While the global steel industry grappled with a 2% production decline and widespread stagnation in 2025, Iran's Mobarakeh Steel Company advanced in the global rankings. The World Steel Association's (worldsteel) 2026 report revealed that the Isfahan-based company rose from 44th to 43rd place.
Growth Against Global Stagnation
In 2025, global crude steel production reached 1.849 million tonnes. This figure reflects a continued downward trend from the historic peak in 2021. While traditional powers like Japan, Russia, and South Korea experienced production declines, Iran consolidated its position among the world's top 10 producers with 1.9% growth and 32 million tonnes of steel output.
Mobarakeh Steel, with its 10.29 million tonne production, was at the center of this national growth. The company's progress in the global ranking is seen as a result of its strategy to ensure production continuity under challenging conditions, including energy constraints, technology sanctions, and physical threats.
Leadership on the Path to Green Steel
One of Iran's most notable strengths on the international stage is its world leadership in direct reduced iron (DRI) production. In 2025, Iran produced 37.2 million tonnes of DRI, accounting for approximately one-quarter of the global production of this critical product.
This leadership provides Mobarakeh Steel with a significant advantage in the green steel transition. While 69.4% of the world's steel production still uses the traditional and polluting blast furnace route, Iran's technological structure allows 91.9% of its production to be carried out via the electric arc furnace method. The carbon emission intensity of this method is significantly lower compared to the blast furnace route.
Strong Export Presence
In 2025, Iran maintained its position as the world's 10th largest steel exporter with 13.5 million tonnes of steel exports. Particularly notable was Iran's fourth-place ranking, after China, Japan, and South Korea, with a net export surplus of 12.0 million tonnes.
These figures show that Mobarakeh Steel Company and the Iranian steel industry have become a strong and effective player in export markets, beyond meeting domestic consumption of 219 kilograms per capita, which is above the global average.
Future Perspective
While rising to 43rd place in the global ranking is a significant achievement, Mobarakeh Steel's direct reduction infrastructure holds the potential to be a springboard for leadership in the regional green steel market.
The company is positioning itself as a resilient industrial power that has managed to transform geopolitical crises into opportunities to consolidate its technological advantage and strengthen its global position.
