A. SREENIVASA REDDY (ABU DHABI)
EMSTEEL has emerged as a global leader in the production of green steel and building materials in 2025, according to its Integrated Report submitted to the Abu Dhabi Securities Exchange (ADX).
The company said sustainability remained central to its strategy during the year, with several initiatives focused on decarbonisation, responsible industrial growth and ESG leadership.
EMSTEEL said it is among the first steelmakers globally to capture carbon emissions during production, enabling significantly lower carbon intensity compared with the global industry average.
During 2025, the company also launched several initiatives to strengthen its sustainability and operational profile. These included the first industrial-scale use of decarbonised cement in the region, the introduction of electric process gas heater technology, and strategic agreements to enable sustainable cross-border transport of raw materials between Oman and the UAE.
EMSTEEL delivered the region’s first hydrogen-based rebar for Abu Dhabi’s first net-zero carbon mosque by Aldar in Sustainable City, Yas Island — a milestone in green construction and sustainable architecture.
EMSTEEL was formed through the merger of Emirates Steel and Arkan Building Materials in 2021, creating the UAE’s leading steel and building materials manufacturer. In 2023, shareholders approved the company’s new legal name — EMSTEEL Building Materials PJSC — as part of the integration of the two entities.
EMSTEEL Chairman Hamad Al Hammadi said 2025 marked a defining year for the company as it strengthened its position as a national industrial champion while advancing long-term sustainable value creation.
Al Hammadi said sustainability initiatives remained a key pillar of EMSTEEL’s strategy.
“In 2025, EMSTEEL announced a comprehensive decarbonisation roadmap, targeting a 40% reduction in greenhouse gas emissions in our Steel Business Unit and a 30% reduction in our Cement Business Unit by 2030, with net-zero ambitions by 2050,” he said.
He added that the company made tangible progress towards these goals during the year, including the industrial-scale production of decarbonised cement, the world’s first pilot of electric process gas heaters in steelmaking, and the delivery of hydrogen-based rebar for low-carbon construction projects.
The company’s sustainability efforts also received international recognition. EMSTEEL was awarded a provisional “AA” ESG rating from MSCI and became the first company in the MENA region to earn ResponsibleSteel certification, reinforcing its leadership in responsible steel production, the chairman said.
Al Hammadi added that the launch of the company’s Green Finance Framework and the introduction of its TrueGreen low-carbon steel proposition further demonstrated its commitment to embedding sustainability across the business.
He noted that the company generated revenue of Dh8.9 billion in 2025, representing a 7% increase compared with 2024, supported by strong demand across key markets and disciplined execution.
Looking ahead, Al Hammadi said the company remains well positioned to meet evolving market demand while continuing to deliver sustainable returns.
“Together, we are building EMSTEEL — together, we are building the future,” he said.
Among other achievements was the launch of a Dh625 million Asset Enhancement Programme, which will be implemented over three years to upgrade production capabilities, expand the portfolio of high-strength steel solutions and strengthen the company’s competitiveness in regional and international markets.
Operational safety also remained a priority, with the company surpassing 30 million lost-time-injury-free man-hours, supported by the deployment of digital safety tools including an HSE artificial intelligence adviser.
The company also signed a 20-year natural gas supply agreement with ADNOC Gas, valued between $3.5 billion and $4.2 billion, securing long-term energy supply to support operations and future growth.
Majority owned by ADQ, the Abu Dhabi sovereign investment company focused on critical infrastructure and supply chains, EMSTEEL produces steel, cement, blocks and dry mortar for construction and infrastructure projects in the UAE and international markets.
The company exports products to more than 70 countries worldwide. It is listed on the ADX with a market capitalisation of Dh7.1 billion.