The demand for steel in the Gulf Cooperation Council (GCC) surged to 20 million metric tons in 2007, and is projected to grow at a CAGR of around 14.5 percent, said a new research study dubbed “UAE Steel Industry Analysis.” The GCC region has established itself as a major player in the global steel industry over the last few years and played a critical role in increasing the global steel consumption during 2000-2006, the report said. While the global steel consumption during 2000-2006 witnessed a CAGR growth of 6 percent, consumption in the GCC region grew at a CAGR of good 8 percent on account of rising use of steel in various forms. Within the GCC region, the UAE has emerged as a key player in steel industry. The growth in the UAE steel industry is led by soaring import that rose from 4,437 million tons in 2004 to 6,514 million tons in 2006. The import of all forms of steel, such as HRC, CR and coated sheet (except Semis), have grown at a rapid pace, highlighting that the steel demand is being led by highly active construction sector. The UAE steel industry is growing with full vigor with strong demand from the construction sector owing to initiation of giant real estate and infrastructure development projects. According to the report, with giant real estate and infrastructure development projects like roads, airport, power lines, bridges and metro kicking off almost everyday in the UAE, the volume of imported steel has been increasing sharply. Steel import in the country is expected to continue to rise in coming years as many of these projects are in the nascent stage and construction activities are projected to grow at a CAGR of about 12.8 percent by 2010. The report thoroughly studies the market trends, evolving markets and growth prospects. By intensively examining and correlating the past market trends and base drivers in the UAE steel industry, the report forecasts the future growth of the industry. It assesses the current status of the steel industry in the UAE and GCC region to identify investment opportunities for global investors. The report provides forecast on steel production by country, rebar steel consumption by country and construction industry. __
