Today's Edition
BATOOL GHAITH (ABU DHABI)
As the UAE sharpens its industrial focus on advanced manufacturing, supply chain resilience and lower-emissions production, an expert says the sector is moving beyond capacity expansion toward more sustainable and future-ready models.
Assam Hussain, CEO of Arabian Gulf Steel Industries (AGSI), said green industrial practices are rapidly shifting from a regulatory requirement into a competitive advantage.
“Sustainability is no longer viewed only through the lens of reporting or compliance. It is now influencing how projects, supply chains, and investments are evaluated,” he told Aletihad.
For AGSI, that means producing steel from recycled raw materials sourced within the UAE, through a fully electric process. This model, Hussain said, has allowed the company to cut emissions while serving domestic demand from within the country.
He added that AGSI's approach shows the UAE can do more than manufacture steel locally: it can build industrial operations capable of competing worldwide, at a time when tightening sustainability requirements are redrawing the rules of industrial markets.
Hussain said the international demand for lower-carbon materials in on the rise, particularly as global regulations and procurement requirements increasingly focus on embodied carbon and environmental performance.
“For companies that have already invested in lower-emissions production, that creates a clear long-term advantage,” he added.
Scaling the net-zero model, however, requires building the right industrial framework around lower-emissions steel production — one that maintains operational efficiency without compromising environmental standards, Hussain said.
The demand is already there. Large-scale projects are placing greater attention on embodied carbon, material traceability, and long-term sustainability targets, he noted.
UAE in Strong Position to Support the Transition
The UAE's ongoing investments in energy infrastructure and diversification are creating stronger conditions for industrial expansion, particularly for manufacturers already moving toward electrified production models, Hussain said.
Recent global supply chain disruptions, he added, are further opening the door for the country to cement its position as a reliable production hub.
"What the UAE offers is stability, infrastructure, connectivity and a clear long-term industrial direction," he said.
For AGSI, this positioning is translating into tangible growth. The company currently operates a rolling capacity of 1.24 million metric tonnes annually and plans to raise that to 1.64 million metric tonnes by the third quarter of 2026.
Hussain attributes this expansion to continued investment in operational efficiency and lower-emissions production. Its lower-carbon steel products, he added, are also drawing growing interest beyond the region.
