Steel plant expansions under way across the country will add more than one million tonnes of capacity this year, but the UAE will still rely on imports for half of its steel supply, the chief executive of RAK Steel, the country's second-largest producer, said Thursday.
The company announced it would move forward with a 50 per cent capacity expansion at its mill in Ras al Khaimah, which will take total annual production to 750,000 tonnes by the end of the year at a cost of US$15 million (Dh55m).
The output from the expansion, together with the start-up of two mills in Musaffah, will be absorbed by the local market, said Ajay Aggarwal, the chief of RAK Steel.
"Even after commissioning of all these mills, it will not be enough for the current demand, which is a reduced rate for the UAE," he said. "Slowly the local production will replace imports. There's still a 50 per cent gap between imports and exports."
RAK's new mills were supposed to come online at the start of the year, but the company delayed their launch because of poor conditions in the steel market.
Spot steel price on the London Metal Exchange (LME) fell more than 70 per cent to below $300 per tonne last fall before recovering slightly. Mediterranean steel traded at $330 per tonne yesterday on the LME spot market.
RAK Steel plans to invest up the steel value chain with construction of a $150 million plant to produce steel billets, the raw material for the mill that is currently imported.
The company will begin producing the billets within three years from scrap metal, Mr Aggarwal said.
RAK Steel is a joint venture between the Ras al Khaimah Investment Authority (RAKIA) and Middle East Traders Group, which will together directly fund part of the expansion. The company expects the rest of the project to be financed by a consortium of local banks, Mr Aggarwal said.
UAE financiers took aim at the steel market in the last several years as the construction boom drove up imports of steel beams and reinforcement bar. The onset of the financial crisis saw projects delayed and regional producers reduce output, but market conditions are slowly recovering.
"In about two years, we expect the construction market to get back to Pre-2008 levels and thereafter maintain a growth trend of around 5 per cent," Mr Aggarwal said, adding that price volatility would also fall as the economy recovered.
RAK Steel remained a priority of the emirate's government, he said.
"The vision of His Highness is to make Ras al Khaimah self-sufficient in building materials," he said. "Steel is a major infrastructure product. This part of the world should not be so dependent on oil."
In Musaffah, Emirates Steel Industries is completing the commissioning of a new integrated steel production line that will produce steel billets from iron oxide, with output of 2 million tonnes of steel products annually.
The firm says it will complete a second production line next year that will produce 1 million tonnes of steel per year. Two additional expansions will increase its production capacity to 6 million tonnes over five years, potentially allowing it to control a majority of the domestic market.
cstanton@thenational.ae
In numbers: PKK’s money network in Europe
Germany: PKK collectors typically bring in $18 million in cash a year – amount has trebled since 2010
Revolutionary tax: Investigators say about $2 million a year raised from ‘tax collection’ around Marseille
Extortion: Gunman convicted in 2023 of demanding $10,000 from Kurdish businessman in Stockholm
Drug trade: PKK income claimed by Turkish anti-drugs force in 2024 to be as high as $500 million a year
Denmark: PKK one of two terrorist groups along with Iranian separatists ASMLA to raise “two-digit million amounts”
Contributions: Hundreds of euros expected from typical Kurdish families and thousands from business owners
TV channel: Kurdish Roj TV accounts frozen and went bankrupt after Denmark fined it more than $1 million over PKK links in 2013
How to wear a kandura
Dos
- Wear the right fabric for the right season and occasion
- Always ask for the dress code if you don’t know
- Wear a white kandura, white ghutra / shemagh (headwear) and black shoes for work
- Wear 100 per cent cotton under the kandura as most fabrics are polyester
Don’ts
- Wear hamdania for work, always wear a ghutra and agal
- Buy a kandura only based on how it feels; ask questions about the fabric and understand what you are buying
A MINECRAFT MOVIE
Director: Jared Hess
Starring: Jack Black, Jennifer Coolidge, Jason Momoa
Rating: 3/5
Auron Mein Kahan Dum Tha
Starring: Ajay Devgn, Tabu, Shantanu Maheshwari, Jimmy Shergill, Saiee Manjrekar
Director: Neeraj Pandey
Rating: 2.5/5
THE SPECS
Cadillac XT6 2020 Premium Luxury
Engine: 3.6L V-6
Transmission: nine-speed automatic
Power: 310hp
Torque: 367Nm
Price: Dh280,000
Company%20profile
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NO OTHER LAND
Director: Basel Adra, Yuval Abraham, Rachel Szor, Hamdan Ballal
Stars: Basel Adra, Yuval Abraham
Rating: 3.5/5
Sholto Byrnes on Myanmar politics
The biog
Name: Capt Shadia Khasif
Position: Head of the Criminal Registration Department at Hatta police
Family: Five sons and three daughters
The first female investigator in Hatta.
Role Model: Father
She believes that there is a solution to every problem
The rules on fostering in the UAE
A foster couple or family must:
- be Muslim, Emirati and be residing in the UAE
- not be younger than 25 years old
- not have been convicted of offences or crimes involving moral turpitude
- be free of infectious diseases or psychological and mental disorders
- have the ability to support its members and the foster child financially
- undertake to treat and raise the child in a proper manner and take care of his or her health and well-being
- A single, divorced or widowed Muslim Emirati female, residing in the UAE may apply to foster a child if she is at least 30 years old and able to support the child financially
What drives subscription retailing?
Once the domain of newspaper home deliveries, subscription model retailing has combined with e-commerce to permeate myriad products and services.
The concept has grown tremendously around the world and is forecast to thrive further, according to UnivDatos Market Insights’ report on recent and predicted trends in the sector.
The global subscription e-commerce market was valued at $13.2 billion (Dh48.5bn) in 2018. It is forecast to touch $478.2bn in 2025, and include the entertainment, fitness, food, cosmetics, baby care and fashion sectors.
The report says subscription-based services currently constitute “a small trend within e-commerce”. The US hosts almost 70 per cent of recurring plan firms, including leaders Dollar Shave Club, Hello Fresh and Netflix. Walmart and Sephora are among longer established retailers entering the space.
UnivDatos cites younger and affluent urbanites as prime subscription targets, with women currently the largest share of end-users.
That’s expected to remain unchanged until 2025, when women will represent a $246.6bn market share, owing to increasing numbers of start-ups targeting women.
Personal care and beauty occupy the largest chunk of the worldwide subscription e-commerce market, with changing lifestyles, work schedules, customisation and convenience among the chief future drivers.
La Mer lowdown
La Mer beach is open from 10am until midnight, daily, and is located in Jumeirah 1, well after Kite Beach. Some restaurants, like Cupagahwa, are open from 8am for breakfast; most others start at noon. At the time of writing, we noticed that signs for Vicolo, an Italian eatery, and Kaftan, a Turkish restaurant, indicated that these two restaurants will be open soon, most likely this month. Parking is available, as well as a Dh100 all-day valet option or a Dh50 valet service if you’re just stopping by for a few hours.
The bio
Favourite food: Japanese
Favourite car: Lamborghini
Favourite hobby: Football
Favourite quote: If your dreams don’t scare you, they are not big enough
Favourite country: UAE
MATCH INFO
Sheffield United 2 Bournemouth 1
United: Sharp (45 2'), Lundstram (84')
Bournemouth: C Wilson (13')
Man of the Match: Jack O’Connell (Sheffield United)
Our family matters legal consultant
Name: Hassan Mohsen Elhais
Position: legal consultant with Al Rowaad Advocates and Legal Consultants.
The advice provided in our columns does not constitute legal advice and is provided for information only. Readers are encouraged to seek independent legal advice.
2025 Fifa Club World Cup groups
Group A: Palmeiras, Porto, Al Ahly, Inter Miami.
Group B: Paris Saint-Germain, Atletico Madrid, Botafogo, Seattle.
Group C: Bayern Munich, Auckland City, Boca Juniors, Benfica.
Group D: Flamengo, ES Tunis, Chelsea, (Leon banned).
Group E: River Plate, Urawa, Monterrey, Inter Milan.
Group F: Fluminense, Borussia Dortmund, Ulsan, Mamelodi Sundowns.
Group G: Manchester City, Wydad, Al Ain, Juventus.
Group H: Real Madrid, Al Hilal, Pachuca, Salzburg.
