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In the first month of the Persian New Year (March 21 to April 20, 2025), Iran's AB/AQ51 steel crude steel production achieved moderate growth. Driven by the warming climate in spring and improved energy supply, steel mills have better production conditions than in winter, resulting in a slight increase in output.
According to the Iranian Steel Producers Association (ISPA), crude steel (billet) production increased by 4.6% year-on-year to 3.3 million tons. Among them, the production of square and rectangular billets increased by 2.7%, approaching 2 million tons; The growth of slab production is more significant, with a year-on-year increase of 7.6%, exceeding 1.3 million tons.
However, downstream finished material AB/AQ51 steel production decreased by 2.1% year-on-year, to 1.8 million tons. Despite a 4.1% increase in the combined production of threaded steel and coil screws, reaching 840000 tons, the production of section steel decreased significantly by 41.4% to only 65000 tons, which basically offset the overall increase in long steel production. The performance of the sheet metal was also poor, with the total production of sheet metal decreasing by 3.3% year-on-year to 827000 tons due to the drag of hot coils.
Unlike the weak performance of finished materials, the upstream raw material chain of steel continues to show a growth trend. The production of Direct Reduced Iron (DRI) increased by 7% year-on-year, reaching 4.1 million tons; The AB/AQ51 steel roduction of iron ore concentrate increased slightly by 1.1% to 6.6 million tons; Although the mineral output of pellets decreased by 1.4% year-on-year, it still remained above 6.2 million tons.
Overall, despite pressure on the finished product end, the production of raw materials and crude steel has steadily increased, laying the foundation for the initial recovery of Iran's steel industry in the new year.
