Dangote to venture into steel industry, eyes $30bn revenue

Aliko Dangote, founder of the Dangote Group has disclosed plans to venture into a major steel production company soon.

This development was revealed during his speech last week at the Afreximbank Annual Meetings (AAN) and AfriCaribbean Trade & Investment Forum in Nassau.

Dangote emphasized the importance of domestic investment in driving Africa’s growth.

The Dangote Group had initially announced plans to invest in the steel sector in 2022.

Dangote reiterated the conglomerate’s goal of achieving revenue exceeding $30 billion and aiming to be among the top 120 companies globally by the end of 2024, affirming his commitment to entering the steel industry soon.

Recently, Dangote inaugurated a new truck assembly plant in Lagos State. He highlighted that Dangote Sinotruk West Africa Ltd (DSWAL) aims to achieve 60 per cent local content once Nigeria’s Ajaokuta Steel Company becomes operational, aligning with his strategic expansion into the steel sector.

Dangote, whose fortune largely stems from his 85.2 per cent stake in Dangote Cement, the largest cement producer in sub-Saharan Africa, has also commissioned a refinery earlier this year.

This refinery, with a capacity of 650,000 barrels per day, surpasses Europe’s ten largest refining facilities and is expected to be a transformative force in Africa’s energy sector. His influence spans across various sectors, including sugar, salt, fertilizer, packaged foods, and the recently commissioned $19 billion petroleum refinery, now Africa’s largest.

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