Ikigai Steel’s Strategic Expansion in Sharjah

Hamriyah Free Zone secures a pivotal deal with Ikigai Steel, announcing a new facility with a $30 million investment and a
Ikigai Steel
Ikigai SteelImage Source: Business News ME

Synopsis:

Hamriyah Free Zone secures a pivotal deal with Ikigai Steel, announcing a new facility with a $30 million investment and a projected start of steel fabrication from March 2024, enhancing the Emirate’s steel production by 30,000 metric tons annually.

 

Article:

Sharjah’s Hamriyah Free Zone has inked a significant agreement with Ikigai Steel FZE, revealing plans for a sprawling 548,000 square feet factory set to bolster the steel industry. With an annual capacity of 30,000 metric tons, this cutting-edge facility is poised to leverage state-of-the-art technology and advanced solutions within the iron and steel sector, backed by an initial investment of AED 30 million.

During the signing ceremony, HE Saud Salim Al Mazrouei, Director of the Hamriyah Free Zone Authority, and Rajendran, Chairman of Ikigai Steel, formalized the venture. HE Al Mazrouei highlighted Ikigai’s choice as an endorsement of the zone's allure and its alignment with Sharjah’s economic diversification, echoing the directives of His Highness Sheikh Dr. Sultan bin Mohammad Al Qasimi.

The Director emphasized the free zone’s consistent success in attracting heavyweight industries like iron and steel, a testament to its infrastructure development. Al Mazrouei underscored the pivotal role of the iron and steel sector in the Emirate's growth, especially amidst ongoing monumental projects, citing the escalating demand for these materials.

Rajendran, Ikigai Steel’s Chairman, attributed the expansion decision to the zone's competitive edge, robust infrastructure, and conducive investment climate. He praised HFZA’s support for heavy industry, expressing intentions to create top-tier steel for regional markets and employ approximately 500 individuals initially.

The Hamriyah Free Zone's reputation as an iron and steel industry hub attracts substantial foreign investments, accommodating multinational companies catering to global markets. Rajendran lauded HFZA’s continuous assistance and the zone’s optimal conditions for production efficiency.

Conclusion:

Ikigai Steel’s partnership with the Hamriyah Free Zone reflects a strategic move towards bolstering steel production, aligning with Sharjah’s economic development goals. The collaboration signals the zone’s appeal to heavy industries, offering an ideal environment and infrastructure for companies aiming to amplify their manufacturing capacities.

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