UAE + Japanese firms to establish low-carbon iron supply chain hub in Abu Dhabi

Emirati and Japanese firms partner on green iron supply chain: Steel manufacturer Emirates Steel Arkan, the UAE’s AD Ports Group, Japan’s ITOCHU Corporation, and JFE Steel have inked a non-binding MoU to cooperate on the establishment of a low-carbon iron supply chain hub in Abu Dhabi, according to a company statement. The complex — which the statement says is a world first — looks to produce low carbon emission inputs to steelmaking.

The agreement will see the parties work together to develop a logistical and digital framework for the new low carbon iron supply chain, the statement said. AD Ports Group will provide land for the hub in Kezad Musaffah, as well as maritime and logistical services for incoming iron ore and outgoing low carbon iron exports, it added. The company may also supply a jetty to streamline the import of iron ore and export of steel products on a build, own and operate (BOO) basis, the statement added.

The project will be implemented over several phases, AD Ports Group’s statement said without providing details regarding timelines and investments.

Background: Japan’s Prime Minister Fumio Kishida visited the UAE last week as part of a wider GCC tour, where he inked 23 agreements and MoUs with the country to bolster trade and transport ties.