Qatar and Bahrain just signed a massive $1.27 billion steel deal, aiming to boost industrial cooperation and strengthen the steel sector in the region.
The agreement, announced by Qatar’s Ministry of Commerce and Industry, will see Qatar Steel and Bahrain Steel supply five million tonnes of steel over five years.
It explained that this strategic partnership ensures a stable supply of basic raw materials for Qatar Steel operations, which enhances production efficiency and supports sustainable economic development in the region.
This partnership is part of the industrial partnership for sustainable economic development, which promotes collaboration across various industries, including agriculture, pharmaceuticals, and manufacturing.
The Gulf’s steel industry has been expanding rapidly, driven by major investments in infrastructure and industrial projects, and this deal is expected to create new investment opportunities, enhance industrial competitiveness, and strengthen local supply chains.
This strategic partnership will provide Qatar Steel with a stable supply of essential raw materials, enhancing production efficiency and supporting sustainable economic growth.
Bahrain Steel, an iron ore pelletizing company located in the heart of the Arabian Gulf, operates twin plants with a combined capacity of 12 million tonnes of pellets. The company represents a $3.5 billion investment and plays a central role in the region’s steel industry, according to its website.
Producing a range of pellets for both direct reduction and blast furnace steelmaking, Bahrain Steel sources raw materials via its own port terminal. Three-quarters of its finished products are exported.
Established in 1974 as the Arabian Gulf’s first integrated steel plant, Qatar Steel began commercial production in 1978 and has been a wholly owned subsidiary of Industries Qatar since 2003.
Headquartered in Messaieed Industrial City, south of Doha, it also operates a UAE-based subsidiary, Qatar Steel Company FZE.
from Business News updates - Latest news stories on Economy from Pakistan
