Iran's steel output will be negatively affected by severe power shortages that started in June and still remain an issue, market participants said.
Iran Power Generation, Distribution & Transmission Co (Tavanir) ordered steel and cement production factories to reduce electricity consumption starting Tuesday July 6, local news provider Financial Tribune reported on July 7.
"Iranian mills are instructed by the government to cut electricity consumption by a minimum of 50% in July due to power outages and a shortage of electricity in the country and extremely hot summer," one trader source said.
"The mills are now in negotiations with authorities regarding the actual figure of the electricity consumption cut," he said. "It will depend on the region. Some mills in the south of the country were [ordered to cut] 100% of electricity consumption and had to stop production. So they are issuing
force majeure certificates for July rolling."
Another source said...