Speaking to reporters, Karimi confirmed that the previous export ban
has been lifted and while a 10 percent export duty remains in place, efforts to
eliminate or lower this levy are underway at high levels of government.
“Currently, there is no restriction on exports,” Karimi said.
“Although a 10 percent export tariff is still applied, we are seriously
following up on its removal or reduction.”
He highlighted the significant price gap between domestic and regional
export markets. “Export prices in the Middle East, based on Persian Gulf
benchmarks, exceed $1,000 per ton, while domestic prices hover around $846 per
ton despite competitive trading on the commodity exchange,” Karimi explained.
“This discrepancy effectively subsidizes local consumers and reduces the
profitability of petrochemical producers.”
Arvand’s PVC production capacity stands at 250,000 tons annually.
Karimi estimated that a 10 percent increase in competitiveness on the domestic
exchange could boost the company’s profits by approximately $20 million.
The CEO also criticized downstream actors who purchase PVC
domestically only to export finished goods like windows and pipes, calling it
“not real exporting.” He stressed the importance of competing directly in
global markets with regional prices to secure Arvand’s market share.
Karimi reported that since late last year, Arvand has been engaged in
extensive lobbying to revise export duties. “Although new tariffs have yet to
be announced more than 50 days into the new fiscal year, the issue has reached
the President’s office. Senior officials, including the holding company CEO and
presidential advisors, are actively addressing the matter.”
Arvand has also filed an official complaint with Iran’s Administrative
Justice Court, arguing that PVC is a processed final product and should not be
subject to export restrictions meant for raw or semi-finished materials.
He added that export restrictions were fully lifted last year, and
shipments to Russia have resumed with several hundred tons already dispatched.
The company is negotiating long-term contracts aligned with the country’s
Seventh Development Plan.
Production growth of 15 to 25 percent over recent years has
strengthened Arvand’s export capacity, Karimi said, expressing optimism about
future export prospects in regional markets.
Finally, Karimi disclosed ongoing discussions with the Ministry of
Petroleum and National Petrochemical Company, including confirmation from
senior officials on the potential reduction or elimination of tariffs. The
matter has been escalated to the President and First Vice President.
“With government support, legal and diplomatic efforts, and strong
production capacity, we foresee a bright outlook for sustained PVC exports,” he
concluded.