Crude steel production in the four Middle Eastern countries covered by worldsteel’s monthly report surged 18% on-year in October to 2.97 million tonnes. The region was second only to Africa in terms of output growth rate. This took January-October output up 13.3% on-year to 27.17mt.

The impressive growth was driven by the region’s largest producer, Iran, which saw output surge 24.2% to an estimated 1.98mt in October. This took ten-month production up 20.9% to 17.91mt. Much of Iran’s output growth has been driven by increased steel exports, mainly at Khouzestan Steel and Esfahan Steel, although domestic flat product consumption has also risen significantly this year.

Qatar continued to defy the trade embargo imposed on it by neighbours United Arab Emirates and Saudi Arabia by increasing production 27.8% in October to 239,000t. This took ten-month production up 4.9% to 2.24mt. Qatar Steel is reported to have concluded at least two large export deals to East Asia in recent months, as it looks to mitigate the halt in trade with neighbours.

Saudi Arabia’s largest producer, Sabic, saw production rise 7.3% in October to an estimated 470,000t, but ten-month output still fell -5.1% due to struggles in previous months. Saudi mills have been pushing for rebar export deals since the kingdom lifted a nine-year ban on these exports in July. One mill was recently heard concluding a 40,000t rebar cargo to Egypt (see Kallanish 22 November).

United Arab Emirates’ crude steel production saw an uncharacteristic decline in October, by -5.1% to 284,000t. The country’s mills reduced last week prices for December-delivery rebar partly due to increased competition from Oman. Ten-month output, however, still rose 8.5% to 2.74mt.

Crude steel production in Egypt, meanwhile, surged 31.4% in October to an estimated 585,000t, taking ten-month output up 35.5% to 5.52mt.