Iran's Mobarakeh Steel Rises to 43rd in Global Ranking

While the global steel industry in 2025 experienced a 2 percent decline in production and a broad-based downturn, the industrial giants of the Middle East chose a different path. According to the World Steel Association's 2026 report, Esfahan's Mobarakeh Steel not only preserved its position in these turbulent conditions but rose to 43rd place among the world's top producers, becoming a symbol of industrial resilience. This rise occurred while the region faced complex geopolitical challenges and security threats, including attacks on industrial infrastructure.

Global crude steel production reached 1,849 million tons in 2025, continuing the downward trend from the historic peak of 2021. At a time when traditional powers such as Japan, Russia, and South Korea experienced declines in output, Iran, with 1.9 percent growth and 32 million tons of steel production, consolidated its position among the world's top 10 producers. At the center of this national growth, Mobarakeh Steel, with output of 10.29 million tons, improved its global ranking from 44th to 43rd. This achievement demonstrates the company's ability to manage crises and sustain its supply chain under difficult operating conditions.

One of Iran's outstanding strengths, with Mobarakeh Steel as its driving force, is the country's achievement of first place in the world in direct reduced iron (DRI) production. In 2025, Iran, with 37.2 million tons of DRI output, accounted for nearly one-quarter of global production of this key product. This leadership is both a quantitative and qualitative advantage on the path toward green steel. While 69.4 percent of the world's steel is still produced through the traditional and polluting blast furnace route, Iran's technological structure is such that 91.9 percent of its production is generated through the electric arc furnace (EAF) route. The carbon emission intensity of this method (1.66 tons of CO2) is significantly lower than that of the blast furnace method (2.66 tons), placing Mobarakeh Steel in a strong position to face future stringent carbon regulations, such as the European Union's CBAM mechanism.

Mobarakeh Steel's rise in the global ranking has been achieved against a backdrop of energy constraints, technology sanctions, and direct physical threats. Unlike many global competitors operating in stable environments, Mobarakeh Steel has been able, by relying on indigenous expertise and a strategy of "continuity of production under risk conditions," to serve as an anchor of economic stability in the regional steel value chain. This vast industrial complex has demonstrated that even amid military and geopolitical tensions, Iran's industrial capacities continue to grow.

In 2025, Iran maintained its position as the world's tenth-largest steel exporter, with 13.5 million tons of steel exports. Particularly noteworthy is Iran's fourth-place ranking in net exports (export surplus relative to imports), at 12.0 million tonnes, placing it after China, Japan, and South Korea. These figures show that Mobarakeh Steel Company and Iran's steel industry, beyond meeting domestic demand—with per capita consumption at 219 kilograms, above the global average of 209 kilograms—have become a strong and influential player in export markets.

Although rising to 43rd place in the world is a major achievement, the latent potential within Mobarakeh Steel points to an even brighter path ahead. With the global transition toward hydrogen and low-carbon steel, the company's direct reduction infrastructure could become a springboard for leadership in the regional green steel market. According to the World Steel Association (worldsteel) 2025 and 2026 statistical reports and exclusive analyses by the Steel Future Think Tank, Mobarakeh Steel Company is sending a clear message to global markets: the company is no longer merely a national and regional producer, but a resilient power in the steel industry that has succeeded in turning geopolitical crises into an opportunity to consolidate its technological advantage and enhance its global standing.