Middle East steel 2008
- Published: 22 April 2008 08:41 GMT
- Last Updated: 27 August 2008 08:07
MEED Insight's Middle East Steel 2008 reveals that, despite only accounting for two per cent of the global steel trade, the Middle East steel industry is undergoing rapid expansion to meet the needs of the fast expanding construction sector.
The Middle East produced 21.1 million tonnes of raw steel in 2006 and consumed 41.6 million tonnes of finished goods. This is forecast to rise to 35 million tonnes of production and 60 million tonnes of finished goods by 2010.
The report investigates how the Middle East's growing infrastructure base and rapid industrialisation drive are responding to dramatic increases in global commodity prices, which are giving the regional steel industry its biggest boost in decades.
The aim of this report is to study the activities and plans of the region's leading raw steel producers and their place in the global market, as well as looking at price and demand trends.
It provides a comprehensive overview of the booming Middle East steel industry and looks in detail at:
The drive for self-sufficiency and diversification
Prospects for a rise in raw steel and finished goods production
The impact of traditional reliance on imported semi-finished products
Regional and International steel market conditions
The challenges facing Iran on delivering planned capacity expansions
An exceptionally buoyant projects market, combined with Gulf governments' desire to diversify into heavy industry and reduce reliance on imports, means that steel is likely to continue to be a growth industry in the region for years to come.
Further key insights from the report reveal:
Rebar prices went through the $1,000 a tonne barrier in late March 2008. They shot up from $600 a tonne to well above $800 a tonne in the three months to end-January 2008, reflecting the huge demand for long products from the booming construction industry.
Traders report that regional market conditions remain highly volatile and unpredictable, in keeping with global commodities markets.
The rise of China as a steel powerhouse, producing one third of the world's raw steel, is not expected to destabilise other markets - barring the unlikely removal by Beijing of export controls. China also faces ore supply challenges, putting further upward pressure on global ore prices while encouraging the country to continue stockpiling resources for infrastructure development.
With Iran troubled by tension with the West, Saudi Arabia is the only country in the region in a position to substantially ramp up production to meet the strong regional demand. Egypt is the region's other major player, but exports little to the GCC.
If you and your business are involved in this dynamic sector, this report will be invaluable.
The report will assist you in planning, business development and maximising the vast opportunities on offer.
To order a copy of MEED Insight's Middle East steel 2008 report, download the order form (PDF) or email us, quoting reference STL2, for more information.
