Saudi Arabia Structural Steel Market 2025 – 2034

Reports Description

As per the Saudi Arabia Structural Steel Market analysis conducted by the CMI Team, the Saudi Arabia Structural Steel Market is expected to record a CAGR of 6.5% from 2025 to 2034. In 2025, the market size is projected to reach a valuation of USD 7.1 Billion. By 2034, the valuation is anticipated to reach USD 12.5 Billion.

Source: Saudi Arabia Government Portal (my.gov.sa), Ministry of Industry and Mineral Resources (mining.mim.gov.sa). This table provides key insights from the Saudi Arabian government’s industrial and steel production initiatives.

Saudi Arabia Structural Steel Industry Overview

The Saudi Arabian Structural steel market has more to contribute to the functioning of the construction and industry. This market is mainly driven by Central Saudi Arabia, where big cities such as Riyadh create high demand for steel in construction and commercial buildings. The Eastern Region also plays a big role, since the oil and gas industries need steel for their infrastructure.

The main segments of the market are residential, commercial, industrial, and infrastructure projects, where construction is the largest demand driver. With public projects such as those under Vision 2030 and all private sector investments, the steel sector is set for growth.

The market is presumed to experience steady growth as the demand for steel in large projects increases. With the local steel production boost and steel import reduction being a top agenda for the Government, the Saudi steel market is anticipated to see an even stronger performance in the years to come.

Saudi Arabia Structural Steel Market Significant Growth Factors                            

The Saudi Arabia Structural Steel Market Trends presents significant growth opportunities due to several factors:

• Government Initiatives and Vision 2030: The Saudi Vision 2030 is a key national initiative towards economic diversification, aimed at reducing absolute dependence on oil for revenue generation. The development of infrastructure and the industrial sector under this vision will increase the requirement for Structural steel . For example, the National Industrial Development and Logistics Program (NIDLP) and many of the other government initiatives focus on creating a stable growth environment for the steel market, acting to boost the local production of steel while reducing import dependencies. Furthermore, the priority infrastructure development projects from the government’s strategic focus on transportation, housing, and energy will enhance the consumption of steel in construction projects for the future growth of this market.

• Urbanization and Infrastructure Development: Urbanization is the most critical factor behind the growth of the structural steel market in Saudi Arabia. From the all-time increasing population, there is an increasing demand for residential buildings, followed by commercial and industrial buildings. Major infrastructures such as roads, bridges, or airports need large amounts of steel. Rapid expansion of cities like Riyadh and Jeddah will dictate the high number of constructions and steady demand for steel materials. The ongoing development of smart cities and upcoming economic zones under Vision 2030 will keep demanding steel products, ranging from housing to public infrastructure applications.

• Economic Diversification and Industrial Growth: Indeed, Saudi Arabia’s Vision 2030 program sees the country diversify its economy mainly from oil, targeting non-oil-based manufacturing, logistics, and renewable energy industries. Given that impending transition, there is still an increase in demand for industrial steel products for factories, warehouses, and energy infrastructures. Investment in industrial facilities and manufacturing hubs across the Kingdom is further contributing to the market for structural steel. Defence, automotive, and renewable energy sectors further create additional demand for steel in industrial applications that will generate long-term growth in the market.

• Rising Demand from the Sector: One of the largest consumers of structural steel is the construction industry in Saudi Arabia. Mega residential complexes, commercial towers, and infrastructure such as roads, bridges, and airports require steel amounts on a grand scale. With the Saudi government’s commitment to investing in public infrastructure and development projects under the Vision 2030 plan, the amount of steel that will find its way into construction continues to grow. Development of green, energy-efficient buildings will further fuel advancement into new-age steel products and hence their use in some or all parts of construction projects. All these will maximize production capacity and advancement in new steel-grade products and steel applications.

• Innovations and Domestic Production in Technology: The structural steel market in Saudi Arabia is being propelled by technological change in the field of steel manufacturing. Adoption of more efficient and environmentally friendly production methods, including electric arc furnaces as well as advanced technologies for steelmaking, is allowing local steel manufacturers to produce high-quality structural steel products. In addition, it also recognizes the government’s support for developing the local steel production industry to scale down imports of the products from other countries. Investment in technology and research by steel companies further sharpens product quality and increases production efficiency, thus allowing the Kingdom to meet local and regional demand. This will further strengthen the position of Saudi Arabia as a competitive steel producer in the world market.

Saudi Arabia Structural Steel Market Significant Threats

The Saudi Arabia Structural Steel Market faces several significant threats that could impact its growth and profitability in the future. Some of these threats include:

• Volatility in Raw Material Prices: The Saudi Arabian structural steel market is very susceptible to fluctuations in raw material prices, especially iron ore and scrap metal. Any hike in prices on the world market due to various factors like supply chain disturbances, geopolitical tensions, or demand variations from the major steel-producing countries will increase the production costs. Higher prices for raw materials may push local manufacturers to raise their prices, making their products less competitive in the regional and global markets. Such conditions are downside factors for the growth prospects of the steel industry in Saudi Arabia, especially when the country wants to localize production and reduce import dependency.

• Trade Barriers and Tariffs: Trade barriers and tariffs remain an ongoing concern affecting Saudi Arabian steel exports. Any imposition of new tariffs or trade restrictions on steel products can limit the Kingdom’s access to these markets. This would be damaging to the steel manufacturers’ profit margins and their ability to benefit from the growing global demand for steel. In turn, such trade barriers may result in acute overcapacity in domestic markets, leading to fierce price competition and lowered profit margins among local steel producers.

Saudi Arabia Structural Steel Market Opportunities

• Increasing Internal Market Demand: Given the ongoing urbanization and infrastructure development activities in Saudi Arabia, specifically through Vision 2030, the structural steel market is expected to develop rapidly for some time to come. The ongoing residential, commercial, and industrial mega-projects invariably sustain steel demand. Again, the drive by the government towards sustainability and green building practices opens up opportunities for specialized steel products meant for improving enhanced environmental performance. Increased new cities and economic zones would continue to offer steel manufacturers emerging markets in terms of expanding production capabilities and product offerings.

• Entering other Areas such as Renewable Energy: Saudi Arabia has found a rare and unique opportunity for the structural steel market in moving toward renewable energy and non-oil industries. As part of Vision 2030, infrastructure demand will keep increasing for renewable energy projects, such as solar farms and wind farms. Demand for advanced steel solutions will also emerge very soon as a result of establishing new sectors such as electric vehicles, technology, and defense. The steel companies can productively broaden their product lines to address these new industries and hence give room for continued growth for the market in the coming years.

Saudi Arabia Structural Steel Market Category Wise Insights

By Product Type

• H-Type Beams: The use of H-type beams makes much sense as regards structures, as they have high strength-to-weight ratios. They are integral to the skeletons of low- and high-rise buildings. Infrastructure developments such as bridges, commercial buildings, and industrial complexes in Saudi Arabia drive the demand for these beams. The ability to carry large loads brought them into use for large-scale urban developments. These government policies will ensure continuous demand for the products in the future since the Vision 2030 focuses on urban infrastructure improvement.

• I-Type Beams: The construction industry has primarily relied on I-type beams that provide low-cost solutions and high structural efficiency. Most parts of the country have main load-bearing structures in multi-story buildings and some enclosed warehouses. The case is similar in terms of infrastructure components, where I-beams are applied in bridges and other types of structures. I-beams, though manufactured and imported, have been quite an underdeveloped field in the proliferating market of the kingdom, with the pace of large-scale development and urbanization in focus.

• Angles: Steel angles serve an important role in structuring frames for several types of constructions. Applications extend to construction and industry, including bridges, buildings, and factories. Cost-effective and versatile, steel angles can be applied to construction sites of both large and small scales in Saudi Arabia. Demand for steel angles is expected to further increase with the continuation of government infrastructure projects under Vision 2030.

• Columns: Steel columns hold the weight and strength of buildings and other infrastructure projects, particularly with high-rise constructions and plants existing in industrial complexes. The move from commercial to residential property is increasing the demand for steel columns in Saudi Arabia. With the Vision 2030 plan, which consists of infrastructure modernization and the planned new cities, the demand for using steel columns is boosted, especially for commercial and industrial types of buildings.

By End Use Industry

• Residential: The residential construction sector in Saudi Arabia is currently growing very strongly, driven by urbanization and a rise in population. With a focus on affordable housing and urban development, the demand for steel products in residential structures is on the rise. Steel beams, columns, and reinforcement bars are widely used in residential construction due to their durability, cost-effectiveness, and strength.

• Commercial: Commercial buildings such as office spaces, retail centers, and hotels largely account for the steel structural demand in the country. Under Vision 2030, this demand is being fueled by a desire in the Kingdom for modern cities and business hubs. With new commercial projects unfolding, including big malls, hotels, and office towers, this strong demand for the steel product in construction and façades is expected to continue.

• Industrial: In Saudi Arabia, industrial construction includes factories, warehouses, and even logistics centers, which makes it a large end-user of structural steel. One thing to know about the growing industrial sector in the Kingdom is that it is expected to prosper shortly, preferably after Vision 2030, and so it is already making great impacts on the demand for steel products. Steel is essential in most cases for building and erecting robust structures and buildings, facilitating large-scale industries, and making and distributing goods to all industries.

• Institutional: Particularly in the case of institutional buildings, hospitals, schools, and government offices need heavy steel requirements for their construction activities. The government modernizes its healthcare and education systems, causing a considerable increase in steel demand in the country. Institutional projects get strength and reliability with steel, and with many public projects still to be undertaken, even this segment will be enriched further.

Saudi Arabia Structural Steel Market Impact of Recent Tariff Policies

Recent tariff policies have created significant disruptions to the structural steel market in Saudi Arabia, and the government decided to raise import duties on steel products. From June 2025, the customs duties on billets, hot-rolled flats, rebar, and wire rods were raised to the WTO-bound ceilings, which are from 10% to 20% for those products, and the tariffs are all designed to create significant growth in domestic steel manufacturing and support the Kingdom’s Vision 2030 localization ambitions.

Local producers such as HADEED and Zamil Steel have benefited from a significant advantage and have gained pricing power and less competition from imports. The costs for construction materials have risen with the introduction of higher tariffs, so ultimately, project costs will rise as well because it will flow through to total costs.

Additionally, the global shift in trade, particularly regarding U.S. Section 232 tariffs and other indirect voluntary steel levies, has served as a barrier to imports of finished and semi-finished structural steel products to Saudi Arabia. The (increased) add-on costs are going to put extra pressure on contractors and developers to pass through the higher escalation (between 3.4% and 7%) onto owners/developers, especially on a large project (infrastructure to real estate) with lots of flows in and out of scope.

If there is a switching cost, one variable that may occur as a result of import duty increases is to seek out ways to create and source from other supply chains (domestic or regional) instead of imports or to look to modular or prefabricated structural items or builds to lower costs.

Report Scope

Saudi Arabia Structural Steel Market Key Developments

In recent years, the Saudi Arabia Structural Steel Market has experienced several crucial changes as the players in the market strive to grow their geographical footprint and improve their product line and profits by using synergies.

• In March 2025, Zamil Structural Steel announced the expansion of its steel fabrication plant in Dammam, Saudi Arabia. This expansion aims to increase the company’s capacity to meet the growing demand for structural steel in the Kingdom’s infrastructure and construction sectors, aligning with Vision 2030 goals.

• In January 2025, Attieh Steel entered a strategic partnership with ArcelorMittal to enhance its supply of high-quality steel products for large-scale infrastructure projects. This collaboration strengthens the company’s position in the local market and boosts its ability to meet the growing demand in Saudi Arabia’s construction sector.

• In December 2024, Al Ittefaq Steel launched a new product line focusing on environmentally friendly steel products. The green steel range is designed to meet the growing demand for sustainable materials in the construction and industrial sectors, supporting the Saudi government’s push for eco-friendly infrastructure under Vision 2030.

• In November 2024, SABIC and Tata Steel formed a joint venture to develop advanced steel solutions for the automotive and construction industries. The partnership focuses on innovative, high-strength steel products aimed at reducing weight and enhancing the durability of structures, contributing to more sustainable construction methods.

• In October 2024, Hadeed, a subsidiary of SABIC, announced a major investment in state-of-the-art steel recycling technology. This initiative is part of the company’s strategy to boost production capacity while adhering to sustainability practices, helping to meet the growing demand for recycled steel products in Saudi Arabia’s industrial and construction sectors.

These important changes facilitated the companies’ ability to widen their portfolios, to bolster their competitiveness, and to exploit the possibilities for growth available in the Saudi Arabia Structural Steel Market. This phenomenon is likely to persist since most companies are struggling to outperform their rivals in the market.

Saudi Arabia Structural Steel Market Competitive Landscape

The Saudi Arabia Structural Steel Market is highly competitive, with a large number of service providers globally. Some of the key players in the market include:

• Attieh Steel
• Zamil Structural Steel Co. Ltd.
• Al Ittefaq Steel Products Co. (ISPC)
• Gulf Specialized Works
• Station Contracting Ltd.
• Absal Steel
• SABIC
• Arabian Construction Company (ACC)
• Al-Rashed Steel
• Al-Tuwairqi Group
• Beshay Steel
• Saudi Iron and Steel Company (Hadeed)
• Apex Steel
• Al Khobar Steel
• Doha Steel
• Severfield
• ArcelorMittal
• Essar Steel
• POSCO
• JFE Steel Corporation
• Others

These companies implement a series of techniques to penetrate the market, such as innovations, mergers and acquisitions, and collaboration.

Saudi Arabia’s structural steel industry is highly competitive, with local and international players in constant competition for market share. Leading domestic companies Zamil Structural Steel Co. Ltd., Attieh Steel, and Al Ittefaq Steel Products Co. dominate the market, utilizing their long-established manufacturing facilities and local expertise. These companies benefit from government initiatives to promote local production within Vision 2030, which requires domestic steel to be procured for large-scale projects.

International players such as ArcelorMittal, POSCO, and Tata Steel have also entered and become successful within the market, providing products of superior quality and advanced technology. These global players contend in the market by providing specialized steel solutions and by investing in partnership arrangements with local firms to establish themselves within Saudi Arabia’s growing infrastructure and industrial sectors.

With the increasing global demand for sustainable steel, the competitive environment has shifted, with companies investing in green steel technologies to comply with environmentally acceptable construction practices. In sum, in a market characterized by intense competition between domestic manufacturers and international players equipped with sophisticated capabilities, it is safe to say that competition will remain evergreen.

The Saudi Arabia Structural Steel Market is segmented as follows:

By Product Type

• H-Type Beams
• I-Type Beams
• Columns
• Angles

By End-User Industry

• Residential
• Commercial
• Industrial
• Institutional