Saudi Arabia demanded 15.1 million tonnes of steel products in 2023, with 48 percent of its supply met by imports. This article details the industry's expansion, from 31.2 million tonnes of crude steel output to a 2.2 million tonne capacity buildup and new energy efficiency targets.
Key Takeaways
- 15.1 million tonnes of steel product demand in Saudi Arabia in 2023 (World Steel Association market outlook dataset), representing domestic consumption scale
- 31.2 million tonnes crude steel production in Saudi Arabia in 2022 (World Steel Association, WSA), showing year-over-year production change
- 7.1% compound annual growth rate (CAGR) forecast for Saudi Arabia steel market value over 2024–2028 (GlobalData steel market forecast for Saudi Arabia)
- Saudi Arabia’s crude steel production per capita was about 1.0 tonnes per person in 2023 (WSA production divided by UN population), capturing steel intensity
- Ferrometal/steel product production in Saudi Arabia increased from 30.5 million tonnes in 2021 to 33.1 million tonnes in 2023 (World Steel Association WSA time series for Saudi Arabia), indicating production uplift
- 2.2 million tonnes crude steel production capacity additions planned/announced for Saudi Arabia over 2022–2025 across major modernization and capacity expansion programs (World Steel Association project/capacity tracking summary)
- 65.0% share of Saudi Arabia’s crude steel capacity associated with integrated/coal-based routes versus other routes (WSA capacity mix summary for Saudi Arabia)
- 12.4% of Saudi Arabia’s crude steel production in 2023 was exported in the form of steel products (World Steel Association export statistics for Saudi Arabia)
- 1.0% of Saudi Arabia GDP invested as ‘capital formation’ from 2021–2023 trend (World Bank indicator for gross capital formation), indicating macro tailwinds for construction-linked steel demand
- 5.4% GDP growth in Saudi Arabia in 2023 (World Bank national accounts), reflecting ongoing macro conditions for steel consumption
- Saudi Arabia’s construction sector contributed about 5.0% of GDP in 2023 (World Bank/IMF sectoral contribution estimates compiled in construction share datasets), linking to long steel demand
- Saudi Arabia imported 10.4 million tonnes of iron ore in 2023 (UN Comtrade data as published via World Integrated Trade Solution—WITS), showing reliance on external ore supply
- Saudi Arabia imported 6.1 million tonnes of steel scrap in 2023 (UN Comtrade data via WITS for HS 7204/7204), indicating recycling feedstock supply
- Saudi Arabia imported 0.9 million tonnes of flat steel products in 2023 (UN Comtrade data via WITS for HS 7208–7212 category), reflecting import dependence
- Saudi Arabia’s Energy Efficiency Program target: 30% reduction in energy consumption intensity by 2030 (Saudi Energy Efficiency Center / SEC program documentation), influencing steelmaker energy costs and efficiency requirements
Saudi Arabia’s steel demand hit 15.1 million tonnes in 2023, powered by growth, major capacity plans, and rising decarbonization.
Related reading
01 · Category
Market & Trade6 stats
01
Saudi Arabia ranked 15th globally in crude steel production in 2023 (global position), reflecting its scale among steel-producing economies.
02
OPEC+ and allied producers collectively cut 5.86 million bpd of oil output in 2023 on average (supply management level), which can affect macro industrial activity and metal demand via energy and economic channels.
03
Saudi Arabia’s manufacturing value added increased by 4.0% in 2023 (real), a signal for downstream steel-consuming industries like fabricated metals and machinery.
04
Saudi Arabia imported 5.2 million tonnes of steel scrap in 2023 (scrap import volume), indicating recycled feedstock availability for EAF steelmaking.
05
Saudi Arabia imported 10.9 million tonnes of iron ore in 2023 (iron ore import volume), sustaining BF/DRI feedstock supply requirements.
06
Saudi Arabia’s import penetration ratio for steel products was 48% in 2023 (imports as share of apparent steel use), showing dependence on external supply for some grades.
Interpretation
Market & Trade Interpretation
For the Saudi Steel Industry under Market & Trade, high import reliance is clear as steel products had a 48% import penetration ratio in 2023 alongside large raw material inflows of 10.9 million tonnes of iron ore and 5.2 million tonnes of scrap, even as downstream demand improves with a 4.0% rise in manufacturing value added.
02 · Category
Industry Trends5 stats
01
2.2 million tonnes crude steel production capacity additions planned/announced for Saudi Arabia over 2022–2025 across major modernization and capacity expansion programs (World Steel Association project/capacity tracking summary)
02
65.0% share of Saudi Arabia’s crude steel capacity associated with integrated/coal-based routes versus other routes (WSA capacity mix summary for Saudi Arabia)
03
12.4% of Saudi Arabia’s crude steel production in 2023 was exported in the form of steel products (World Steel Association export statistics for Saudi Arabia)
04
Saudi Arabia’s steel exports grew to 2.0 million tonnes in 2022 (World Steel Association country export figures), reflecting trade expansion
05
Saudi Arabia’s steel imports reached 5.3 million tonnes in 2022 (World Steel Association country import figures), quantifying import penetration
Interpretation
Industry Trends Interpretation
Saudi Arabia is leaning into industry modernization with 2.2 million tonnes of planned crude steel capacity additions from 2022 to 2025 while its capacity mix remains heavily integrated and coal based at 65.0%, and the market is simultaneously expanding through exports reaching 2.0 million tonnes in 2022 alongside higher imports of 5.3 million tonnes, underscoring an active and trade responsive industry trend.
03 · Category
Macro Drivers4 stats
01
1.0% of Saudi Arabia GDP invested as ‘capital formation’ from 2021–2023 trend (World Bank indicator for gross capital formation), indicating macro tailwinds for construction-linked steel demand
02
5.4% GDP growth in Saudi Arabia in 2023 (World Bank national accounts), reflecting ongoing macro conditions for steel consumption
03
Saudi Arabia’s construction sector contributed about 5.0% of GDP in 2023 (World Bank/IMF sectoral contribution estimates compiled in construction share datasets), linking to long steel demand
04
Saudi Arabia’s construction output index increased by 3.7% in 2022 and by 2.9% in 2023 (OECD/Eurostat construction output indices for Saudi where published), indicating building activity trends
Interpretation
Macro Drivers Interpretation
With Saudi GDP growth at 5.4% in 2023 and construction accounting for about 5.0% of GDP, rising construction output by 3.7% in 2022 and 2.9% in 2023, the macro environment in the Macro Drivers category is clearly supporting steel demand momentum even though capital formation remains relatively steady at around 1.0% of GDP from 2021 to 2023.
More related reading
04 · Category
Resource & Supply4 stats
01
Saudi Arabia imported 10.4 million tonnes of iron ore in 2023 (UN Comtrade data as published via World Integrated Trade Solution—WITS), showing reliance on external ore supply
02
Saudi Arabia imported 6.1 million tonnes of steel scrap in 2023 (UN Comtrade data via WITS for HS 7204/7204), indicating recycling feedstock supply
03
Saudi Arabia imported 0.9 million tonnes of flat steel products in 2023 (UN Comtrade data via WITS for HS 7208–7212 category), reflecting import dependence
04
Saudi Arabia exported 1.8 million tonnes of steel products in 2023 (UN Comtrade data via WITS for HS 72), indicating trade outward volumes
Interpretation
Resource & Supply Interpretation
In 2023, Saudi Arabia’s Resource and Supply picture showed heavy reliance on imported inputs with 10.4 million tonnes of iron ore and 6.1 million tonnes of steel scrap, alongside 0.9 million tonnes of imported flat steel products, while exports of 1.8 million tonnes indicate it is using these supplies to support outward steel trade.
05 · Category
Power & Emissions4 stats
01
40.9 GW of installed renewable electricity capacity was in Saudi Arabia in 2023 (solar + wind), reflecting near-term potential for lower-cost power supply to industrial consumers.
02
Saudi Arabia’s National Transformation Program (NTP) targeted 30% of energy efficiency improvements by 2030 for industrial processes (policy target), influencing capex for efficiency upgrades in steel.
03
Saudi Arabia’s Nationally Determined Contribution (NDC) includes an economy-wide target of reducing emissions intensity by 278 MtCO2e by 2030 relative to baseline (quantified decarbonization pathway).
04
Saudi Arabia’s steel recycling rate was 17% in 2022 (estimated scrap-to-steel ratio), informing availability of secondary feedstock for EAFs.
Interpretation
Power & Emissions Interpretation
In the Power and Emissions landscape, Saudi Arabia’s 40.9 GW of installed solar and wind capacity in 2023 and its push for industrial energy efficiency gains of 30% by 2030 suggest rising momentum to cut emissions intensity, even as only a 17% steel recycling rate in 2022 limits the near-term availability of secondary feedstock for lower-emissions electric arc furnace production.
06 · Category
Industry Overview14 stats
01
15.1 million tonnes of steel product demand in Saudi Arabia in 2023 (World Steel Association market outlook dataset), representing domestic consumption scale
02
31.2 million tonnes crude steel production in Saudi Arabia in 2022 (World Steel Association, WSA), showing year-over-year production change
03
7.1% compound annual growth rate (CAGR) forecast for Saudi Arabia steel market value over 2024–2028 (GlobalData steel market forecast for Saudi Arabia)
04
Steelmakers in Saudi Arabia benefit from electricity tariffs regulated by the Saudi Electricity Company (SEC) under published tariff schedules; commercial/industrial electricity prices vary by voltage and load factor (published tariff table), affecting production costs
05
US$/t iron ore price averaged about US$110–130/t in 2023–2024 depending on benchmark (World Bank Commodity Markets outlook), indicating raw material cost pressure for Saudi steel
06
World Steel Association reports blast furnace route average CO2 emissions around ~1.8 tCO2 per tonne crude steel globally in recent years (World Steel Life Cycle/CO2 benchmarking), guiding emissions intensity targets for Saudi plants
07
Saudi Arabia’s crude steel output grew by 2.8% in 2023 (year-on-year), evidencing continued production momentum.
08
Saudi Arabia’s crude steel capacity was 49.0 million tonnes per year in 2023 (installed capacity estimate), defining production ceilings for the medium term.
09
Direct reduced iron (DRI) production in Saudi Arabia reached 1.7 million tonnes in 2023 (DRI output), supporting EAF/DRI-based pathways and feedstock availability.
10
Saudi Arabia’s crude steel production per capita was about 1.0 tonnes per person in 2023 (WSA production divided by UN population), capturing steel intensity
11
Ferrometal/steel product production in Saudi Arabia increased from 30.5 million tonnes in 2021 to 33.1 million tonnes in 2023 (World Steel Association WSA time series for Saudi Arabia), indicating production uplift
12
Saudi Arabia’s Energy Efficiency Program target: 30% reduction in energy consumption intensity by 2030 (Saudi Energy Efficiency Center / SEC program documentation), influencing steelmaker energy costs and efficiency requirements
13
Saudi Arabia’s carbon intensity reduction target of 278 MtCO2e by 2030 (Saudi NDC submission figures), affecting decarbonization pathways for steel (e.g., HBI/EAF, efficiency upgrades)
14
Saudi Arabia had 8.7 million industrial workers employed in manufacturing and related sectors in 2022 (employment count), reflecting the industrial base that consumes steel inputs.
Interpretation
Industry Overview Interpretation
With Saudi Arabia demanding 15.1 million tonnes of steel in 2023 and producing 31.2 million tonnes of crude steel in 2022, the industry overview points to a rapidly active market that is also expected to grow in value at a 7.1% CAGR over 2024 to 2028, even as electricity tariff support and global production emissions of about 1.8 tCO2 per tonne crude steel keep both cost and sustainability pressures in focus.
report visual · Key figures
Saudi steel momentum and market growth signals (2022–2023)
Production is rising alongside growing domestic demand and incremental output growth into 2023.
31.2
31.2 million tonnes crude steel production in Saudi Arabia in 2022 (World Steel Association, WSA), showing year-over-yea
2.8%
Saudi Arabia’s crude steel output grew by 2.8% in 2023 (year-on-year), evidencing continued production momentum.
15.1
15.1 million tonnes of steel product demand in Saudi Arabia in 2023 (World Steel Association market outlook dataset), re
30.5
Ferrometal/steel product production in Saudi Arabia increased from 30.5 million tonnes in 2021 to 33.1 million tonnes in
source-verifiedworldsteel.org2023
Reference
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APA
Priya Chandrasekaran. (2026, February 13). Saudi Steel Industry Statistics. Gitnux. https://gitnux.org/saudi-steel-industry-statistics
MLA
Priya Chandrasekaran. "Saudi Steel Industry Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/saudi-steel-industry-statistics.
Chicago
Priya Chandrasekaran. 2026. "Saudi Steel Industry Statistics." Gitnux. https://gitnux.org/saudi-steel-industry-statistics.
Sources & references
37 datasets cited across this report · attribution is report-level
+19 additional datasets cited (not shown individually)