Posted on 18 Aug 2025
Qatar Steel, the steel segment of Industries Qatar, significantly ramped up its DRI/HBI sales in the second quarter of 2025, marking a strategic shift aligned with rising global demand for low-carbon steel.
This comes after the company restarted its DR-1 module, an 800,000 tonnes/year facility, in response to growing demand observed in Q4 2024, Kallanish notes.
In Q2 2025, the company recorded DRI/HBI sales of 481,000t, a sharp increase of 155.9% quarter-on-quarter from 188,000t in Q1, and up 220.7% year-on-year from 150,000t in Q2 2024.
The average selling price stood at $324/tonne fob, slightly lower than $325/t in Q1 and down from $368/t in the same period last year, according to IQ's operational report presentation.
Early in Q1 2025, the company also restarted its EF4 plant, adding an annual billet production capacity of 750,000t. This move is expected to improve operational synergies between subsidiaries and enhance overall group profitability.
While billet sales remained absent in Q2, unchanged from the same period last year, the company did register 46,000t in Q1.
Previously market sources informed Kallanish that Qatar Steel secured significant billet orders for the UAE market in Q3 2025, leveraging its ECAS certification. Billet sales are expected to reach 130,000-150,000t by the end of September in the UAE market, with volumes sold to third parties beyond its group affiliates.
Meanwhile, Q2 rebar sales rose to 311,000t, up 27.5% from 244,000t in Q1 and 14.3% from 272,000t in Q2 2024.
The steel segment saw a notable geographic revenue shift in H1 2025, as its local market sales in Qatar dropped to 26% out of its revenue, down from 28% one year ago.
The Middle East accounted for 59% of total sales revenue, up from 44% in H1 2024. Sales to Asia dropped to zero from 21% in the previous year’s H1.
The Indian sub-continent, which saw no sales in H1 2024, contributed 5% of revenue in H1 2025. Sales to Europe also emerged, making up 10% of revenue in H1 versus none in the prior-year period.
Source:Kallanish
