The Middle East and Africa steel market remains largely stable, supported by rising exchange rates and ongoing political developments. In particular, political unrest in Iran has led to the effective closure of the steel market. The sharp depreciation of the local currency and continued protests have prompted market participants to adopt a defensive stance, creating uncertainty in both the stock exchange and domestic steel prices.
Despite these conditions, Iran’s export prices have remained highly competitive, with slab and billet assessed at USD 415 per ton FOB. This reflects continued pressure on margins due to weak global demand and ongoing trade restrictions linked to sanctions. Iranian rebar prices are at USD 410 FOB, while domestic ex-works prices are significantly lower at USD 390 EXW. This gap highlights aggressive pricing strategies by producers seeking to maintain production amid weak domestic consumption.
By contrast, import-dependent markets are recording substantially higher billet prices. Ghana’s billet price of USD 500 CFR reflects elevated freight costs and reliance on external supply. Similarly, Egyptian billet is reported at USD 480 CFR, positioning Egypt between Iran’s export-driven pricing and the higher import costs seen in West Africa.
In Egypt’s domestic market, finished steel prices have remained relatively stable. Hot-rolled coil (HRC) is trading at USD 647 domestically, while rebar is priced at USD 630 EXW. These levels are supported by infrastructure-related demand, controlled supply conditions, and higher production costs compared to Iran. During the same period, the exchange rate weakened slightly from 47.65 EGP to 47.40 EGP, representing a depreciation of approximately 0.5%. Nevertheless, due to rounding effects and relative stability in the local currency, USD-denominated prices increased marginally for most producers.
In the Eastern Mediterranean markets, prices have risen further, largely due to production disruptions and limited capacity. Syrian billet prices stand at USD 490 EXW, while rebar is assessed at USD 587 EXW, indicating tight supply conditions and elevated input costs. The situation is even more pronounced in Yemen, where rebar prices have climbed to USD 660 EXW.
The current price spread underscores a clear divergence between export-oriented producers such as Iran and supply-constrained markets like Yemen and Syria. While Iranian steel continues to anchor the lower end of regional pricing, high freight rates and geopolitical risks are keeping prices elevated in import-dependent countries. Unless demand recovers meaningfully or logistical conditions improve, this price disparity is expected to persist in the near term.
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