High Strength Steel Market Size was valued at USD 40.15 Billion in 2023. The high-strength steel industry is projected to grow from USD 43.68 Billion in 2024 to USD 78.83 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 7.66% during the forecast period (2024 - 2032). Increased demand for high-strength steel from the automotive industry and the use of high-strength steel in manufacturing automotive, aviation and marine equipment are the key market drivers enhancing the market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Market CAGR for high-strength steel is being driven. HSS is primarily used because of its exceptional strength, which lowers the steel needed to manufacture a vehicle and various auto parts, resulting in a lighter vehicle. Improving fuel efficiency will further aid in lowering CO2 emissions from cars while also causing less harm to road surfaces. The automotive industry's growing use of lightweight materials will significantly impact the market's expansion.
Additionally, this steel offers excellent crash resistance and is corrosion-resistant. It consequently improves the security and longevity of vehicles and the people who ride in them. Increasing demand for hybrid and electric vehicles is anticipated to increase demand for this type of steel during the forecast period. HSS is a significant material used in designing bridges and other infrastructures because it allows for greater separation between the center spans and reduces the number of supporting beams. The consumption of this steel will rise as infrastructure development activities increase in various regions. The demand for this steel is also anticipated to increase as the aerospace, marine, equipment and machinery, and electronics industries expand. HSS is gaining popularity for marine and aerospace equipment in the current environment. It has found significant encouragement for use in aerospace products like airplanes and satellites due to its high strength-to-weight ratio, high durability, and heat management properties. However, because of its anti-corrosive qualities, it can withstand the difficult conditions encountered when using it in the marine industry. Boats, submarines, and their components are being made more frequently, increasing the market's opportunity for growth as consumers demand lightweight products with significant strength. Additionally, the development of hybrid and electric cars has created a need for high-strength materials, such as HSS, to reinforce the vehicle and meet fuel-efficiency demands. As the impact of COVID-19 lessens, these factors predict that demand for HSS will increase significantly.
There is a demand for materials with a high strength-to-weight ratio across various end-use industries, including the construction and automotive sectors. High-strength steel (HSS), a modern variety of steel, has better qualities than conventional steel, including low weight and high ductility, malleability, and weldability. This steel grade now has even better anti-corrosion qualities thanks to adding additives, making it desirable for use in the mining, aerospace, and marine industries. On the other hand, the demand for HSS has been boosted by the changing specifications for automotive construction materials, which can increase the fuel efficiency and durability of the vehicle. Players in the market are looking for ways to lessen their carbon footprint. As HSS production places less strain on the power generation sector, it encourages adoption because it aids utilities in achieving their sustainability objectives. Thus, driving the high-strength steel market revenue.
Based on product type, the high-strength steel market segmentation includes high strength low alloy steel, dual-phase steel, hardenable bake steel, carbon manganese steel. The carbon manganese steel segment dominated the market. Compared to other types of steel, carbon manganese steel is relatively inexpensive, making it a cost-effective option for various applications. It strikes a good balance between durability, affordability, and strength.
High strength and toughness are among the desired mechanical characteristics of carbon manganese steel. Thanks to its excellent tensile strength, it can withstand heavy loads and impacts without deforming or easily breaking. Due to its high weldability, carbon manganese steel is ideal for fabrication and construction projects. It can be quickly joined using various welding methods, including arc welding, MIG welding, and TIG welding, with little risk of weld cracking or distortion.
Based on the end-use industry, the high-strength steel market segmentation includes automotive, construction, hoisting and mining equipment, marine, aviation, etc. The automotive category generated the most income. Because of its anti-corrosive qualities, it can withstand the difficult conditions encountered in the marine industry. Boats, submarines, and their components are being made more frequently, increasing the market's opportunity for growth as consumers demand lightweight products with significant strength.
Figure 1: High Strength Steel Market by End-Use Industry, 2022 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
By region, the study provides market insights into North America, Europe, Asia-Pacific and the Rest of the World. The Asia Pacific high-strength steel market area will dominate this market due to the rapidly escalating industrialization and construction activities in the area. Additionally, the growing use of high-strength low, alloy steel in the automotive industry to create fuel-efficient vehicles is fueling regional market demand. Due to its expanding population and rising demand from the automotive industry for high-strength steel, China is the world's largest consumer of this material. Additionally, South Korea, Japan, India, and other Southeast Asian nations are boosting market expansion in the area. For instance, POSCO, the fourth-largest steel producer in the world, announced in June 2018 that it had reached an agreement with Tata Steel Europe (TSE) to exchange its PVD technology for high corrosion-resistant MagiZinc products to expand the range of cutting-edge products available to the construction and automotive industries. Thereby significantly increasing the market for high-strength steel worldwide.
Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: HIGH STRENGTH STEEL MARKET SHARE BY REGION 2022 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe’s high-strength steel market is the second-largest market share because lightweight automotive body parts are frequently made from high-strength steel. Due to numerous automakers and suppliers in the area, Germany is the major contributor to the regional market. Additionally, the demand on the regional market is being supplemented by the use of high-strength steel products in the production of aircraft and their component parts. Further, the German high-strength steel market held the largest market share, and the UK high-strength steel market was the fastest-growing market in the European region.
The North American High Strength Steel Market is expected to grow at the fastest CAGR from 2023 to 2032. The market is anticipated to grow due to rising US residential and commercial activity and demand for high-strength steel fabrics in construction applications. The regional market demand is also fueled by ongoing technological advancements that enable the production of superior-quality, high-strength steel products for automotive applications. For instance, AK Steel Holding Corporation unveiled a brand-new line of high-strength steel products marketed as NEXMET, which offers exceptional strength, increased ductility, and improved formability for structural and exterior automotive applications. Moreover, U.S. high-strength steel market held the largest market share, and the CANADA high-strength steel market was the fastest-growing market in the North American region.
Leading market players are investing heavily in research and development in order to expand their product lines, which will help the high-strength steel market grow even more. Market participants are also undertaking various strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, high strong steel industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the high-strength steel industry to benefit clients and increase the market sector. The high-strength steel industry has offered some of the most significant advantages in recent years. Major players in the high-strength steel market, including Arcelor Mittal (Luxembourg), United States Steel Corporation (US), Voestalpine AG (Austria), SSAB (Sweden), Shandong Steel Group (China), AK Steel Corporation (US), SAIL (India), Nippon Steel and Sumitomo Metal Corporation (Japan), POSCO (South Korea), Wuhan Iron and Steel Corporation (China), Hyundai Steel Company(South Korea), and China Antsteel Group Corporation Limited (China), and others, are attempting to increase market demand by investing in research and development operations.
Arcelor Mittal (Luxembourg), This transformation involves technology and the materials that make up our world. We have a natural stake in this and a clear responsibility as the world’s top mining and steel company. For the future success of our world, steel is as important as ever. It will be essential to the development of the circular economy of the future because it is one of the few materials that is entirely recyclable and reusable. Steel will keep developing, getting smarter and more eco-friendly. Our mission at ArcelorMittal is to use intelligent steel to contribute to creating a better world. Innovative steelmaking techniques that produce more effective steel require less energy and emit much less carbon. Steels that are stronger, cleaner, and reusable. Renewable energy and steel infrastructure will support societies as they change throughout this century. By putting research and development at the core of our business operations, we promote this culture of innovation. The engineers who work for us are among the best and brightest in the industry because they get to handle the trickiest of problems.
SAIL (India), One of India's biggest steel producers and one of the nation's Central Public Sector Enterprises with the Maharatna designation, is Steel Authority of India Limited (SAIL). SAIL, primarily based in India's eastern and central regions and situated close to domestic raw material sources, manufactures iron and steel at five integrated plants and three special steel plants. A variety of steel products are produced and sold by SAIL.
March 2022: Swiss Steel is using XTP®Lucerne to create ultra-fine-grained, high-strength, and tough steel at the Steeltec AG mill in Düsseldorf. Expensive alloying additions and additional heat treatment are typically used to give standard steels the specific properties they need. For this reason, the Swiss Steel Group company Steeltec AG has created a novel, alternative technology. The company is forward-thinking and a trendsetter with its creation of "Extreme Performance Technology (XTP®)" and with high-quality technology, has discovered a way to produce ultra-fine-grained and tough high-grade steel that eliminates the need for additional alloys and special treatment thanks to a controlled thermomechanical processing phase.
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 40.15 Billion |
| Market Size 2023 | USD 43.68 Billion |
| Market Size 2032 | USD 78.83 Billion |
| Compound Annual Growth Rate (CAGR) | 7.66% (2024-2032) |
| Base Year | 2023 |
| Market Forecast Period | 2024-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Product Type, End-Use Industry and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The US, Canada, German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Arcelor Mittal (Luxembourg), United States Steel Corporation (US), Voestalpine AG (Austria), SSAB (Sweden), Shandong Steel Group (China), AK Steel Corporation (US), SAIL (India), Nippon Steel and Sumitomo Metal Corporation (Japan), POSCO (South Korea), Wuhan Iron and Steel Corporation (China), Hyundai Steel Company (South Korea), and China Antsteel Group Corporation Limited (China) |
| Key Market Opportunities | Increased demand for high-strength steel from the automotive industry |
| Key Market Dynamics | Use of High Strength Steel in the Manufacturing of Automotive, Aviation, and Marine Equipment |
High Strength Steel Market Highlights:
Frequently Asked Questions (FAQ) :
The high-strength steel market size was valued at USD 40.15 Billion in 2023.
The high-strength steel market is projected to grow at a CAGR of 7.66% during the forecast period, 2024-2032.
North America had the largest share of the high-strength steel market.
The key players in the high-strength steel market are Arcelor Mittal (Luxembourg), United States Steel Corporation (US), Voestalpine AG (Austria), SSAB (Sweden), Shandong Steel Group (China), AK Steel Corporation (US), SAIL (India), Nippon Steel and Sumitomo Metal Corporation (Japan), POSCO (South Korea), Wuhan Iron and Steel Corporation (China), Hyundai Steel Company (South Korea), and China Antsteel Group Corporation Limited (China).
The carbon manganese steel category dominated the high-strength steel market in 2023.
Automotive had the largest share of the high-strength steel market.
Team Lead - Research Anshula mandaokar holds an academic degree in chemical engineering and has been contributing to the field for more than 5 years. she has expertise in market research and business consulting and serves as a team lead for a reputed market research firm under the chemicals and materials domain spectrum. she has worked on multiple projects, generating explicit results in a quick turnaround time. her understanding of data interpretation justifies her role as a leader.
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