Syria’s Ministry of Economy and Industry has signed a 30-year memorandum of understanding with Saudi Arabia’s Ithraa Group to rehabilitate, modernize and operate the General Company for Iron and Steel Products in Hama, known as the Hama Steel Plant.
The agreement was signed during the 63rd Damascus International Fair and includes the installation of modern production lines and a gradual expansion of the plant’s production capacity to at least 350,000 tons per year within four years.
The Hama steel plant has faced prolonged operational challenges, including shortages of electricity and scrap feedstock. The melting unit resumed operations in June 2025 following maintenance and repair work, with the aim of producing billet to support Syria’s reconstruction needs.
Under the new agreement, Ithraa will oversee the plant’s rehabilitation, modernization and operation. The project is expected to strengthen domestic steel production and reduce reliance on imported steel products as reconstruction activity develops.