Price Explosion of Iranian Goods: Roots of Inflation and Market Fluctuations from June 2024 toJune 2

TEHRAN, Iran - July 25, 2025 - PRLog -- Over the past year, Iran's commodity market has faced considerable price swings, driven by domestic inflation, global economic conditions, and currency volatility. This trend has put manufacturers and consumers in a challenging spot, trying to adapt to ongoing uncertainty.

According to Fatemeh Bagheri, Editor-in-Chief of Titrsanat News Agency, the prices of key commodities—including steel, copper, aluminum, cement, and gold—showed significant year-over-year increases from June 2024 to June 2025. For example, base steel rose from 39,179 IRR to over 56,000 IRR, marking a 43% jump.

These increases are linked to several factors: a weakening national currency, rising energy prices—especially in energy-intensive sectors like steel and cement—and limitations on imports caused by international sanctions. Additionally, global metal prices and increased regional demand for Iranian products played a role in pushing prices higher.

Despite these increases, a short-term comparison from May to June 2025 reveals a slight drop—approximately 3% in steel prices. This suggests early signs of stabilization, possibly reflecting the effectiveness of recent government controls.

Commodities like cathode copper, aluminum, and cement have followed similar patterns: strong annual growth with some signs of short-term price moderation. While long-term inflationary forces remain, market interventions appear to be yielding limited but positive results.

Main Drivers Behind the Volatility:

• Persistent currency depreciation
• High energy costs, especially in heavy industries
• Sanctions and difficulty importing raw materials
• Regional market demand for Iranian exports
• Global trends in metal and gold pricing

Though many producers experienced higher sales volumes, profitability remains a concern due to increased costs and outdated technologies. Only a handful of firms with advanced infrastructure and strategic policies have maintained competitiveness.

Market Outlook:

Iran's commodity market stands at a crossroads. While the short-term signs are promising, deeper reforms—such as improved productivity, better access to modern tech, and stable economic policies—are essential to ensure long-term resilience and global competitiveness.

Original Persian Article on Titrsanat News:

https://titrsanat.ir/?p=10890