Iran: Billet prices gain on stronger exports, rebar demand stays weak

• Reopening of Strait of Hormuz supports exports
  
  
• Liquidity shortages pressure long steel consumption
  
  

Iranian domestic billet prices rose by 7,000 rial/kg ($5/t) w-o-w to 585,500 rial/kg ($398/t) as of 29 June, supported by improving export sentiment following the reopening of shipping through the Strait of Hormuz and expectations of stronger overseas sales. The anticipated resumption of import order registrations and inflationary expectations also lent support to billet prices.

In contrast, domestic rebar prices declined by 10,000 rial/kg ($7/t) to 660,000 rial/kg ($449/t) as weak construction demand, liquidity shortages, banking-related payment disruptions, and financing constraints continued to weigh on domestic steel consumption. Increased supply and sluggish trading activity further pressured long product prices.