Output and sales increase takes market share to more than 50%
Emirates Steel has reported a 17.5% rise in output and a 120% increase in sales during 2010, taking the producer’s current market share to more than 50%.
The rises mark the second year of increased trade, with wire rod output increasing 64.5% and billet production increased by 150% in 2010 compared to the last three quarters of 2009; Direct reduced iron (DRI) output went up by 640% in 2010, compared to the last quarter of 2009. Rebar production increased 7.5% year-on-year from 2009.
Around 80% of finished products are sold within the UAE with the balance exported throughout the wider GCC, China, the Far East and Pakistan.
“These are significant increases in our production and sales volumes considering the challenges faced in our local and regional markets,” said CEO Gregor Munstermann.
“The construction sector is the primary consumer of our rebar and wire-rod products and our objective is to be one of the leading regional companies in steel making,” he said.
“Although some stability is returning to the GCC’s construction sector this year, we believe infrastructure projects will accelerate recovery in the next couple of years,” said Mubarak Al Khaili, VP of commercial strategy.
The company also predicts housing requirements across the region will absorb the increased capacity.