The Middle East cement industry is experiencing unprecedented expansion in 2025, driven by major infrastructure projects and a strategic shift toward sustainability. The regional market is estimated to reach a value of $16.3 billion this year, with annual growth of nearly 5%. Projections indicate that by 2029 the sector will exceed $19.6 billion, supported by an increase in production that could rise from 184 million tons in 2024 to 279 million tons in 2030.
Saudi Arabia is leading the demand thanks to its ambitious Vision 2030 strategy, which includes megaprojects such as NEOM, The Line, and Qiddiya, all of which are cement intensive. The United Arab Emirates also stands out with urban development initiatives such as the Dubai Urban Plan 2040, while Iraq is experiencing a surge thanks to the reconstruction of road networks, housing, and energy systems. These dynamics explain why, by June 2025 alone, domestic cement sales in Saudi Arabia will increase by 13% year-on-year, reaching 3.84 million tons.
Another key factor is the boom in exports from Egypt, which has doubled its shipments between 2022 and 2024, with a cumulative growth of 350% since 2019. Favorable energy policies, especially competitive natural gas prices, have strengthened the country’s export position, which now supplies markets in Africa and Asia. However, this expansion also raises environmental concerns due to less stringent regulations compared to other countries in the region.
Sustainability has become a central focus of the company’s strategy. Authorities in Saudi Arabia and the UAE have established ESG criteria as a requirement for participating in public tenders, requiring cement companies to innovate in products with a lower environmental impact. Companies are incorporating alternative fuels, energy efficiency, and low-emission cements, as well as digital technologies such as automation, data analytics, and the Internet of Things to optimize operations and reduce costs.
The sector is also investing in waste heat recovery systems and renewable energy, especially in countries where energy subsidies are being reduced, such as Oman and Saudi Arabia. These improvements seek not only efficiency but also greater resilience to energy price volatility.
Internationally, disruptive innovations are emerging that could transform the industry in the next decade. Technologies such as electric kilns and electrochemical processes for manufacturing cement with near-zero emissions are being tested in countries in Europe and North America. Although still in the pilot phase, the Middle East is likely to progressively adopt these solutions, aligning itself with decarbonization goals and positioning itself as a competitive and modern market. In conclusion, the Middle East cement industry in 2025 combines solid growth, diversification toward exports, and a decisive shift toward sustainability. Companies that manage to adapt to new environmental regulations, digitalize their processes, and consolidate their presence in international markets will be better prepared to lead the sector in the coming years. This is a unique opportunity to transform a traditional industry into a driver of sustainable and competitive development in the region.
Source: http://Arabnews.com, Reuters.com