Bahrain-based Sulb Sections Are Free From Import Taxes in Saudi

The buyers have received an email informing them that they are exempt from issuing a payment guarantee or paying import duty until June 2023. This exemption will be revalidated depending on the resubmission of the necessary reports. Sulb-Bahrain submitted the documentation to Saudi ZATCA through the Bahraini local ministry after undergoing external auditory certification for localization, place of origin of raw materials, etc. As Sulb-Bahrain has been recognized for compliance, the buyers won’t be required to pay import duties.

Singh says, “We thank the government of Bahrain and Saudi Arabia, and in particular, the ZATCA authorities, Bahrain Chamber of Commerce, and customs authorities, for their counsel and help in obtaining this exemption.

The exemption must be renewed or revoked every six months based on the requirements of the Saudi rules-of-origin order. This will allow buyers to file claims without paying any import duties and without having to wait for a refund.

In December, Bahrain’s Sulb’s imports of billets to its Saudi-based affiliate, Saudi Sulb, were exempt from duties.

With a captive direct reduction iron plant fed with pellets produced by nearby sibling business Bahrain Steel, Sulb is the largest steel production in Bahrain. Along with its subsidiary in Al Jubail, Saudi Arabia, it produces up to 1.2 million tonnes of crude steel annually and more than 1 million tonnes of sections, beams, angles, and channels.

Foulath Holding, created by the six Gulf Cooperation Council nations through their investment holding firm Gulf Investment Corporation, owns a 51% share in Sulb (GIC). The remaining 49% is owned by Japanese structural steel manufacturer Yamato Kogyo.