Demand for rebar and wire rod is projected to reach 7.5 mln tons in 2024, according to Jassem Abbas, Vice Chairman of the National Committee for Steel Industry (NSCI) and General Manager of Sales, Marketing, and Business Development at Al Ittefaq Steel Products Co. (ISPC).
In an interview with Argaam at an event by the Federation of Saudi Chambers of Commerce, Abbas noted strong demand for rebar in the first half of 2024, driven by mega projects like the Mukaab, which alone consumes over 2.2 mln tons, as well as ongoing stadium constructions requiring large quantities of rebar.
Abbas explained that Saudi Arabia’s steel supply chains depend on two raw material sources: scrap steel and iron ore, mainly from Brazil. Al Ittefaq and Hadeed rely on iron ore imports, while other smelting plants use scrap steel, which is currently facing shortages and price volatility. However, he expects prices to stabilize by Q4 2024.
Despite global price fluctuations, Abbas emphasized that Saudi steel demand remains robust due to large-scale projects and Vision 2030 initiatives. Saudi Arabia’s strategic location also supports exports, with ISPC exporting to Iraq, Oman, Kuwait, and Bahrain. The company is set to make its first shipment to Canada this month.
