World DRI output up 9% in February, Worldsteel says

Global output of direct reduced iron (DRI) increased by 9.38% year-on-year in February 2017, according to the World Steel Assn (Worldsteel).

DRI output worldwide rose to 4.23 million tonnes in February, compared with 3.87 million tonnes in February 2016, Worldsteel said on Wednesday March 22.

The most prolific DRI-producing nation in January was Iran, which made an estimated 1.20 million tonnes of the material, down marginally by 0.49% year-on-year.

Iran is expected to raise its DRI production this year because of plants being commissioned before the end of 2016, as part of eight long-running state-sponsored projects intended to boost the country’s steelmaking capacity.

India, the second-biggest producer, saw its February production rise by 14.49% year-on-year, to 1.15 million tonnes.

Prices for Indian domestic direct reduced iron (DRI) moved up week-on-week by Rs1,100-1,200 ($17-18) per tonne to Rs18,500-18,900 ($283-289) per tonne ex-works on March 17, their highest level since March 2015.

There were also year-on-year production increases in several other countries, including Saudi Arabia, Qatar and the UAE.

US steelmaker Nucor’s direct reduced iron (DRI) plant in the south-eastern state of Louisiana has restarted production following an unplanned outage in February, the company said on March 16. DRI production in the USA is not monitored by Worldsteel.