A recent report from Ezz Steel forecasts a 5% increase in Egypt’s reinforcing steel consumption, reaching 6.8 million tons in 2024. This growth is primarily driven by the completion of key infrastructure projects, timely payments to contractors, and the anticipated resumption of new building permits.
The report also indicates that flat steel consumption is expected to remain stable at 1.5 million tons in 2024, with potential growth in subsequent years. These projections reflect the ongoing development and modernization efforts within the country, highlighting the crucial role of the steel industry in supporting Egypt’s economic expansion.
As the nation continues to invest in its infrastructure and construction sectors, the demand for steel is poised to rise, benefiting both local manufacturers and the broader economy. This positive outlook underscores the importance of strategic planning and investment in sustaining growth within the steel market.
In 2024, Chinese steel exports are projected to surpass 100 million tons, marking the highest level since 2016. This surge in exports is creating significant ripples in global markets, as local producers in various countries struggle to compete with the influx of low-priced Chinese steel. In response, nations such as the United States, the European Union, Canada, South Africa, Turkey, and Brazil have implemented high customs tariffs and various trade measures to safeguard their domestic industries.
Meanwhile, Egypt’s steel market is experiencing notable shifts. Since 2016, the country’s consumption of rebar has significantly declined from 8.6 million tons, largely due to a downturn in private construction activities. However, with the liberalization of the exchange rate and supportive economic policies, consumption is expected to rebound. The introduction of new building legislation and its executive regulations in 2023 and 2024 is anticipated to stimulate the issuance of private building permits, thereby revitalizing private construction in Egypt.
These developments underscore the dynamic nature of the global steel market, where local and international factors interplay to shape industry trends and economic outcomes.
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