Japanese companies will build steel plants in Iran

The state news agency IRNA reports that 12 representatives of a delegation from 10 Japanese firms signed a final agreement on the construction of the first metallurgical plant in Chabahar in the presence of the Japanese Ambassador to Iran. According to the delegation's report, the contract for the construction of a plant with a production capacity of 3 million tons of steel per year called "Makran Chabahar" was signed on the second day of the visit of the Japanese delegation to Chabahar.

Representatives of various companies have previously visited the free zone with the aim of building metallurgical plants and at least four companies have passed the initial stages of registration, obtaining permits for land development and the main activity involving the construction of new plants. Representatives of Japanese companies working in the metallurgical industry said they are ready to take part in the construction of metallurgical plants in the Chabahar free zone and turn the area into a center for the metallurgical industry.

The manager of the Chabahar Free Trade and Industrial Zone, Hamed Ali Mobaraki, said that the construction plan for the Makran metallurgical complex with a capacity of 3 million tons of steel production per year has reached the stage of signing a construction contract with Iranian private sector companies. Mobaraki said the plan was developed as part of new projects for the development and renovation of the Iranian Mining Industry Organization (IMIDRO). The free trade and industry zone, which will also involve the private sector, will include a metallurgical conglomerate. The Makran steel plant is planned to be commissioned in two stages, and at the first stage it will provide production of 1.6 million tons of steel per year.

Mobaraki stressed that the advantage for the construction of steel mills in the area is easy access to iron ore mines in the province or in neighboring countries, as well as increased demand for steel products in the markets of neighboring countries. He said that the proximity and accessibility of target markets, thanks to the free seaports of Oman and the existence of water resources, are among the most important advantages of the area for the construction of steel mills and industrial development in general.