The Middle Eastern economies are highly depended on oil revenue. However, for years oil prices have remained subdued which resulted in cuts in both oil production and revenue across the region. With oil prices remained at lower levels, diversification remained at the top of the agenda across the region. There is currently billions worth of projects in the pipeline to develop the required construction and infrastructure necessary to support the manufacturing and services industries and attract foreign investment.
Medium and heavy sections are expected to continue to be used in warehouses and industrial buildings where the use of large beams enables large areas of unsupported roof space. Commodity Inside found that one key emerging area for the steel beams is the developing of rails infrastructure including infrastructure for metro lines and stations.
The construction sector is the main driver for jumbo steel beams, which are used mainly in major construction projects, particularly high-rise buildings and heavy civil engineering works. Our survey shows that in the Middle East such projects are often financed by states.
Compared to developed markets, demand for jumbo steel sections in the Middle East is comparatively low. Commodity Inside expects that demand in this high-value market set to rise in the long term on the back of high-rise construction and infrastructure projects.
High rise building requires extremely large high-quality heavy sections which can be used in building parts such as piling systems and superstructure. Architects such as Atkins, Skidmore Owings & Merrill (SOM) Kohn Pedersen Fox etc. have all established their presence in the Middle East.
This article is based on our recently publish report “The Middle East Medium, Heavy and Jumbo Rolled Beams Market Outlook to 2028”.