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Saudi Arabia establishes national company for scrap metal imports

Saudi Arabia is preparing to establish a national company to import and supply scrap metal in order to support the steel sector, which has investment opportunities worth approximately 60 billion Saudi riyals (15.9 billion dollars).

Saudi Arabia establishes national company for scrap metal imports

Speaking at the 3rd Saudi International Iron and Steel Conference held in Riyadh, Minister of Industry and Mineral Resources Bandar El-Horayef emphasized that the Kingdom has taken decisive steps to increase local production and reduce dependence on imports.

El-Horayef announced that the ministry has conducted a comprehensive market assessment to address the supply gap in the sector and increase the local production of high value-added steel products.

The new initiative, part of Saudi Arabia's industrial strategy under Vision 2030, aims to localize basic materials, attract foreign investment, and increase the manufacturing sector's contribution to non-oil gross domestic product. The minister described the current situation in the steel sector as a “period of challenges and developments” and invited private sector representatives to cooperate in implementing strategic goals. Planned initiatives include establishing a specialized steel academy to train Saudi talent and launching a national company to import scrap metal. El-Horayef stated that these initiatives will enhance the country's competitiveness and have a direct positive impact on the sector's cost structure.

“We examined the most appropriate solutions to close the gap in the local market and reduce steel sheet imports. Investment opportunities worth approximately 60 billion riyals are spread across various product areas of critical importance to local industry,” said Al-Horayef, emphasizing that the sector must continue to invest in high value-added and quality products. Thousands of participants from more than 50 countries attended the three-day conference, which began on October 14. Supported by the Federation of Saudi Chambers, the event highlighted sustainable production, technological innovation, and supply chain resilience. Leading figures in the global steel supply chain, government officials, and experts participated in the conference.

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