Iron Charge

Turkey’s DRI Market Outlook Report

Iron Charge    August 3, 2020

10,019€

• TRY: 365,000 ₺

Direct-reduced iron (DRI) is produced in a solid process that converts iron ore pellets or fines into pure iron by being reduced using reducing agents. DRI products are divided into three categories based on shape and appearance: sponge iron, briquettes, and fine; fine is usually used as cold-briquetted iron. DRI can also be categorized based on production process: direct-reduced using coal, and direct-reduced using natural gas. A major part of the Middle East as one of the most important sources of natural gas has been dominated by DRI products using natural gas.

Although producing steel using DRI requires electric furnaces, of there are plenty of in Turkey (EAFs), DRI accounts for a very small share of crude steel output in the country. Recycling and remelting scrap accounts for approximately a quarter of the country’s steel output. Notwithstanding, sponge iron and DRI are the main and only substitutes for scrap for the massive crude steel market in Turkey when raw materials are tight.