The Gulf steel industry is undergoing a massive shift, creating opportunities for every manufacturer in the region.
If you think the Gulf’s steel boom is all about capacity, think again.
It’s about carbon, and how to cut it.
Across the GCC, leading steel producers are accelerating their green transition amid global supply chain shifts and rising sustainability demands.
The goal?
Stay competitive in export markets that now penalize carbon-heavy manufacturing.
Huge companies are investing heavily in hydrogen-based steelmaking, electric arc furnaces, and carbon capture systems, reducing emissions by up to 40% compared to traditional blast furnaces.
It’s not just environmental, it’s economic.
The EU’s Carbon Border Adjustment Mechanism (CBAM), effective in 2026, will levy import taxes based on carbon intensity.
That means every ton of green steel produced locally could gain a global cost advantage.
With $2.5 trillion in GCC infrastructure investments planned by 2030, demand for locally-produced green steel will surge. EU's Carbon Border Adjustment Mechanism (CBAM) makes low-carbon steel a competitive necessity, not just an environmental choice.
THE ADVANTAGE:
Gulf producers using modern DRI + Electric Arc Furnace technology can produce low-carbon steel at 30% lower cost than competing technologies.
Manufacturers who align with green steel standards now will win infrastructure contracts over the next 5 years.
