EMSTEEL Receives AA MSCI Provisional ESG Rating, Highlighting Commitment To Sustainability

EMSTEEL has been awarded a provisional "AA" ESG rating by MSCI, placing it among the top steel manufacturers globally for its strong performance in Environmental, Social, and Governance (ESG) issues. This rating highlights EMSTEEL's effective management of ESG risks and opportunities, particularly in reducing carbon emissions and enhancing workforce health and safety practices.

MSCI evaluates over 9,000 companies worldwide on their exposure to ESG risks and their management relative to peers. Ratings range from 'leader' (AAA, AA) to 'laggard' (B, CCC). EMSTEEL's score reaffirms its leadership in ESG among global peers. The Group's innovative practices have significantly exceeded the global average in almost all categories.

Eng. Saeed Ghumran Al Remeithi, CEO of EMSTEEL, stated: "Our inaugural ‘AA’ ESG rating by MSCI is a powerful testament to EMSTEEL’s commitment to sustainable industrial leadership. It reflects the strength of our governance, the resilience of our people, and our deep-rooted responsibility to the environment and communities we serve. As we align with the UAE’s Net Zero 2050 vision, this recognition strengthens our resolve to lead by example, delivering lasting value to our shareholders, society, and future generations."

The "AA" rating follows EMSTEEL's May 2025 announcement of its Green Finance Framework. This framework is central to the Group's broader ESG strategy. Key partners like ING and First Abu Dhabi Bank supported its development as sustainability structuring banks. ING also served as the ESG Rating Advisor for MSCI's evaluation.

EMSTEEL is committed to reducing emissions by 40% in its Steel Business Unit and 30% in its Cement Business Unit by 2030 using 2019 as a baseline year. The Group aims for net-zero emissions by 2050 through energy efficiency improvements, renewable energy integration, and green hydrogen innovation — all aligned with the UAE’s Net Zero 2050 agenda.

As of 2023, EMSTEEL reported total Scope 1 and 2 emissions of 4.5 million tonnes of CO₂ — a reduction of 23% from the 2019 baseline. This achievement has earned global recognition for its sustainability leadership.

Global Recognition

The World Steel Association named EMSTEEL as the 2024 Steel Sustainability Champion for its pioneering decarbonisation efforts in steel production. Additionally, the World Economic Forum recognised EMSTEEL among the top five leading steel companies worldwide for outstanding decarbonisation efforts in iron and steel industries.

In September 2024, EMSTEEL was appointed Co-Chair of the Alliance for Industry Decarbonisation (AFID), led by IRENA. This role highlights EMSTEEL's commitment to driving industrial sustainability on a global scale.

EMSTEEL continues to lead in sustainable practices within the industry while aligning with national goals like UAE’s Net Zero 2050 vision. Its strategic initiatives not only enhance environmental performance but also contribute positively to society and future generations.

With inputs from WAM