Saudi-based Zamil Steel, among the world's largest manufacturers and suppliers of pre-engineered buildings in the world, is set to establish a heavy metal structures factory in Egypt’s Sadat City, aiming to meet local and international demand, the company’s General Manager for Egypt said. 

Khaled Saad told Zawya Projects that the new facility will be located on a plot area of 157,000 square metres (sqm), with 40,000 sqm dedicated to factory operations.

“The local component is estimated at 30 percent, which will help reduce imports,” Saad said.

While he didn't disclose the investment in the factory, he said development will proceed in three phases starting in 2025, with operations expected to commence within three years.      

Saad said the new factory will bolster Zamil Steel’s annual production capacity in Egypt, increasing its output of high-end, pre-engineered steel buildings, steel structures from the 6th of October City and Sadat City facilities to 100,000 tonnes per annum within two years, up from the current 75,000 tonnes.

The company has been a key player in Egypt’s industrial landscape for over 25 years, producing and supplying 1.2 million tonnes of metal structures for 7,400 projects locally and abroad. 

Zamil Steel exports to 63 markets worldwide, including 30 in Africa and the Arab region, with total exports reaching 540,000 tonnes.

Saad said the company plans to expand into five new markets by 2025, including Benin, Morocco, and Hungary, while increasing its presence in Europe by leveraging trade agreements and cost advantages. 

"Rising production costs in Europe and challenges in energy and labour present opportunities for Egyptian products to thrive in export markets," Saad said, and also highlighted recent expansions into Turkey. 

Domestically, Zamil Steel supplies significant projects, including Egypt’s Dabaa Nuclear Power Plant. The transportation sector, encompassing high-speed rail, monorail, metro systems, and port infrastructure, accounts for 20-25 percent of the company’s supply volume. 

Saad emphasised the importance of Egypt’s growing market, driven by large-scale infrastructure initiatives, and outlined the company’s target of achieving 15 percent growth by 2025. 

“Egypt is a huge market, and we aim to expand our supplies to cater to increasing demand driven by national projects,” he said. 

(Reporting by Marwa Abo Almajd; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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