Saudi Arabia plans to invest approximately $12 billion in steel projects in order to increase metal output in response to the significant rise in local demand. According to Khalid Al-Mudaifer, deputy minister for industry and mineral resources, steel demand, a cornerstone of construction activity, is already high due to the huge projects underway as part of the Gulf kingdom's Vision 2030 economic diversification strategy.
Furthermore, Al-Mudaifer, as cited by Saudi newspaper Al-Madina, stated that mega projects launched in the world’s largest oil exporter over the past few years have a value of more than SAR 5 trillion ($1.33 trillion) and that more such projects are in the pipeline.
“These projects have largely boosted demand for steel. We expect this demand to surge by at least 150 percent in the next few years thanks to these projects,” Al-Mudaifer.