Lower electricity supplies to Iranian steel producers caused a significant drop in output during the first half of the calendar year, which began in late March, according to the Iranian Steel Producers Association (ISPA). Power cuts over the summer, driven by record-high cooling demand, led to production declines of up to 10pct in some steel categories.
ISPA data, cited by ISNA, showed that semi-finished steel output dropped 5.7pct YoY to 14.38 mln tons by September 21.
Finished steel production decreased by 3.3pct YoY to 10.744 mln tons. The largest decline was in long steel products, down 10pct to 5.709 mln tons. However, flat steel production rose 6pct to over 5 mln tons.
Direct reduced iron (DRI) output increased 10.2pct to 20.784 mln tons, while iron pellet production fell 4pct to 31.92 mln tons. Iron concentrate output rose 7.3pct to 33.499 mln tons.
