A report by Ezz Steel expects Egypt’s reinforcing steel consumption to increase by 5% in 2024 to 6.8 million tons, driven by the completion of infrastructure projects, the payment of contractors’ dues, and the expected resumption of new building permits. Flat steel consumption is also expected to remain stable at 1.5 million tons in 2024, and begin to increase thereafter.

Chinese steel exports are also expected to exceed 100 million tons in 2024, the highest level since 2016, but this exaggerated export trend is resulting in a stimulus in global markets, as many local producers in different countries suffer from competition with low-priced Chinese steel, which has prompted many countries, including the United States, the European Union, Canada, South Africa, Turkey and Brazil, to impose high customs tariffs and various trade measures to protect their local industry.

It is worth noting that Egypt’s consumption of rebar has witnessed a significant decline since 2016, when consumption reached 8.6 million tons, an increase of 24% over 2023, due to the decline in private construction activity. However, consumption is expected to increase with the success of the exchange rate liberalization and the economic decisions associated with it to restore economic growth. It is also expected that the new building legislation and its executive regulations, which were approved in 2023 and 2024, will lead to the issuance of more private building permits and the resumption of private construction in Egypt at a good pace.