08/08/2026
The Middle East conflict has made geopolitics a key test for Gulf green steel finance. Attacks on plants and Strait of Hormuz disruptions have damaged over 10 per cent of global direct-reduced iron capacity and delayed investment.
Its effects are spreading beyond the Gulf through higher energy, freight and insurance costs, with Southeast Asian mills particularly exposed to disrupted oil and gas supplies.
The conflict has slowed, but not derailed, greener steelmaking, say experts. The Gulf retains key advantages, while Australia and Brazil could emerge as alternative green-iron hubs, highlighting the need to align energy security with decarbonization.
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