Iran recorded the world's record decrease in steel production in January 2025
India produced 13.6 million tons of crude steel in January, a 6.8 percent year-on-year increase, while Japan produced 6.8 million tons, a 6.6 percent decline from January last year. According to the report, crude steel production in the United States in January this year was estimated at 6.6 million tons, making it the world's fourth-largest steelmaker.
The World Steel Association report further emphasized that Russia produced 6 million tons of crude steel, a 0.6 percent decrease from the same month last year. With this production, the country ranks fifth in the world in steel production. According to the report, in the first month of this year, South Korea ranked sixth in the world in steel production, with 5.2 million tons of crude steel, a 8.8 percent decrease.
According to the report, Turkey ranked seventh among the world's top steel producers in January with a production of 3.2 million tons, a decrease of 1.4 percent compared to January 2025. Germany's crude steel production also reached 2.8 million tons in the first month of this year, with a decrease of 8.8 percent point-to-point, and the country ranked eighth among steel exporters.
Despite being among the top 10 steel producing countries, Iran has faced a significant drop in production in recent months. The country's crude steel production decreased by 24.1 percent to 2.2 million tons, which is almost a quarter less than in January 2024. This drop in production could be due to factors such as power outages, energy shortages and management changes in the steel industry.
During this period, there was much discussion about changing the CEOs of steel factories, which ultimately led to changes in management in the three largest companies in the field.
The decline in steel production is not limited to January 2025, but this trend has continued in the early months of 1403. Compared to the first 10 months of 1402, the country's crude steel production has decreased by 5.5%. In addition, billet and bloom production has also faced a 7.2% decline, which is a serious alarm for this industry.
On the other hand, Iran's crude steel exports have also experienced a downward trend. In the first 10 months of 1402, the country's crude steel export volume was 6.3 million tons, but in the same period of 1403, this amount decreased to 5 million tons, which represents a 21% decline. Also, the slab product, which earned $917 million last year, has only exported $588 million this year, which could have negative consequences on the country's trade balance.
Given this downward trend, it is necessary to examine the causes of the decline in exports and find effective solutions to improve the situation. Loss of export opportunities and capacities can have irreparable consequences on the foreign exchange market and the country's economy.
Crude steel production in different regions of the world
According to the World Steel Association report, in January this year, steel-producing countries in the Middle East, including Iran, Qatar, Saudi Arabia and the United Arab Emirates, produced a total of 4.2 million tons of crude steel, which represents a 15.3 percent year-on-year decrease. This is due to a significant drop in steel production in Iran.
Steel production in different regions of the world
The latest report from the World Steel Association indicates that steel-producing countries in Africa, including Egypt, Libya, South Africa and Tunisia, produced a total of 1.9 million tons of crude steel, which is a 3.5 percent decrease compared to the same month last year.
