Egypt launches 10-year plan to boost iron, steel industry
The meeting was attended by ministers of petroleum, electricity, finance, local development, and investment, as well as the head of the Egyptian Competition Authority and other senior officials.
The plan, prepared by a joint committee of state bodies, outlines proposals and policies to revive one of Egypt’s most strategic industries: the iron and steel sector.
During the meeting, Madbouly stated that iron and steel remain essential for national development projects and form the backbone of many industrial sectors.
“By adopting the latest technologies, improving efficiency, and meeting world-class quality standards, we aim to boost the global competitiveness of Egyptian products and secure sustainable growth,” he said.
Egypt’s iron and steel exports reached $2.21 billion in 2024, according to the UN COMTRADE database. The figures, updated in September 2025, underscore the sector’s ongoing significance as a key contributor to Egypt’s external trade performance.
Strategic importance
The strategy focuses on leveraging Egypt’s geographic location, resources, and industrial base.
The government also intends to localize and expand complementary industries, ensuring that the outputs of iron and steel feed efficiently into construction, manufacturing, and other sectors.
Vice Prime Minister for Industrial Development and Minister of Industry and Transport Kamel El-Wazir presented the progress made so far, highlighting efforts to safeguard the competitiveness of Egyptian products and integrate upstream and downstream activities.
Madbouly emphasized that the government considers iron and steel a cornerstone of its industrial policy, noting that the new plan aims to enhance Egypt’s global standing while serving national economic objectives.
Domestic demand and export potential
Egypt’s rebar industry has a production capacity of 15 million tons, more than double the domestic demand of 7-8 million tons, resulting in a significant export surplus, according to official figures.
Around 70 percent of rebar is used in housing construction, with the rest supporting heavy structures and infrastructure projects.
Other iron products also exceed local demand, with a significant amount exported to global markets. This reflects the sector’s growing role in international supply chains and its support for Egypt’s trade balance.
Downstream industries, including metal structures, machinery, household appliances, pipes, wire, and nails, have also expanded, demonstrating the broader industrial impact of the iron and steel sector.
Evolution of iron and steel industry
The industry began in Egypt in the 1940s with private firms recycling World War II scrap. Companies like Delta and El-Nahhas pioneered early production using liquid-fuel furnaces, later moving to electric arc furnaces and continuous casting.
In the late 1950s, Egypt’s first integrated steel plant was established in Helwan, using Aswan iron ore and German blast furnace technology. An expansion in 1972, utilizing Russian equipment, increased capacity to one million tons per year.
In the 1980s, a plant in Dekheila, Alexandria, partnered with Japan to introduce natural gas-based sponge iron technology. By 1986, it was producing 1.8 million tons of rebar and 1.1 million tons of flat products.
The rising demand for infrastructure in the 1980s and 1990s led to a peak in rebar imports, which reached 1.5 million tons annually, prompting private investment in rolling mills, melting units, and flat product production for both local and export markets.