Skip to content Skip to Search
Skip navigation

Mena steel demand to rise over next two years

The Saudi Contractors Authority put the total value of ongoing projects in the kingdom at $1.5 trillion by the end of October 2023 Eneqvist
The Saudi Contractors Authority put the total value of ongoing projects in the kingdom at $1.5 trillion by the end of October 2023

Steel demand in the Middle East and North Africa (Mena) region is expected to accelerate in 2024 and 2025 after a significant slowdown in the past two years, the World Steel Association (WSA) said in a report.

Demand is forecast to rise by just over 4 percent and 2.6 percent year on year to 57 million tonnes and 59 million tonnes in 2024 and 2025, respectively. 

Real estate consultancy Knight Frank described Saudi Arabia in September 2022 as “the biggest construction site the world has ever seen” and this was before Riyadh won hosting rights for Expo 2030 and the World Cup 2034.

The Saudi Contractors Authority has put the total value of ongoing projects in the kingdom at $1.5 trillion by the end of October 2023.

GlobalData, a London-based data analyst and consultancy, estimated the size of the UAE’s construction market at $94 billion in 2023 and expects annual growth of 3 percent between 2025 and 2028.

The London-based association projected demand to rise by 1.7 percent to 1,793 metric tonnes in 2024 and grow by 1.2 percent to 1,815 metric tonnes next year.

Although demand for steel across regions fell following a downturn in residential construction due to high-interest rates and high construction costs, recovery in the residential construction sector is expected from 2025 onwards.

According to the WSA, faster-than-expected disinflation and monetary policy easing will significantly boost steel-using sectors, particularly housing construction. 

The acceleration in global decarbonisation efforts can support global steel demand, the report said.

Latest articles

In a concession to the electorate, the legislation before parliament proposes a 25 percent increase in the payment to pensioners on the lowest rate of support

Turkey targets business with steep taxes to raise revenue

Multinational corporations operating in Turkey face a steep increase in their tax bills, thanks to one of the new revenue-raising measures outlined by the government in draft legislation aimed at narrowing the budget deficit. Under the new tax reforms, tabled before the parliament on July 16, multinationals with more than $817.6 million in annual consolidated […]

Saudi growth forecast

IMF lowers Saudi growth forecast over oil output cuts

The International Monetary Fund has lowered its forecast for economic growth in Saudi Arabia by almost an entire percentage point, as cuts in oil production continue to weigh heavily on the kingdom’s economy.  In its World Economic Outlook Update, the IMF reduced its forecast for Saudi GDP growth to 1.7 percent for this year, down […]

People, Person, Groupshot APQ CEO Ebubekir Koyuncu (sitting left) and Aramco acting senior vice president of new business development Mohanad M Alamdar at the signing ceremony

Saudi Aramco bolsters blue hydrogen portfolio 

Saudi Aramco has acquired a 50 percent stake in Jubail-based Blue Hydrogen Industrial Gases Company (BHIG), a wholly-owned subsidiary of Air Products Qudra. No financial details were disclosed. The transaction, subject to standard closing conditions, includes options for the oil giant to offtake hydrogen and nitrogen.  The remaining 50 percent will be owned by APQ, […]

Egypt's SCA is seeking revenue of $9 billion from the Suez Canal operation in 2024/2025, 25 percent more than the previous year

Egypt to float Suez Canal subsidiary next year

Egypt’s Suez Canal Authority (SCA) is planning to list Canal Mooring & Lights Company, a specialist in the mooring and unmooring of ships, on the local bourse, a news report said. The proposed listing will take place early next year, Bloomberg Ashraq reported, quoting SCA’s chairman Osama Rabie. In June 2023, the official confirmed the […]