Strengthening meltshop-to-rolling integration to support net-zero rebar output
Arabian Gulf Steel Industries (AGSI) continues to strengthen its downstream integration and expand its rolling footprint, supporting higher capacity utilisation and deeper meltshop-to-rolling integration.
AGSI has successfully completed both cold and hot trials at its new rolling mill, HRM 3, located at ICAD II in Abu Dhabi, and the mill is now in the final stages of commissioning and certification. Once operational, HRM 3 will further reinforce AGSI’s fully integrated production chain from steelmaking through to finished long products, further increasing AGSI’s total installed rebar annual capacity to 1.4 MMT.
AGSI expects HRM 3 to begin commercial production in the second half of this month, following the completion of commissioning and certification activities.
HRM 3 is hot-charged directly from AGSI’s steel meltshop and is designed to produce net-zero steel rebar, with an annual rolling capacity of 600,000 tonnes per year. With the start-up of HRM 3, AGSI’s installed rolling capacity will increase to around 1.24 million tonnes per year, up from its current installed rolling capacity of approximately 640,000 tonnes per year based on operations at HRM 1 and HRM 2.
AGSI’s rolling portfolio also includes HRM 2, a light and medium sections mill with an annual capacity of 240,000 tonnes per year, supplying a range of structural products.
In parallel, AGSI is progressing with the upgrade of HRM 1, with commissioning of the upgraded line expected in Q2 2026. HRM 1’s current capacity is 400,000 tonnes per year, and following completion of the upgrade, its annual capacity will increase to 800,000 tonnes per year. Following the HRM 1 upgrade, AGSI’s installed rolling capacity is expected to increase further to approximately 1.64 million tonnes per year.
Production from HRM 3 will be primarily directed to the UAE domestic market, with select volumes allocated to regional export markets depending on demand.
AGSI’s phased expansion of rolling assets reflects its strategy to enhance production efficiency, increase value-added output, and strengthen its ability to respond flexibly to market conditions while supporting the UAE’s industrial growth agenda.