The Grain Oriented Electrical Steel Market Size was estimated at USD 14.36 Billion in 2022. The Grain Oriented Electrical Steel Industry is expected to grow from USD 14.84 Billion in 2023 to USD 20.0 Billion by 2032. exhibiting a compound annual growth rate (CAGR) of 3.37% during the forecast period (2024 - 2032).
Key Grain Oriented Electrical Steel Market Trends Highlighted
The Grain Oriented Electrical Steel Market is experiencing a surge in demand driven by the electrification of various industries, including automotive and renewable energy. Increasing government initiatives to promote energy efficiency and reduce carbon emissions are further fueling this growth. Manufacturers are focusing on research and development to enhance the magnetic properties and efficiency of grain oriented electrical steel, meeting the stringent requirements of modern electrical applications.Key market drivers include the rising demand for electric vehicles, which utilize GOES in traction motors and generators. The rapid expansion of the renewable energy sector, particularly wind and solar power, is also boosting market growth. The construction and industrial sectors, driven by infrastructure development and urbanization, contribute significantly to the demand for grain oriented electrical steel used in transformers, motors, and generators.Recent trends in the grain oriented electrical steel market include the integration of advanced technologies such as nanocrystalline and amorphous materials to improve magnetic performance and reduce energy losses. The adoption of smart grid systems, which require efficient and reliable electrical components, is another key trend. Additionally, manufacturers are exploring sustainable production processes to minimize environmental impact and meet regulatory requirements.
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
The Grain Oriented Electrical Steel Market industry is driven by an increased need for energy efficiency for different applications across industries. Grain-oriented electrical steel is a specialized material used for the production of transformers, electric machines, and generators, among others. The material’s specific characteristics, namely low core losses, and comparatively increase magnetic permeability make it the first-rate selection for devices and applications where a considerable share of energy is likely to be dissipated during operation.Considering the tightening of energy regulations on both the state and industry levels, the demand for grain-oriented electrical steel will only continue to grow in the future. Furthermore, the ongoing trend toward the adoption of electric vehicles and the harnessing of renewable energy sources, solar panels, also contributes to the demand for energy-efficient solutions. In the first case, high-speed motors, and fully superconducting generators, which need reduced core losses and superior magnetic permeability, are being increasingly used for electric cars.Second, the systems that harness solar or wind energy require transformers to ensure efficient electricity transporting and converting. Finally, the ongoing urbanization and industrialization, in emerging markets where the process is most likely to continue for the upcoming decades, guarantee that there are also numerous opportunities for the grain oriented electrical steel industry. It is inevitable that as the population of Indonesia, Brazil or India increases and their economies grow, the demand for electricity and, specifically, more energy-efficient infrastructure, will soar, necessitating the deployment of grain-oriented electrical steel for the development of more green, sustainable cities.
The Grain Oriented Electrical Steel Market Industry is driven by the ongoing progress achieved in production technology. Manufacturers continue to invest in research and development to enhance the properties and abilities of grain-oriented electrical steel. Such improvements are ensured by the efforts to invent new alloys, to develop refined grain orientation techniques and to work on the most efficient and durable available coating types. As a result of recent innovations in grain-oriented electrical steel production, the materials that possess lower core losses and show better saturation, superior magnetic permeability and high durability have become available on the market.More efficient electrical devices based on these materials spend less electricity and have lower operational and maintenance costs. Apart from that, the improved coating ensures that grain-oriented electrical steel has high resistance to corrosion and moisture, which means it can be used in appliances designed for operation in harsh environments.
Being driven by the heightened awareness about the necessity to employ renewable sources of energy and conserve it, the Grain Oriented Electrical Steel Market Industry is becoming increasingly prominent. All around the world, governments are conducting campaigns to persuade civil society to use renewable sources of energy to cut the environment damaging emissions and preserve the biosphere. As a result, there has been a ver significant increase in the production of the devices that help to generate and utilize energy from the renewable sources, e.g., solar panels or windmills.Grain-oriented electrical steel is essential to make these devices and transformers that provide the electric power from them work. At the same time, the governments, and eco-organizations all over the world are implementing programs to conserve energy by using more energy consuming devices. The employment of grain-oriented electrical steel helps to achieve this goal. Thus, in the nearest time, the demand for GOES is expected to increase trying to satisfy human need and desires in conserving energy and the environment.
The Grain Oriented Electrical Steel Market is composed of two separate segments defined by the type of grade non-oriented electrical steel and grain oriented electrical steel. Growing demand is likely to be evident in the grain oriented electrical steel market, representing a larger market share due to the superior magnetic properties. Non-oriented electrical steel is expected to demonstrate a steady growth rate due to the lower cost and wide variety of applications in different industries.
Introduction Energy efficiency has become a major concern for various industries, driving the demand for energy-efficient electrical equipment such as transformers and motors. Electrical steel is the most important material for the production of magnetic cores due to its low core loss and high magnetic induction. Grain oriented electrical steel is used in the production of transformers and motors due to its superior magnetic properties. Non-oriented electrical steel is used by manufacturers without the need for specific magnetic field alignment.
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
Transformers is a dominant segment with holding around 60% in revenue share in 2023. The need for efficient power transmission and distribution systems is driving the demand for grain-oriented electrical steel in transformers. Electromagnetic devices Around 25% The demand for energy-efficient motors and generators is expected to increase the market for grain-oriented electrical steels at around 25%. Rotating machines Wind turbines, Electric Vehicles. A rapidly growing segment Renewable energy sources and the electrification of transportation are driving the demand for High efficiency rotating machines.Therefore, it is expected to increase the market. Induction heating Approximately 10% Automotive, aerospace, and metalworking industries are some of the major end-users of Induction heating.
The Grain Oriented Electrical Steel Market segmentation by End-Use Industry encompasses various industries that utilize this material for diverse applications. The automotive sector represents a significant segment, driven by the rising demand for electric vehicles and hybrid cars, which require Grain Oriented Electrical Steel for their motors and generators. The power generation industry is another major consumer, with Grain Oriented Electrical Steel used in transformers, generators, and other electrical equipment. The construction sector also utilizes Grain Oriented Electrical Steel in energy-efficient appliances and building infrastructure.Furthermore, the industrial sector employs Grain Oriented Electrical Steel in motors, generators, and transformers for various industrial applications.
North America held a significant market share in 2023, owing to the presence of major electrical equipment manufacturers and the growing demand for energy-efficient appliances. Europe is another key region, driven by stringent energy regulations and a focus on sustainable energy solutions. The APAC region is projected to witness substantial growth over the forecast period, fueled by rapid industrialization and urbanization in countries like China and India.South America and MEA represent emerging markets with growing demand for grain-oriented electrical steel in infrastructure and construction projects. The Grain Oriented Electrical Steel Market is expected to continue expanding in these regions, driven by increasing energy consumption and electrification initiatives.
Source Primary Research, Secondary Research, MRFR Database and Analyst Review
Key industry players in Grain Oriented Electrical Steel Market are investing in R activities continually to develop new products and innovate to gain competitive edge in the industry. The Grain Oriented Electrical Steel Market is extremely attractive and is extremely competitive. The presence of top leading Grain Oriented Electrical Steel Market players is extremely high in the Grain Oriented Electrical Steel Market. The market consists of large players as well as small or medium players that are also doing significant business in the Grain Oriented Electrical Steel Market. The key players of the Grain Oriented Electrical Steel Market include JFE Steel, Nippon Steel Sumitomo Metal Corporation, Baosteel, ArcelorMittal, and ThyssenKrupp, and these players hold a significant share in the Grain Oriented Electrical Steel Market revenue. Grain Oriented Electrical Steel Market is expected to register significant growth in the coming years fueled by growing demand in automotive and power generation industry.Nippon Steel Sumitomo Metal Corporation is one of the top players in the Grain Oriented Electrical Steel Market. The company is planning to expand its presence in other regions and already has a strong presence in the Asia-Pacific and has been continuously investing in R activities to develop new products. The company has a wide range of Grain Oriented Electrical Steel products that have been used in various applications. Moreover, the company is extremely popular in the automotive industry as a leading supplier of Grain Oriented Electrical Steel products.JFE Steel is another top player of the Grain Oriented Electrical Steel Market. The company is planning to expand its market presence and already has a strong presence in the Asia-Pacific and in other regions. The company is continuously developing new products and is gaining a competitive edge in the market due to its investments in R activities. The company has wide range of Grain Oriented Electrical Steel products which are used in various applications and have also been a leading supplier of its products to power generation industry.
The Grain Oriented Electrical Steel Market is projected to reach USD 20.0 billion by 2032, exhibiting a CAGR of 3.37% during the forecast period (2024-2032). Increasing demand for energy-efficient electrical equipment and the growing adoption of electric vehicles are key factors driving market growth. Asia-Pacific is the largest regional market, accounting for over 60% of global demand. Key players in the market include Nippon Steel Corporation, POSCO, and Baosteel. Recent developments include the launch of new high-performance grain-oriented electrical steel products by major manufacturers.
| Report Attribute/Metric | Details |
| Market Size 2022 | 14.36(USD Billion) |
| Market Size 2023 | 14.84(USD Billion) |
| Market Size 2032 | 20.0(USD Billion) |
| Compound Annual Growth Rate (CAGR) | 3.37% (2024 - 2032) |
| Report Coverage | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year | 2023 |
| Market Forecast Period | 2024 - 2032 |
| Historical Data | 2019 - 2023 |
| Market Forecast Units | USD Billion |
| Key Companies Profiled | China Steel Corporation, Wuhan Iron and Steel, ThyssenKrupp, Hyundai Steel, Voestalpine, Wuyang Iron and Steel, Baosteel, AK Steel, Vallourec, Tata Steel, JFE Steel, POSCO, ArcelorMittal, Nippon Steel, Shanghai Baosteel |
| Segments Covered | Grade, Application, End-Use Industry, Regional |
| Key Market Opportunities | 1 Rising demand for energyefficient electrical devices2 Growing adoption of electric vehicles3 Expansion of renewable energy infrastructure4 Surge in smart grid projects5 Government incentives for energyefficient technologies |
| Key Market Dynamics | Rising Demand for EnergyEfficient Appliances Growing Adoption of Electric Vehicles Expansion of Renewable Energy Generation Technological Advancements in Steel Production Fluctuating Raw Material Prices |
| Countries Covered | North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Grain Oriented Electrical Steel Market was valued at USD 14.84 billion in 2023 and is expected to grow at a CAGR of 3.37% during the forecast period of 2023-2032, reaching a value of USD 20.0 billion by 2032.
Asia Pacific is expected to hold the largest market share in the Grain Oriented Electrical Steel Market due to the increasing demand for energy-efficient appliances and the growing construction industry in the region.
The key factors driving the growth of the Grain Oriented Electrical Steel Market include the increasing demand for energy-efficient appliances, the growing construction industry, and the rising adoption of electric vehicles.
The major applications of Grain Oriented Electrical Steel include transformers, motors, and generators. Grain Oriented Electrical Steel is used in these applications due to its high magnetic permeability and low core losses.
The key competitors in the Grain Oriented Electrical Steel Market include Nippon Steel, Baosteel, POSCO, JFE Steel, and ThyssenKrupp.
The Grain Oriented Electrical Steel Market is expected to grow at a CAGR of 3.37% during the forecast period of 2023-2032.
The challenges faced by the Grain Oriented Electrical Steel Market include the high cost of raw materials, the volatility of prices, and the competition from other materials.
The opportunities for growth in the Grain Oriented Electrical Steel Market include the increasing demand for energy-efficient appliances, the growing construction industry, and the rising adoption of electric vehicles.
The key trends in the Grain Oriented Electrical Steel Market include the development of new grades of Grain Oriented Electrical Steel, the increasing use of Grain Oriented Electrical Steel in electric vehicles, and the growing adoption of Grain Oriented Electrical Steel in renewable energy applications.
The future outlook for the Grain Oriented Electrical Steel Market is positive. The market is expected to grow at a steady pace over the next ten years, driven by the increasing demand for energy-efficient appliances, the growing construction industry, and the rising adoption of electric vehicles.
Research Analyst Level I In her 3 years of experience in the market research field, she has handled critical cross-domain projects. she has an in-depth knowledge of market estimation & analysis, problem-solving, primary as well as secondary research, and team management.she holds an engineering degree and is an mba professional from a well-known university, capable of evaluating the market and competitive conditions. an exceptional strategist with excellent communication skills and a passion for delivering cutting-edge & practical insights for the market. proficient in multi-tasking, and can successfully deal with competing demands, while maintaining complete confidentiality. generated business through active client and project development, networking, and high-quality responses. her knowledge and skills have helped in making solid business decisions, securing funding from investors, and avoiding business failures.
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