Emirates Steel revenues up 8% in 2013

Abu Dhabi: Emirates Steel revenues hit Dh6.5 billion ($1.8 billion), almost eight per cent higher than in 2012.

“In spite of the difficult market conditions, our business continued to grow and enter new markets, delivering a solid performance in 2013,” said Saeed G. Al Romaithi, CEO of Emirates Steel. While economic conditions for the global steel sector remain uncertain, many analysts are forecasting demand growth for steel in 2014.

Production of long products in 2013 reached 2.6 million tons, an increase of 12 per cent over 2012. The steelmaker sold 3.0 million tons of product in 2013, of which 1.9 million tons were sold in the domestic UAE market. The balance was exported to a diverse range of markets, including Europe, the Far East, the Americas and the Middle East.

In the Mena region, the World Steel Association (WSA), expected steel demand to grow by only 1.7 per cent to 64.3 million tons in 2013 — after 2.2 per cent growth was recorded in 2012. In 2014, the WSA forecasts steel demand in the region to grow by 7.3 per cent to reach 69 million tons.

“The GCC’s construction sector is becoming more stable which will drive the demand for steel. But more importantly, the multi-billion dollar infrastructure projects planned across the region will be the main driver and the cornerstone of the region’s economic growth in the coming years,” he highlighted.