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EMSTEEL takes lead in embracing sustainability

UAE’s leading steel and building materials manufacturer was recently appointed as co-chair of the Alliance for Industry Decarbonization
EMSTEEL takes lead in embracing sustainability
Engineer Saeed Ghumran Al Remeithi, group CEO of EMSTEEL

The world produces about 2 billion tons of steel annually, accounting for approximately 7 percent of global greenhouse gas emissions. This highlights the need for the industry to adopt greener practices in its operations.

In the UAE, a country taking pride in its ambitious sustainability goals, EMSTEEL is setting a standard as to how players in the industry can embrace this change. The company is the country’s leading producer of steel and building materials, serving as a comprehensive hub for sustainable manufacturing and construction sectors. It recently rebranded from Emirates Steel Arkan to its new name in a bid to drive operational evolution and global growth.

In this interview, Engineer Saeed Ghumran Al Remeithi, the group CEO of EMSTEEL, talks about the company’s initiatives — including its partnerships with key entities like ADNOC and Masdar to decarbonize the steel industry and the broader manufacturing market.

As a UAE-based brand operating on both local and international fronts, how has EMSTEEL leveraged cutting-edge technologies to expand its presence in global markets while maintaining strong support for the local market?

EMSTEEL is the UAE’s largest steel and building materials manufacturer, leveraging cutting-edge technologies to supply both the local market and over 70 international markets with high-quality, low-carbon products, creating a one-stop shop for sustainable manufacturing and construction sectors.

We have recently unveiled our new brand identity, EMSTEEL, marking a significant milestone in our journey to accelerate operational transformation and expand our global footprint. As the UAE’s largest steel and building materials company, with a valuation of AED13 billion, EMSTEEL is built on a robust strategic foundation and positioned for substantial growth in both local and international markets.

Operating 16 state-of-the-art plants, we have an impressive annual production capacity of 3.5 million tons of steel and 4.6 million tons of cement. The structure of the EMSTEEL group is designed to facilitate the seamless integration of new divisions, enabling expansion into diverse markets and product lines.

Over the years, we have significantly broadened our reach, growing from 38 countries in 2019 to more than 70 countries today, which now account for 30 percent of our sales. Our ambitious plans for expansion, growth, and digitalization underscore our unwavering commitment to delivering innovative products, services, and solutions to build a better world in the UAE and beyond.

EMSTEEL is a global leader in low-carbon steel production and a pioneer in sustainability. Can you elaborate on the company’s key initiatives and partnerships that align with the UAE’s Net Zero by 2050 strategic Initiative?

Aligned with the UAE’s Net Zero by 2050 Strategic Initiative and now a global leader in low-carbon steel production, EMSTEEL is the first steel player globally to capture its CO2, operate with energy efficiency, source the majority of its electricity needs through clean energy, and utilize recycled scrap in its processes.

As part of our long-term commitment to decarbonization, we have been in partnership with ADNOC since 2017, collaborating on their Al Reyadah Carbon Capture, Utilization, and Storage (CCUS) technologies facility, which processes CO2 captured from our operations.

In 2023, the Group utilized 84 percent clean electricity in its steel business unit. It has taken significant strides to decarbonize its operations, products, and supply chain, as evidenced by more than 50 percent year-on-year increase in renewable materials used in its steel production.

The Group joined forces with Masdar to establish the MENA region’s first green hydrogen demonstration project for the steel industry, which began production in October this year, enabling sustainability-first developers to become off-takers of domestically produced green hydrogen and key enablers of the UAE hydrogen economy.

EMSTEEL

The UAE’s ambitious industrial strategy, ‘Operation 300 Billion,’ aims to enhance the nation’s industrial competitiveness. What role does EMSTEEL play as a key driver in achieving this vision, and how has it contributed to the industrial sector’s growth?

The story of EMSTEEL’s creation is deeply intertwined with the long-term economic plans and vision of the Abu Dhabi Government over two decades ago. In a remarkably short time, EMSTEEL evolved from an imported steel rerolling business into the UAE’s only fully integrated steel manufacturing facility, playing a pivotal role in the nation’s progress and development.

Born from the holistic and forward-thinking economic vision of our wise leaders, EMSTEEL was established to meet the growing demand for steel and building materials both in the UAE and globally.

Today, as a key driver of Abu Dhabi’s economy, EMSTEEL contributes 11 percent of the emirate’s manufacturing output while also emphasizing local procurement by spending AED2.4 billion on the National In-Country Value (ICV) Program. Furthermore, we are committed to nurturing national talent and preparing them to lead the future of the UAE’s manufacturing sector, as demonstrated by our Emiratization rate, which now stands at an impressive 55 percent.

With decarbonization and sustainability as priorities for a greener future, how is EMSTEEL innovating its operations to ensure sustainable growth while aligning with global environmental standards?

EMSTEEL was recently announced as co-chair of the Alliance for Industry Decarbonization (AFID) led by the International Renewable Energy Agency (IRENA). The appointment further reinforces the Group’s commitment to creating solutions to build a better and sustainable world, in addition to driving global decarbonization efforts in the industrial sector by promoting a low-carbon supply chain in collaboration with its partners.

As one of the leading steel manufacturers in the region, commanding 60 percent of the UAE’s steel market share, EMSTEEL’s commitment to low-carbon innovation is reflected in its products. The sustainable ES600 high-strength steel rebar redefines sustainability and efficiency with 18 to 24 percent reduced steel consumption. The incorporation of ES600 within two prominent projects in Dubai, Al Habtoor Group’s ‘Al Habtoor Tower’ and SOBHA Realty’s ‘SOBHA Crest’, signifies a momentous stride toward the realization of sustainable construction methodologies in one of the world’s most thriving real estate markets.

Read: Dubai’s real estate is on a winning streak

EMSTEEL is a unique blend of technology and tradition. How has this combination shaped the company’s journey, and how does it reflect the broader success story of UAE-based brands in heavy industries?

EMSTEEL exemplifies a seamless integration of advanced technology and enduring traditions, a combination that has been pivotal to its journey and success. Leveraging technologies such as artificial intelligence, digital transformation, and Industry 4.0 advancements has elevated its operations, enhanced efficiencies, and advanced sustainability goals.

These innovations align with a strong foundation of traditional values, including a steadfast commitment to quality, collaboration, and national development — hallmarks of the UAE’s industrial achievements.

This harmonious integration of tradition and innovation reflects the broader success story of UAE-based brands in heavy industries. EMSTEEL’s transformation into the UAE’s only fully integrated steel manufacturing facility highlights the company’s role as a key contributor to national progress. The company’s involvement in iconic UAE projects, alignment with the UAE Centennial Plan 2071, and global expansion efforts embody the country’s ambition to lead in industrial and economic excellence.

The combination of heritage and forward-looking technological advancements positions EMSTEEL as a symbol of the UAE’s leadership in heavy industries and a model for sustainable, innovative growth.

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