Unisteel’s state-of-the art plant employs the latest technology to manufacture high-standard products.

IN production for just three years, Kuwait’s sole manufacturer of reinforcing and structural steel, the United Steel Industrial Company (Unisteel), has built a reputation both for its competitive pricing and the quality of its products.

The world-class plant already meets the need for steel within Kuwait itself, exporting production to neighboring Gulf Cooperation Council (GCC) countries. However, Unisteel is eager to use the extra capacity it has to export more.

Awwad Al-Khaldi, Unisteel’s Chairman, predicts that demand for finished steel products in the Middle East will grow by about 5% in the coming years, not least in Kuwait itself, where major projects are in the pipeline.

Unisteel was established in 1996 through joint partnership of Kuwait investors and Ascotec of Germany, and worked with Voest Alpine of Austria to erect the first rolling mill in Kuwait.

The company uses 100% iron ore and no scrap metal in its products. It has the capacity to produce up to 800,000 tons of steel bars with sizes ranging from 8mm to 40mm in diameter. Most of its billet supply comes from Iran.

AWWAD AL-KHALDI Chairman of Unisteel

“We can produce to any international standard, depending on the customer’s requirements,” says Mr. Al-Khaldi.

“We have enough capacity for Kuwait’s market and its close neighboring areas in terms of high quality finished products. We already export our goods to Saudi Arabia, and Iraq as well through the Americans. For southern Iraq we are the best source of finished steel.”

Last year Unisteel increased its production of reinforcing steel bars to 460,000 tons, but the company would like the limit on its level of exports removed so that it can make full use of its capacity. Currently, the government allows Unisteel to export 150,000 tons of steel per annum.

“During the last year, we would have been able to produce 800,000 tons of finished steel products, but we haven’t done so because of a ministerial decree restricting export of steel,” says Mr. Al-Khaldi. “We need to establish a free, transparent and competitive market.”

He urges U.S. companies to come to Kuwait. “We are grateful to the United States for its historical role in defeating aggression. Kuwait has great potential for investment.”

He says Kuwait needs to be open and flexible as it was in the past. “We want to return to the situation in the 1950s and 60s, when Kuwait was an open country with no barriers.

“We have to be an open country if we want to regain our position as a regional leader, because other countries in the region are already taking off,” concludes the chairman.