South Africa’s economy has faced many challenges over the years, particularly when it comes to the impact of steel imports and the over-reliance on finite natural resources. ArcelorMittal South Africa (AMSA) announcing a significant strategic decision to shut down its long steel products division, marks a pivotal moment for our country’s manufacturing sector – but, it also presents an opportunity for innovation and sustainability in our construction industry.

During the Bi-National Commission Presidential Roundtable meeting, held in Cape Town in December, key industry leaders and government officials, including President Cyril Ramaphosa, discussed sustainable solutions to address the pressing economic issues the country faces. The President emphasised that it is our collective responsibility to prioritise local markets, invest in innovative manufacturing and create sustainable alternatives to secure the future of our economy.

This conversation is especially critical now, as South Africa faces a turning point. The closure and shutdown of facilities, such as the Newcastle and Vereeniging facilities and the ArcelorMittal Rail and Structures (AMRAS) rail mill facility, not only signals the loss of up to 3 500 jobs, but also highlights the broader challenges plaguing our steel sector, which includes, among others, rising logistics and energy costs, ineffective policy interventions and an influx of cheap steel imports, particularly from China.

Although devastating, and with many reports noting that this will have detrimental effects on the country’s infrastructure and construction industry, it also presents an opportunity to embrace innovative, sustainable solutions that can revitalise our economy and reduce our dependency on high-energy use materials. As the CEO of GFRP Tech, I believe the closure of AMSA’s operations can be a catalyst for change in our construction industry.

By championing Glass Fiber Reinforced Polymer (GFRP) as a replacement for traditional reinforcing steel and rebar, we can usher in a new era of sustainable development and supply builders with alternative solutions to bridge and road construction, power transmission infrastructure and other significant infrastructure projects in South Africa.

Homegrown Innovation

These goals can only be achieved by prioritising the investment in and development of the local manufacturing sector to fill the gaps that will inevitably be left by AMSA’s closure, creating more jobs which will drive economic recovery. Investing in local GFRP production, for example, reduces reliance on imported steel and stimulates domestic industrial growth.

GFRP also consumes less energy and generates lower carbon emissions during its production, when compared with traditional steel manufacturing, making it an environment-friendly choice, while its lightweight nature reduces transportation and installation costs, further cutting energy consumption. This sustainable production process aligns with global climate goals and helps South Africa lead the way in green construction.

Unlike steel, GFRP is corrosion-resistant, leading to longer-lasting infrastructure and reduced maintenance costs, making it a durable and cost-effective alternative. This makes it a more cost-effective option for both private and public construction projects.

Looking ahead, South Africa’s economic landscape presents both challenges and transformative opportunities. The local construction industry will need a mind shift in adopting new technologies that are different to what has been the norm for many years.

The transition from traditional steel rebar to innovative materials such as GFRP represents more than economic necessity – it is key to reimagining the country’s industrial strategy.

By Allen Fiford, CEO of GFRP Tech