Brief introduction to the overall Development of the steel industry in Africa
The African steel industry has long been regarded as an industry that is easily forgotten. The World Steel Association only collects steel data from six African countries, namely Algeria, Egypt, Libya, Morocco, South Africa and Tunisia. In 2024, the total steel output of these six countries was 22.3 million tons.
Egypt is the largest steel producer and consumer in Africa. In 2024, its steel output ranked 19th globally, reaching 10.7 million tons. Egypt's overall steel production is in excess, and its production technology is relatively backward. High-grade steel and special steel still need to be imported in large quantities. In recent years, some new projects have been launched in Egypt to enhance the competitiveness of local enterprises. For example, Ezz Steel has built an electric furnace and continuous casting machine with an annual output of 850,000 tons for the production of steel billets. Suez Steel has significantly increased its production capacity. A heavy section steel rolling line with an annual output of 800,000 tons was recently put into operation. It is the first enterprise in Egypt and the Middle East to produce 54E rails. The company also plans to expand its annual production capacity of direct reduced iron to 4.5 million tons.
Algeria has taken a different path, with its steel output reaching 4.7 million tons in 2024. Algeria's steel industry has a weak foundation, but the country is close to the Mediterranean Sea, which gives it an advantage. It also has abundant oil and natural gas resources. Therefore, the country has introduced TOSYALI from Turkey and Qatar Steel. After several years of "rolling construction", Tosyali has established a complete production system in the country, ranging from direct reduced iron, electric furnace steelmaking to steel rolling, with a production capacity of over 6 million tons. Qatar Steel also has 2.5 million tons of direct reduced iron and steelmaking production lines in the country, mainly producing long products.
Southern Africa has neither the geographical advantage of being close to Europe and the Middle East nor the advantage of oil and gas resources. Relying on the local endogenous demand, a number of small-scale steel enterprises in this region have sprung up like mushrooms after rain. The President of Nigeria has set a target plan for the country's annual steel production to reach 10 million tons by 2030. At present, there are dozens of small-scale steel enterprises in this country. KAM Steel Integrated Company is currently the largest domestic steel enterprise in Nigeria, with an annual crude steel production capacity of 600,000 tons and a rolling steel production capacity of 150,000 tons. In addition, Chinese-funded enterprise Hongxing Zhongyuan Company previously announced the implementation of an expansion plan worth approximately 3.9 billion yuan, with its annual steel production capacity planned to increase from 600,000 tons to 2 million tons.
According to incomplete statistics, there are currently more than 16 steel enterprises in Ethiopia. In June 2022, a 200,000-ton-per-year Tadash steel plant in Oromia Province, Ethiopia, was put into operation. It is understood that the earliest steel enterprise established in the country was the Dongfang Steel Company, which was invested by Chinese businessmen in 2012, ending the country's history of being unable to produce rebar.
Meanwhile, Cameroon has put into operation a long steel rolling line with an annual output of 300,000 tons in recent years. In 2023, Namibia built a long steel plant with an annual output of 1 million tons.
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