2016: four-year-old season
Real Steel began his third campaign on 28 February 2016 when he finished a close third behind Duramente and Ambitious in the Grade 2 Nakayama Kinen over 1800 metres with the unplaced runners including Logotype and Isla Bonita. The colt was then sent to the United Arab Emirates to contest the Dubai Turf on 26 March at Meydan Racecourse. Ridden by Ryan Moore he started at odds of 8/1 in an international field of fifteen runners. Godolphin's Jebel Hatta winner Tryster went off favourite, while the other contenders included Intilaaq (Rose of Lancaster Stakes), Very Special (Balanchine), Forries Waltz (Al Rashidiya), The Corsican (Arc Trial), Euro Charline (Beverly D. Stakes), Ertijaal (Cape Derby) and Flamboyant (San Marcos Stakes). Real Steel tracked the leaders on the outside as the 66/1 outsider Ghaamer set the early pace. Very Special went to the front 600 metres from the finish but Real Steel gained the advantage 200 metres out and kept on well to win by half a length from Euro Charline. Real Steel's trainer Yoshito Yahagi said after the race "I am elated and speechless. I am blessed with this horse and the people around me who have supported him". Ryan Moore commented "He's a beautiful horse, he's got lots of quality. It was a big effort from the horse, he had a tough trip and was out wide but has toughed it out. He never runs a bad race. He's a very brave horse and has had to do it the hard way".
On his return to Japan, Real Steel was dropped back in distance for the Grade 1 Yasuda Kinen over 1600 metres in which he started the second favourite but was outpaced in the straight and came home eleventh of the twelve runners, six lengths behind the winner Logotype. After a four and a half month summer break the colt returned for the autumn edition of the Tenno Sho over 2000 metres at Tokyo. Ridden by Mirco Demuro he came from the rear of the field with a late run on the outside to take second place, one and a half lengths behind the winner Maurice. On his final start of the year, Real Steel was made the 3.2/1 second favourite for the Japan Cup over 2400 metres at Tokyo on 27 November. After tracking the leaders he kept on well in the straight without looking likely to win and came home fifth of the seventeen runners behind Kitasan Black, Sounds of Earth, Cheval Grand and Gold Actor.
In the 2016 World's Best Racehorse Rankings Real Steel was ranked the 34th best racehorse in the world with a rating of 120.