Egypt's production of reinforced steel amounted to 8 million tons in 2023, a 4% decrease from 8.4 million tons in 2022, according to a report by Ezz Steel Company. However, Egyptian exports of reinforced steel surged more than threefold to reach 1.54 million tons compared to 523,000 tons in 2022.

Simultaneously, Egypt's crude steel production hit 10.4 million tons in 2023, marking a 6% growth, driven by increased exports, particularly in hot-rolled coil (HRC), as per the World Steel Association. This growth was bolstered by the dollar-denominated export revenues and imports of essential raw materials for the industry.

Conversely, Egypt's consumption of reinforced steel dropped by 17% from 7.9 million tons in 2022 to 6.5 million tons in 2023. Similarly, local consumption of flat steel decreased by 13% to 1.5 million tons from 1.7 million tons in 2022, primarily due to the severe dollar shortage and the consequent devaluation of the Egyptian pound, negatively impacting economic growth and affecting consumer purchasing power.

It's worth noting that Egypt's consumption of reinforced steel has witnessed a significant decline since 2016 when consumption reached 8.6 million tons, marking a 24% increase from 2023.

However, with the successful liberalization of the exchange rate and associated economic measures aimed at restoring economic growth, consumption is expected to rise. Furthermore, the new building legislations and executive regulations enacted in 2023 and 2024 are anticipated to issue more building permits and resume private construction activities in Egypt at a promising pace.