Iran is trying to implement a new steel pricing mechanism

    Recently, the Iranian Competition Commission announced that the steel industry will implement a new pricing mechanism.

    It is reported that the pricing mechanism to the global average price and Iranian foreign exchange rate based on the purpose of regulating Iran's domestic monopolistic market.

   Under the new mechanism, hot rolled coil suppliers will be required to sell at least 25% of the steel on the Iranian Commodity Exchange (IME) and announce their own supply plans to consumers one week before the start of each quarter. At the same time, the Competition Committee must have a clear understanding of any deviations in the program within a week. These suppliers include Mobarakeh Steel, Ferro Gilan Group and Ahwaz rolling and steel pipe manufacturing plants.