The Slovenian SIJ Plans to build a steel plant in Saudi Arabia

The Slovenian metallurgical group SIJ (Slovenska Industrija Jekla) plans to build a €1.5 billion plant in Saudi Arabia to produce electric steel and high-quality hot-rolled coils. This was reported by Slovenia Business.

The company signed a corresponding agreement with the Saudi government, and the plant is to be built in the industrial city of Ras al-Khair. The plant is planned to be commissioned by 2029.

The project will be largely funded by the Saudi authorities, as it is of strategic importance to the kingdom’s economy. SIJ will provide high-tech solutions and know-how. At the same time, the Ministry of Finance of Slovenia announced that this is the largest single foreign investment ever made by a Slovenian company,

SIJ is expected to be followed in the future by other companies that are part of the Slovenian automotive industry’s green mobility initiative (Mission GREMO).

SIJ is one of the leading producers of stainless steel and specialty steels in Europe and the largest vertically integrated steel group in Slovenia.

In the summer of 2024, China’s Baosteel announced that it would more than double its investment in a joint venture to produce flat products in Saudi Arabia to $1 billion from about $437.5 million previously.

As GMK Center reported, last June, the Indian conglomerate Essar Group confirmed a $4 billion investment in setting up a clean steel production facility in Saudi Arabia. Essar was planning to start work on a 4 million tons per annum steel plant in Ras Al Khair in 2024.