Uzmetkombinat Secures €132.5 Million to Build Bekabad Rolling Mill Complex

Uzmetkombinat Advances Steel Production with Rolling Mill Complex

Uzbekistan’s leading steel producer, Uzmetkombinat, secured €132.5 million financing to complete a new casting and rolling complex in Bekabad. The funding comes from ICIEC with support from Standard Chartered Financial Group and a sovereign guarantee from ICIEC. The project targets the production of hot-rolled coils (HRC), previously fully imported, aiming to enhance national self-sufficiency in steel products.

The complex will support local construction and industrial sectors by reducing costs for pipe and building material manufacturers. ICIEC projects improved supply chain efficiency and stronger competitiveness across domestic markets. The facility will employ advanced Danieli equipment, including a 120-ton electric arc furnace, continuous casting machine, and modern rolling mill.

Socio-Economic Impact of the Bekabad Rolling Mill

The rolling mill project is expected to significantly benefit Bekabad’s economy. The city, home to around 100,000 residents, already relies on Uzmetkombinat for over 8,000 direct jobs and thousands more in related industries. With an annual capacity of up to 1 million tons, the complex will bolster industrial growth, create jobs, and strengthen Uzbekistan’s domestic steel market.

Meanwhile, China’s Shandong Aipurui Steel Plate Co. Ltd plans a $120 million steel plant in the Fergana region, indicating rising foreign investment in Uzbekistan’s steel sector. These developments collectively position the country as a growing hub for regional steel production and processing.

SuperMetalPrice Commentary:

SuperMetalPrice views Uzmetkombinat’s rolling mill project as a strategic milestone for Uzbekistan. By producing HRC domestically, the country reduces import dependence and strengthens industrial competitiveness. Investors should monitor the facility’s output and regional steel projects, as these initiatives could influence Central Asia’s steel pricing, supply chains, and infrastructure development.