A report shows a steel output target of 55 million tons per annum (mpta) is well within reach for Iran as the country seeks to become the world’s seventh largest steel producer by 2025.
The Thursday report by the official IRNA news agency showed that Iran had already reached a steel production capacity of 39 mpta while the government aims to finish projects in the upcoming years that could add another 16 mpta to capacity.
The report cited output figures from Iran’s downstream steel sector that showed the 55 mpta steel output target would delivered in 2025.
The figures showed that Iran will reach a capacity for production of 52 mpta of sponge iron, or what is technically known as direct reduced iron (DRI), to ensure steel mills across the country would have enough feedstock to meet their output targets.
On iron pellet, the report said that Iran would have an extra 2 mpta in output capacity in 2025 when pellet production is expected to top 77 mpta.
Iran would also have a surplus capacity of 1 mpta in iron lump production as total output would reach 8 mpta, it said, adding that iron concentrate capacity would also be slightly above the target at 82 mpta.
However, same figures pointed to a potential shortfall of 22 mpta in iron ore production in Iran in 2025 when the country is expected to reach 145 mpta of output for the raw material.