Rami Saleh at IREPAS: The growth potential of the African steel sector challenged by logistics, debt and CBAM

At the Steelorbis 2025 Fall Conference and the 93rd IREPAS Meeting in Munich, Rami Saleh, Director of Business Development and Sustainability at Egyptian steel producer El Marakby Steel, outlined the prospects for the African steel market, highlighting both opportunities and risks. He noted that GDP growth in Africa will accelerate from 3.3 percent in 2024 to 3.9 percent in 2025 and 4 percent in 2026, and more than 20 countries are expected to exceed five percent growth, including Ethiopia, Niger, Rwanda and Senegal, surpassing seven percent for inclusive development. However, challenges remain: high inflation, debt stress, climate shocks and political instability, leading the way, with growth in East Africa, the recovery of North Africa, and lagging in Central Africa.

AfricaFDI increased to 97 billion. USD. While, (0: 5) even excluding this influx, investments have risenon12percentage. North Africa saw the sharpest growth, while Nigeria and Uganda led the PMI resilience.As forSteelsectors,MR.Saleh stressed that Egypt dominates in the capacity and consumption of crude steel (25% of African demand), while South Africa leads in flat products. Africa remains heavily dependent on imports: 75percentageExports are raw materials, whereas imports are mostly finished or semi-finished steel. HowOfficial Official of El Marakby Steelnoted,Africa exports a wealth of raw materials, but imports most of its flat steel, which highlights a major opportunity for flat steel development. steeland even involvement in Internet projects. Namibia, Nigeria, South Africa, Algeria and Egypt, together adding millions of tons between 2025 and 2027. However, logistics remains a major bottleneck, with poor infrastructure and high transit costs reducing competitiveness

also warned about the existing carbon mechanism (CBAM), which is a significant risk. PercentAfrican steel exports are sent to the EU. Depending on carbon pricing, implied tariffs can reach 11.3percentages South Africa, Egypt and Algeria were the hardest hit. He came to a conclusion by saying that Africa's steel sector is at a turning point: demand for infrastructure, integration of AFCFTA and