Saudi iron sector starts to be profitable on rising demand: Al Mudaifer

Khalid Al Mudaifer, Vice-Minister for Mining Affairs, Ministry of Industry and Mineral Resources

Khalid Al Mudaifer, Vice-Minister for Mining Affairs, Ministry of Industry and Mineral Resources, said the Saudi iron sector has started to turn a profit from accumulated losses.

The sector might swing to profit in 2023, driven by burgeoning demand for iron, Al Mudaifer told Argaam on the sidelines of the Second Saudi International Iron & Steel Conference (SIIS), which kicked off in Riyadh today.

The Kingdom imports large amounts of flat steel. Accordingly, there is strong focus on meeting local demand, the top official said, adding that the three mega iron projects announced during the conference will provide this type of iron.

The Kingdom’s vision and various strategies will boost higher demand for iron within the next decade to raise consumption to over 20 million tons from 12 million tons.

Al Mudaifer added that the ministry proposed an integrated plan to correct the status of the sector, to have strong contribution with high profitability and to attract nearly SAR 35 billion investments, which are equal to the current investment.