The Kingdom of Saudi Arabia (KSA) has witnessed significant advancements in its steel industry over recent years. This growth is fueled by extensive government investment in infrastructure, construction projects, and the diversification of its economy under the Vision 2030 initiative. In this blog, we will delve into the major highlights, market numbers, and projections for various segments of the steel industry in KSA, based on a comprehensive analysis from a recent industry report.

Steel Industry Market Overview and Growth Drivers

The Saudi Arabian steel industry is a cornerstone of the country’s economic development, catering primarily to the building and construction sector. The demand for finished iron and steel products is projected to grow at a compound annual growth rate (CAGR) of 3.9% from 2023 to 2026, driven by mega-projects such as NEOM, Red Sea, Qiddiya, and Diriyah. These ambitious projects are not only transforming the skyline of Saudi Arabia but also significantly boosting the demand for steel products.

In the realm of tubular products, the demand for welded pipes surpasses that of seamless pipes. This demand is predominantly driven by the water, waste, and oil & gas transportation sectors. Among welded pipes, helical submerged arc welded (HSAW) pipes are more sought after compared to longitudinal submerged arc welded pipes. This is because HSAW pipes are extensively used in water segments, where numerous projects are either under construction or in t