In the past decade, Iran’s steel industry has seen significant growth in production and exports, establishing itself as an international industry. Iran’s steel production increased from under 14.5 million tons in 2012 to over 32 million tons in 2023, demonstrating significant growth. In 2023, there was a 5.5% increase in steel production in Iran, the highest in the country’s steel history. This performance has allowed Iran to secure the tenth place among the world’s steel producers, despite declining trends in other countries. In some months, Iran even reached the seventh place.
The steel industry plays a crucial role in Iran’s development, providing raw materials for related industries, creating jobs, boosting production, driving economic growth, generating foreign exchange, and enhancing its global presence. Mobarakeh Steel’s undeniable role as the largest steel manufacturer in the country cannot be overstated.
Based on the most recent available statistics, the current steel production capacity of the country is about 49,205,000 tons, out of which approximately 32,108,000 tons were produced last year. It’s worth noting that Mobarakeh Steel has been focused on utilizing its existing capacities to the fullest extent since 2021 and has successfully surpassed previous production records, significantly contributing to Iran’s steel production and global ranking.
In Mobarakeh Steel Company, since 2021, we have focused on five basic strategies: maximizing the use of existing capacities, developing human capital, embracing innovation and new technologies, achieving balanced quantitative and qualitative development, and transitioning to a green industry. We are delighted to announce that our plans, investments, and measures have been successfully implemented in the execution of 130 development projects, impacting the stability of production and contributing to the economic prosperity of the country.
In 2023, Mobarakeh Steel’s share of the country’s total crude steel production reached 32%. The company’s share in the country’s pellet production is 18.2%, sponge iron is 30.3%, and hot coil production is 77.3%. The company has successfully and artistically maximized the available capacity in its production lines.
Regarding achieving the goals outlined in the strategy focusing on innovation and new technologies, it should be noted that in 2023, our company increased its investments in utilizing innovations and new technologies, resulting in significant success. This includes increasing the amount of Mobarakeh Steel orders to knowledge-based companies to 200 trillion Rials, opening the MSC Innovation Center and Collaborative Office at Isfahan University, signing a joint memorandum of understanding between the Non-Governmental Research and Technology Fund of Mobarakeh Steel Corporate Venture Investment, Tehran University Science, and Technology Park, and the Atomic Energy Organization.
It has become increasingly evident that the country’s steel industry can serve as a viable alternative for the Iranian non-oil economy.
A comprehensive analysis of the entire iron ore extraction process from the mines, raw steel production and casting, secondary operations, and steel rolling, as well as the subsequent sale and consumption of steel products within the country’s industrial cycle, has positioned Iran as a country with experienced and expert manpower in this field.
Iran has also achieved significant milestones in acquiring technical knowledge related to steel production. It’s important not to overlook MSC’s role as the driving force and flag bearer of production and development, particularly in the steel industry.
Mobarakeh Steel’s expansion beyond Isfahan province to various regions in the country is contributing to economic prosperity, industrial progress, and the improvement of people’s livelihoods. The Mobarakeh Steel Group has directly and indirectly created job opportunities for more than 380 thousand people.
The steel industry’s export and global market presence benefits the country. To sustain a position in the global market, it is essential to produce diverse high-quality products that meet standards and are competitively priced. Steel export contributes to the economic prosperity of the country and serves as a source of foreign exchange, positively impacting the economy. In 2023, Mobarakeh Steel prioritized supplying the domestic market and exporting 1,400,000 tons of its quality products, bringing in $715 million. There is potential to increase this figure by improving and facilitating the export route.
Additionally, Mobarakeh Steel products have played a significant role in boosting various industries including automobile manufacturing, machinery manufacturing, mining, shipbuilding, transportation, pipe and profile manufacturing, packaging, and energy production and transmission. Their positive impact has greatly contributed to the country’s economic growth and development. MSC played a crucial role in the water transfer projects from the Oman Sea to the Iranian Plateau, producing the necessary steel coils for the manufacturing pipes for these projects. This project continues to progress with the efforts of Mobarakeh Steel and the collaborative support of other relevant organizations.
Mobarakeh Steel is considered to be a pioneer in the field of green steel worldwide. The company utilizes Midrex furnaces and electric arc furnaces (EAF) for recovering and operating raw steel production. Additionally, Mobarakeh Steel is currently reviewing and studying other projects, which has solidified its position as one of the leading companies in this field.
