Iran's Mobarakeh Steel moved up to 43rd place in global steel production rankings in 2025, producing 10.29 million tonnes while the global industry shrank by 2%. The company's advantage lies in its heavy reliance on direct reduced iron (DRI) and electric arc furnaces, which emit 1.66 tonnes of CO2 per tonne of steel versus 2.66 tonnes for traditional blast furnaces. Iran produced 37.2 million tonnes of DRI in 2025, nearly a quarter of the world total, and 91.9% of its steel comes from electric arc furnaces. This puts Mobarakeh in a strong position as carbon border taxes like the EU's CBAM take effect. The company maintained output despite energy shortages, sanctions, and physical attacks on infrastructure. Iran exported 13.5 million tonnes of steel in 2025, ranking fourth globally in net exports after China, Japan, and South Korea. The article argues that the country's DRI infrastructure could become a springboard for green steel production as the industry shifts toward hydrogen-based methods.
