Egypt Government: Auctions 8 Billet Licenses in August

• The Egyptian government auctioned off eight billet licenses in September 2025.
• The auction brought in total additional capacity of 3.7 million tons.
• El Ezz El Ashry Steel secured a license, with the two largest licenses (including theirs) worth a combined EGP 2.8 billion.
• The increased capacity and new safeguard duties on billet imports effective April 2026 have led to changes in market dynamics and regulatory requirements.
• Lawyers advising clients on export-oriented steel production should be aware of these developments.

The auction is being conducted under existing legislation governing the steel industry in Egypt.

The Egyptian government auctioned off eight billet licenses in September 2025, marking a significant development for the country's steel industry. The auction brought in total additional capacity of 3.7 million tons. El Ezz El Ashry Steel was among the companies that secured a license in the September 2025 auction, with the two largest licenses (including theirs) worth a combined EGP 2.8 billion.

The auction was conducted under existing legislation governing the steel industry in Egypt. However, the increased capacity resulting from the auction, alongside new safeguard duties on billet imports effective April 2026, has already led to significant changes in market dynamics and regulatory requirements. Lawyers advising clients on export-oriented steel production in Egypt should be aware of these developments and their implications for market competition and pricing.

The auction was a critical step towards increasing Egypt's export-oriented billet production capacity, which has significant economic implications. The increased capacity will not only boost the country's exports but also create new opportunities for growth in the steel industry. However, it also raises concerns about market competition and pricing, as well as regulatory requirements that have arisen from the increased capacity and new import duties.

Lawyers advising clients on export-oriented steel production in Egypt should watch for the potential impact of this auction on market competition and pricing, as well as any new regulatory requirements or compliance exposures that may arise from the increased capacity.

Source: Original reporting via EnterpriseAM Egypt