Türkiye Tosyali Holding AS plans to build a steel plant in Saudi Arabia

Türkiye's Tosyali Holding AS plans to invest US $5 billion in Saudi Arabia to build a steel plant as part of its global expansion strategy, which also covers Algeria, Angola, Senegal and Spain.

On January 16, 2024, the chairman of the company announced that a memorandum of understanding had recently been signed with Saudi Arabia. Two weeks before this news was released, Tosyali Holding AS had completed the acquisition of Baika Steel Tubular Systems SL in Spain, and the specific transaction amount has not yet been disclosed S250GD+AZ steel.

Tosyali Holding AS aims to produce high-quality steel products using the latest technologies in a sustainable, efficient, and carbon neutral manner. In this project, the company plans to expand its solar power generation by more than 10 times through an investment of $1.5 billion, from the current 240 MW to 2500 MW. In addition, Tosyali Holding AS plans to purchase shares in a large hydrogen energy S250GD+AZ steel company to introduce this clean energy technology into the steel production sector, but specific details have not been disclosed. This measure came after Erdemir Group of Türkiye announced that it planned to invest 3.2 billion dollars to achieve more environmentally friendly steel production and reduce carbon emissions. Erdemir Group is the owner of two major steel manufacturers in Türkiye.

Tosyali Holding AS aims to increase its annual revenue to $7 billion from $5 billion in 2023. With the gradual implementation of investment plans in Algeria and Türkiye, the company's annual steel production capacity will increase to 14 million tons S250GD+AZ steel.