Arabian Gulf Steel Industries (AGSI) is pioneering sustainable steel production in the UAE, emphasizing a circular economy and carbon neutrality in response to global decarbonization pressures.
As the steel industry faces increasing pressure to decarbonize, Arabian Gulf Steel Industries (AGSI) is at the forefront of efforts in the UAE to align steel production with measurable sustainability outcomes. AGSI, based in Abu Dhabi, is recognized as the world’s first certified Carbon Neutral and Net Zero Steel Manufacturing Facility. The company produces steel exclusively from 100% locally sourced recycled scrap, fostering a fully circular economy.
This innovative approach not only mitigates emissions associated with traditional steelmaking but also ensures that all operational waste is recycled, creating a closed-loop system that significantly reduces environmental impact. With the tagline “Net Zero steel for a sustainable future,” AGSI aims to lead the way in environmentally responsible manufacturing and has established itself as a key player in the Gulf region’s steel sector.
Assam Hussain, AGSI’s CEO, has been pivotal in guiding the company’s operational philosophy towards low-carbon steel production, digital innovation, and transparency throughout the value chain. In an exclusive interview with The American Bazaar, Hussain discussed AGSI’s circular production model, carbon certification initiatives, and the potential for innovation in the steel industry.
When asked about the current state of sustainability in steel, Hussain emphasized the importance of moving from broad commitments to measurable outcomes that can be independently verified. “Sustainability in steel today is about clearer reporting and greater accountability across the value chain,” he stated. “This translates into the way we design and operate our plant. We focus on cleaner operations, full traceability of materials, and accurate monitoring of our environmental footprint.”
AGSI employs an electric steelmaking route that significantly reduces direct emissions compared to traditional methods. The company sources its raw materials entirely from locally collected scrap, promoting a more circular use of resources. Hussain highlighted that AGSI’s environmental footprint is independently verified, including PAS 2060 certification for carbon neutrality and third-party measurement of carbon intensity. This commitment enables AGSI to maintain a transparent emissions profile that aligns with national industrial and climate priorities.
Despite these advancements, Hussain acknowledged several challenges in making low-carbon steel more mainstream in the region. “One of the main challenges is awareness,” he noted. “Many stakeholders still assume that lower-carbon steel is a specialized alternative rather than a practical option that can meet the same technical requirements as conventional products.”
He also pointed out the limited clarity in the market regarding how different production routes compare, which complicates customers’ ability to distinguish between verified low-carbon steel and general sustainability claims. Additionally, the absence of consistent regional standards defining and classifying carbon performance in steel presents another hurdle. Hussain believes that clearer frameworks, similar to those emerging in Europe, would facilitate compliance for producers and set requirements for developers and contractors.
Looking ahead, Hussain sees significant opportunities for innovation within the steel industry. “The most significant opportunities lie in the integration of digital systems with clean production technologies,” he explained. “Advancements in scrap processing, real-time emissions tracking, energy-efficiency optimization, and material traceability are transforming how steel is produced and accounted for.”
He also highlighted the potential for circularity in supply chains, where scrap, finished steel, and construction waste remain within a closed loop. Collaborations with developers and industrial players can help reimagine material flow throughout a project’s lifecycle. Furthermore, as global markets introduce carbon-border mechanisms and embodied-carbon requirements, producers who innovate in low-carbon steel will be well-positioned to meet new export and regulatory opportunities.
In summary, AGSI is not only setting a benchmark for sustainable steel production in the UAE but is also addressing the broader challenges and opportunities within the industry. As the demand for environmentally responsible practices grows, AGSI’s commitment to transparency, innovation, and circularity will likely play a crucial role in shaping the future of steel manufacturing.
The insights shared by Assam Hussain reflect a forward-thinking approach that aligns with global sustainability goals, positioning AGSI as a leader in the transition towards greener steel production.
According to The American Bazaar, AGSI’s efforts exemplify how the steel industry can adapt to meet the challenges of climate change while fostering economic growth and sustainability.