AJ Steel, one of the leading UAE steel pipe producers and exporters, has struck a deal with Khalifa Economic Zones Abu Dhabi – KEZAD Group to build and operate a large-scale steel pipe production plant in Abu Dhabi to fulfil rising customer demand.
Under the terms of the deal, AJ Steel will extend its present activities in KEZAD by developing a plot encompassing over 96,000 square metres, increasing its total leased acreage under industrial use to 200,000 square metres.
Mohamed Al Khadar Al Ahmed, Chief Executive Officer – Khalifa Economic Zones Abu Dhabi – KEZAD Group, says, “We welcome the continued confidence of AJ Steel in KEZAD Group, which reflects our steadfast commitment to driving business growth for customers through our integrated industrial offering and strategic position at the crossroads between East and West. The ongoing success of AJ Steel in Abu Dhabi is a testament to the vision of our wise leadership to stimulate the growth of our nation’s industrial sector and position the emirate as a global trade hub. We look forward to participating in their development and expansion plans.”
The agreement, which took place during ADIPEC 2022, came in the wake of AJ Steel’s recent introduction of a new manufacturing line at its mill in KEZAD. It intends to increase its capacity from 0.5 million tonnes to 1.25 million tonnes by adding API-compliant steel pipe capabilities ranging from 1/2″ to 20″ for oil and gas applications. AJ Steel uses cutting-edge machinery and technology to provide high-quality products that meet the strict standards of clients in the GCC, the United States, Canada, the United Kingdom, Europe, and Australia.
M. Ismail, Executive Director, AJ Steel, said: “The strategic location of AJ Steel in Abu Dhabi coupled with the ongoing focus of the UAE Government through initiatives like “Make it in the Emirates” have been major contributing factors towards our trusted reputation for high-quality and innovative products across key global markets. The agreement to expand our operations leverages the readiness of the land area available in KEZAD and will allow us to maximise the benefits of its fully integrated trade and logistics ecosystem to serve an even broader scope of consumers both in the UAE and the wider region.”