Kocaer Çelik Sanayi ve Ticaret A.Ş., one of Turkey’s prominent steel producers, has set out an ambitious strategy for growth over the next decade. With an eye on expanding its production capacity and advancing sustainability, the company aims to solidify its position as a key player in the global steel industry. The firm’s vision for the period 2025-30 focuses on expanding its steel production facilities, boosting product diversity, and improving energy efficiency to meet both domestic and international demand. This forward-looking strategy underscores Kocaer Çelik’s commitment to innovation and environmental responsibility.
A central aspect of Kocaer Çelik’s growth plan is the construction of a fourth steel profile plant, which will increase the company’s total production capacity to 1.3 million metric tons per year by 2030. This new plant, which will have a production capacity of 500,000 metric tons annually, is expected to play a crucial role in diversifying the company’s product range. The addition of domestically unproduced steel grades will not only enable Kocaer Çelik to meet more diverse customer needs but will also help reduce the reliance on steel imports into Turkey, contributing to the country’s economic self-sufficiency in steel production.
In parallel with the steel profile plant, Kocaer Çelik plans to establish a new meltshop with a capacity of 1 million metric tons per year. This facility will focus on producing billets and blooms in various sizes and grades, providing the company with higher value-added products. The meltshop will incorporate advanced technologies that are essential for producing high-quality steel and will be designed with green steel production in mind. By producing billets and blooms in an environmentally responsible manner, Kocaer Çelik aims to lower its raw material costs by 10-12%, making it more competitive in both domestic and global markets. The meltshop is slated to begin operations by 2028, marking a major step toward Kocaer Çelik’s goal of improving its production efficiency and environmental performance.
Sustainability is a key component of Kocaer Çelik’s future growth, and the company has outlined several initiatives to reduce its environmental footprint. One of the most significant projects is the Aydın geothermal power plant, which is currently under construction and will provide clean energy for the company’s operations. The first phase of the geothermal plant will have a capacity of 24 MW, and Kocaer Çelik plans to meet 20% of its total energy needs through this renewable source. Additionally, the company intends to expand its use of rooftop solar power plants and other renewable energy sources. By increasing its renewable energy capacity to 900 MW, Kocaer Çelik aims to meet the energy needs of its new steel profile plant and meltshop, further reducing its greenhouse gas emissions.
Kocaer Çelik's commitment to energy independence also includes plans to sell 80% of the remaining energy generated by its renewable power plants. This initiative will not only help the company reduce its operational costs but will also support Turkey’s growing renewable energy market. By investing in geothermal and solar power, Kocaer Çelik is positioning itself as a leader in green steel production, aligning with global trends toward more sustainable manufacturing processes.
The company’s growth strategy also includes an expansion of its international presence. As part of its efforts to strengthen its global distribution networks, Kocaer Çelik is increasing the capacity and number of its steel service centers. These centers play a critical role in customizing steel products for end-users, offering services such as cutting, drilling, and bending to meet specific customer requirements. Kocaer Çelik is also looking to establish new distribution channels in key markets, including Saudi Arabia, the United States, and the European Union. These international efforts will help Kocaer Çelik build stronger relationships with customers worldwide and expand its reach in rapidly growing markets.
By enhancing its production capacity, investing in sustainability, and expanding its global distribution networks, Kocaer Çelik is positioning itself for success in an increasingly competitive steel industry. The company’s strategy for 2025-30 is designed not only to meet the growing demand for high-quality steel products but also to contribute to the global push for greener, more sustainable manufacturing processes. Through these initiatives, Kocaer Çelik is set to strengthen its position in both domestic and international markets, while simultaneously advancing Turkey’s steel industry towards greater self-sufficiency and environmental responsibility.
Kocaer Çelik’s vision for the future highlights the importance of innovation, sustainability, and global expansion in securing long-term growth and success. The company’s commitment to investing in new technologies and energy-efficient solutions, coupled with its focus on product diversification and international reach, ensures that it will remain a key player in the global steel market for years to come.
