GCC: Hot-Rolled Free-Cutting Steel Market 2024

Hot-Rolled Free-Cutting Steel Market Size in GCC

For the third year in a row, the GCC hot-rolled free-cutting steel market recorded growth in sales value, which increased by 28% to $X in 2021. In general, consumption, however, showed a deep contraction. The level of consumption peaked at $X in 2012; however, from 2013 to 2021, consumption stood at a somewhat lower figure.

Hot-Rolled Free-Cutting Steel Production in GCC

In value terms, hot-rolled free-cutting steel production reached $X in 2021 estimated in export price. The total output value increased at an average annual rate of +1.1% over the period from 2012 to 2021; the trend pattern remained relatively stable, with somewhat noticeable fluctuations being recorded in certain years. The growth pace was the most rapid in 2018 with an increase of 10%. As a result, production reached the peak level of $X. From 2019 to 2021, production growth remained at a somewhat lower figure.

Hot-Rolled Free-Cutting Steel Exports

Exports in GCC

In 2021, approx. X tons of hot-rolled bars in free-cutting steels were exported in GCC; which is down by -26.8% against 2020. Over the period under review, exports, however, showed a prominent expansion. The most prominent rate of growth was recorded in 2013 with an increase of 41%. Over the period under review, the exports attained the maximum at X tons in 2020, and then declined markedly in the following year.

In value terms, hot-rolled free-cutting steel exports dropped notably to $X in 2021. Overall, exports, however, posted a resilient increase. The growth pace was the most rapid in 2013 with an increase of 46% against the previous year. The level of export peaked at $X in 2020, and then fell dramatically in the following year.

Exports by Country

Saudi Arabia represented the largest exporting country with an export of around X tons, which reached 82% of total exports. It was distantly followed by the United Arab Emirates (X tons), constituting an 18% share of total exports.

Exports from Saudi Arabia increased at an average annual rate of +9.2% from 2012 to 2021. At the same time, the United Arab Emirates (+17.8%) displayed positive paces of growth. Moreover, the United Arab Emirates emerged as the fastest-growing exporter exported in GCC, with a CAGR of +17.8% from 2012-2021. The United Arab Emirates (+7.9 p.p.) significantly strengthened its position in terms of the total exports, while Saudi Arabia saw its share reduced by -7.9% from 2012 to 2021, respectively.

In value terms, Saudi Arabia ($X) remains the largest hot-rolled free-cutting steel supplier in GCC, comprising 77% of total exports. The second position in the ranking was taken by the United Arab Emirates ($X), with a 23% share of total exports.

In Saudi Arabia, hot-rolled free-cutting steel exports increased at an average annual rate of +9.4% over the period from 2012-2021.

Export Prices by Country

In 2021, the export price in GCC amounted to $X per ton, almost unchanged from the previous year. In general, the export price, however, saw a relatively flat trend pattern. The pace of growth was the most pronounced in 2017 when the export price increased by 7.4% against the previous year. The level of export peaked at $X per ton in 2018; however, from 2019 to 2021, the export prices stood at a somewhat lower figure.

Average prices varied somewhat amongst the major exporting countries. In 2021, the country with the highest price was the United Arab Emirates ($X per ton), while Saudi Arabia totaled $X per ton.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Saudi Arabia (+0.1%).

Hot-Rolled Free-Cutting Steel Imports

Imports in GCC

In 2021, hot-rolled free-cutting steel imports in GCC shrank remarkably to X tons, falling by -48.2% against the previous year's figure. In general, imports, however, saw a resilient increase. The most prominent rate of growth was recorded in 2020 with an increase of 587% against the previous year. As a result, imports attained the peak of X tons, and then contracted remarkably in the following year.

In value terms, hot-rolled free-cutting steel imports fell markedly to $X in 2021. Over the period under review, imports, however, saw a buoyant expansion. The pace of growth appeared the most rapid in 2020 when imports increased by 511%. As a result, imports reached the peak of $X, and then declined notably in the following year.

Imports by Country

In 2021, Saudi Arabia (X tons) represented the major importer of hot-rolled bars in free-cutting steels, committing 62% of total imports. Kuwait (X tons) held a 23% share (based on physical terms) of total imports, which put it in second place, followed by Bahrain (10%). The United Arab Emirates (X tons) followed a long way behind the leaders.

Saudi Arabia was also the fastest-growing in terms of the hot-rolled bars in free-cutting steels imports, with a CAGR of +42.2% from 2012 to 2021. At the same time, the United Arab Emirates (+25.8%), Kuwait (+17.8%) and Bahrain (+5.1%) displayed positive paces of growth. From 2012 to 2021, the share of Saudi Arabia, Kuwait and the United Arab Emirates increased by +57, +14 and +3.2 percentage points, while the shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Saudi Arabia ($X) constitutes the largest market for imported hot-rolled bars in free-cutting steels in GCC, comprising 62% of total imports. The second position in the ranking was held by Kuwait ($X), with a 23% share of total imports. It was followed by Bahrain, with an 11% share.

In Saudi Arabia, hot-rolled free-cutting steel imports expanded at an average annual rate of +39.1% over the period from 2012-2021. The remaining importing countries recorded the following average annual rates of imports growth: Kuwait (+15.5% per year) and Bahrain (+3.5% per year).

Import Prices by Country

The import price in GCC stood at $X per ton in 2021, jumping by 19% against the previous year. In general, the import price, however, recorded a relatively flat trend pattern. The most prominent rate of growth was recorded in 2017 an increase of 24%. Over the period under review, import prices reached the maximum at $X per ton in 2012; however, from 2013 to 2021, import prices remained at a lower figure.

Average prices varied somewhat amongst the major importing countries. In 2021, major importing countries recorded the following prices: in Bahrain ($X per ton) and Saudi Arabia ($X per ton), while the United Arab Emirates ($X per ton) and Kuwait ($X per ton) were amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Bahrain (-1.5%), while the other leaders experienced a decline in the import price figures.

Source: IndexBox Platform