$37bn Worth of Mobarakeh Steel Products
Dr. Sobhani said:
the operation of the casting machine the capacity of steel
production in the country increased by more than 8 percent.
Mobarakeh Steel Mill is betting on a new continuous casting machine with a
1.8 million-ton annual production capacity for its expansion plans.
First Vice-President Eshaq Jahangiri said that avoiding crude selling and
producing high value-added products is the most significant program of the
Economy of Resistance.
Addressing inaugural ceremony (Nov. 3) of Foulad Mobarakeh Casting Machine
No. 5 in Isfahan (early November), Jahangiri said that promoting
capabilities, using natural resources’ capacities and manpower to set up
knowledge-based industrial enterprises are among the main targets of the
Economy of Resistance.
Iran boasts of huge natural resources, capabilities and efficient manpower,
he said, noting that using the capacities, the country’s industrial
complexes can be promoted to their due status.
Janagiri said that energy resources should not be exported without getting
turned into value-added.
Calling for correct planning for industrial development, he said experts
should first know which parts of the industry are capable of development.
Describing natural resources and mineral industries as the best grounds for
industrial development, he said, “We have huge plans for developing the
country’s oil and gas fields.”
The VP also referred to Mobarakeh Steel as a company of international status
and major symbol of the country’s industry, saying that the company has now
turned into a developmental institute, among ten major steel producers
across the world.
Noting that 84 percent of Mobarakeh Steel’s equipment, parts and raw
materials are manufactured domestically, Jahangiri said that steel industry
should be further promoted.
Steel Output to Hit 50 Million Tons in 6 Years
Minister of Industry, Mine and Trade Mohammad-Reza Nematzadeh said that
crude steel production will reach from the current 17 million tons to 50
million tons in the next six years.
Addressing the inaugural ceremony of Foulad Mobarakeh Casting Machine in
Isfahan, he said that steel production should increase to meet local demand.
Noting that priority is with domestic consumers, the minister said that
Isfahan boasts of higher capabilities to manufacture equipment for steel
Nematzadeh hoped that all parts needed would be manufactured inside the
Today, German and Italian credited companies are demanding investment in
Iran’s steel industry, he said, noting that many firms are using Iranian
steel products and there are good markets for steel sheets across the world.
“We should not think only about exports; rather, we should strive to set up
steel factories abroad,” he said.
Mobarakeh Casting Machine Project, which was commissioned within 28 months
at the cost of 5.020 billion rials, will provide jobs for 100 people
directly and 150 indirectly, he said.
Rise in Mobarakeh Steel Output Capacity
Managing director of Mobarakeh Steel Complex said with the inauguration of
the casting machine No. 5 some 33 percent or 1.8 million tons has been added
to the production capacity of the industrial complex.
Dr. Bahram Sobhani, speaking at the operation ceremony of the casting
machine No. 5, said with the operation of the casting machine the capacity
of steel production in the country increased by more than 8 percent.
Dr. Sobhani pointed out that in the past year despite the
recession,1.8 million tons of Mobarakeh steel products were
sold, adding that 54 percent of the exports were to the European
Noting that production of crude steel in the complex amounts to 4.5 million
tons per year, he further remarked that the goal of the company is to gain
access to the production of crude steel up to 2.7 million tons per year.
Sobhani noted that all the phases of design, transportation and installation
of the equipment of the casting machine No. 5 were completed within 28
months and with an investment of 5020 billion rials.
Referring to 22 percent share of Mobarakeh Steel Complex in production of
steel sheets in the Middle East and North Africa, Sobhani said MSC is the
biggest producer of steel sheets in the Middle East and North Africa.
He added: “Mobarakeh Steel Complex and its subsidiary units are considered
the biggest sponge iron producing company in the world,” saying, “the
company produces 12 million tons of sponge iron and has 1 percent share in
gross domestic product and 5 percent in the industrial sector.”
Stressing that the process of stone to coil (the process of iron ore up to
the coil production) is done in Mobarakeh Steel Complex, he added that about
2,800 upstream companies are cooperating with the MSC. Pointing to the fact
that over 84 percent of the company’s needs are met domestically, Sobhani
said about 1000 factories directly and about three thousand others
indirectly are using steel products of Mobarakeh.
The MSC managing director said three large steel production complexes in the
country, namely Mobarakeh Steel Complex, Saba and Hormuzgan Steel are
considered to be the subsidiaries of MSC.
He pointed out that in the past year despite the recession,1.8 million tons
of Mobarakeh steel products were sold, adding that 54 percent of the
exports were to the European Union. “This shows the high quality of the
products of this company,” he stressed, noting that the plans for the
degassing station, desulfurization station, briquetting of Martyr Kharrazi,
production of deionizer water and casting machine No. 5 have been
implemented to improve the quality of MSC products.”
MSC Development Projects Underway up to 2025
MSC managing director, pointing to the production plans of the company in
2025 horizon said the plant has so far produced about 50 percent of the
steel requirements of the country. He said development plans projected for
Mobarakeh complex will be implemented in some cases up to the year 1397
(2018/19) or will be put in the tender process, adding that designing is
underway for the development projects up to the year 2025. Sobhani added
that there are 13,150 direct employments in Mobarakeh complex, 920 in Saba
and 1,673 in Hormuzgan and noted the total direct and indirect employments
in the complexes belong to MSC at about 350 thousand. Pointing to the
implementation of the plan for the construction of sewage network of the
cities of Mobarakeh and Lenjan, he said for reducing dependency on Zayandeh
Rud water, the complex has signed agreements with the Water and Wastewater
Company of Isfahan for the construction of the wastewater network in the two
Stressing that in return for the construction of the wastewater network in
the two cities, MSC will collect the urban wastewater and use it in its
production cycle, Sobhani said the project, which is for the supply of 450
liters per second of water needed by Mobarakeh Steel Complex, has made 80
$37bn Worth of Mobarakeh Steel Products
MSC managing director, pointing to the value of the products of the company
up to 1395 (2016/17), said the products worth $37 billion of which 72
million tons have been supplied to the domestic market and 17 million tons
to foreign markets.
54 percent of the MSC products in the seven months of the current calendar
year (up to October) have been exported to the EU countries, he said this
shows the high quality of Mobarakeh steel products and their conformity with
international standards. He added that 38 percent of the products have been
exported to the Middle East and 8 percent to the Far East in the first seven
months of the current year.