1,200


USD

/ m

t

Beams ( 140mm - 200 mm ) Beams ( 220mm - 300 mm )


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Iran Steel Hot Rolled Coil Prices (2006)

0

100

200

300

400

500

600

700


($/m

t)

(2mm - 2.5mm) (2.5mm - 4mm) (4mm - 8mm) (8mm -12.5mm)


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Iran Steel Hot Rolled Coils Prices - 2007

0

100

200

300

400

500

600

700

800

Hot Rolled Coils(2mm - 2.5mm)

Hot Rolled Coils(2.5mm - 4mm)

Hot Rolled Coils(4mm - 8mm)

Hot Rolled Coils(8mm - 12.5mm)

USD

/ m

t



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Iran Steel Cold Rolled Coil Prices ( 2006 )

0

100

200

300

400

500

600

700

800


($/m

t)

Cold Rolled Coils (1mm - 1.5mm)


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Iran Steel Cold Rolled Coils Prices (1mm - 1.5mm) - 2007

0

100

200

300

400

500

600

700

800


USD

/ mt


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Iran Coated Steel Coil Prices ( 2006 )

0

100

200

300

400

500

600

700

800

900

1000


($/m

t)

Gi Coils (CR Base) Tinplate (0.3 mm )


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Iran Coated Steel Coils - 2007

750

800

850

900

950

1,000


USD

/ m

t

Gi Coils (CR Base) Tinplate (0.3 mm )


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Thanks for your attentionFor questions regarding this presentation, the Iranian or Middle East steel market, contact us at our stand here, or

Email : [email protected]

WWW.MESTEEL.COM

Linking Steel Sellers and Buyers in the Middle east

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iran steel market overview - · pdf fileiran steel market overview mr. hadi hami, marketing...

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