Jordan's top steel producer Jordan Steel posted a 65 pct drop in first-half net profit to 2 mln dinars ($2.8 mln), financial statements released on Thursday showed.

For the second quarter, Jordan Steel posted a loss of 462,882 dinars ($652,866) compared with a 3 mln dinars profit a year before, the statement obtained by Reuters showed.

Industry analysts say a depressed real estate sector and weak steel prices, along with dumping of cheaper UAE imports, were to blame for the sharp drop in profitability of the kingdom's largest steel producer, with a market share of at least 30 percent.

The firm's major export market is Saudi Arabia.

Jordan Steel expects to finish an expansion plan by the end of the year that will raise its production capacity to 360,000 tons annually from 240,000 tons.

(1 USD = 0.709 Jordanian dinar)

Source: Reuters