The Global Electrical Steel Market Size accounted for USD 24.8 Billion in 2021 and is estimated to achieve a market size of USD 45.4 Billion by 2030 growing at a CAGR of 7.2% from 2022 to 2030. Rising electricity production globally is one of the major driving factors for the electrical steel market growth. Furthermore, a surge in the use of electric vehicles in the Asia-Pacific and Europe region is likely to aid the growth of the electrical steel market value during the forecast period.
Electrical Steel Market Report Key Highlights
Electrical steel is a specialty steel that is produced by customizing the magnetic properties of usual steel in order to offer high permeability for ensuring low core loss in electrical components. It is used in the production of various devices such as the core of generators, power transformers, and inductors, among others. As silicon is added to electrical steel, it is also called laminate steel. It is mostly used for lamination methods in the cores of electrical components. Electrical steel is generally produced in cold rolled strips.
Global Electrical Steel Market Trends
Electrical Steel Market Report Coverage
|Electrical Steel Market
|Electrical Steel Market Size 2021
|USD 24.8 Billion
|Electrical Steel Market Forecast 2030
|USD 45.4 Billion
|Electrical Steel Market CAGR During 2022 - 2030
|Electrical Steel Market Analysis Period
|2018 - 2030
|Electrical Steel Market Base Year
|Electrical Steel Market Forecast Data
|2022 - 2030
|By Type, By Application, By End-User, And By Geography
|North America, Europe, Asia Pacific, Latin America, and Middle East & Africa
|Key Companies Profiled
|Shandong Iron and Steel Group Co Ltd, ArcelorMittal, SAIL, Nippon Steel & Sumitomo Metal Corporation (NSSMC) Group, Tata Steel Limited, Baosteel Group, United States Steel Corporation, JFE Steel Corporation, Shagang Group Inc., Jindal Steel and Power Limited, Ansteel Group Corporation, Voestalpine Group, and HBIS Group.
|Market Trends, Drivers, Restraints, Competitive Analysis, Player Profiling, Regulation Analysis
Electrical Steel Market Dynamics
Rising investment in infrastructure development, increasing usage of electrical steel in the power industry, escalating demand in high-speed cars, improved per capita electricity consumption, growing urbanization, and technological advancements are some of the key factors that are fueling the electrical steel market growth across the globe. Developed and developing economies are rapidly shifting in the direction of sustainable and efficient energy systems. The electric or hybrid vehicle industry is also growing increasingly. This industry needs high-grade electrical steel for a variety of applications. An increase in the manufacturing of electrical steel is projected to be mainly driven by the development of various application segments. Governments of various economies have implemented various regulations for the usage of transformers in order to reduce the loss of energy and emissions of carbon dioxide.
Furthermore, the demand for transformers is anticipated to increase due to the rapid growth in the global power industry, thereby fueling market growth. Due to the ability to the transmission of power over long distances with minimum energy losses and high power efficiency, the demand for grain-oriented electrical steel is rapidly increasing. Moreover, electrical steel enhances efficiency and minimizes losses in many applications. Increasing investment in infrastructure development is also driving the growth of the global market. Due to the ability to improve efficiency, reduce energy loss, and reduce carbon emissions, electrical steel products are generally used in the power industry, transformers, and high-speed cars. Also, the continuous technological advancements and development of power infrastructure are helping the growth of the global electrical steel market.
Electrical Steel Market Segmentation
The global electrical steel market segmentation is based on type, application, end-user, and geography.
Electrical Steel Market By Type
According to the electrical steel market forecast, the grain-oriented electrical steel segment is anticipated to grow the fastest throughout the projected timeline. Grain-oriented electrical steel is primarily used in transformers & electric vehicle charging facilities. It has a strong electromagnetic induction & stacking factor, allowing for less material to be used for the core winding. Its electromagnetic characteristics minimize core losses as well as provide transformers with cost-effective & efficient solutions.
Electrical Steel Market By Application
In terms of applications, the transformer segment leads the market in 2021. Electrical steel is used in power transformers and other electric devices because of its low viscous dissipation, high permeability, & high resistance. It is commonly used to manufacture iron centers for electric engines. The growing complexity of electrical networks, the adoption of EVs, the increase in digital workloads, and the expansion of decentralized generation have all increased the demand for transformers. This section's expansion is primarily related to the high demand for electric steel, which is used in the power generating, transmission, as well as distribution industries.
Electrical Steel Market By End-User
According to an electrical steel industry analysis, the manufacturing segment is predicted to increase considerably in the market over the next several years. The expansion of this segment is mostly attributed to the factors that the expansion of economies around the world is closely related to the expansion of the manufacturing industry. Furthermore, the increased industrialization of both emerging and developed economies is likely to propel the market even further.
Electrical Steel Market Regional Outlook
The Middle East & Africa
Asia-Pacific Dominates The Global Electrical Steel Market
In terms of volume and revenue growth, the Asia-Pacific regional market is predicted to grow at the fastest rate. The presence of the biggest market for transmission systems is the cause for the development of the electrical steel industry in the region. Power transformers are in high demand in many Asian countries, including India, China, and Indonesia. India is also predicted to expand at a rapid rate due to a variety of causes such as the rising need for sustainable power, growing energy demand owing to urbanization, and industrialization.
Electrical Steel Market Players
Some of the top electrical steel market companies offered in the professional report include Shandong Iron and Steel Group Co Ltd, ArcelorMittal, SAIL, Nippon Steel & Sumitomo Metal Corporation (NSSMC) Group, Tata Steel Limited, Baosteel Group, United States Steel Corporation, JFE Steel Corporation, Shagang Group Inc., Jindal Steel and Power Limited, Ansteel Group Corporation, Voestalpine Group, and HBIS Group.
The estimated value of global electrical steel market in 2021 was accounted to be USD 24.8 Billion.
The projected CAGR electrical steel market during the analysis period of 2022 to 2030 is 7.2%.
The prominent players of the global electrical steel market are Shandong Iron and Steel Group Co Ltd, ArcelorMittal, SAIL, Nippon Steel & Sumitomo Metal Corporation (NSSMC) Group, Tata Steel Limited, Baosteel Group, United States Steel Corporation, JFE Steel Corporation, Shagang Group Inc., Jindal Steel and Power Limited, Ansteel Group Corporation, Voestalpine Group, and HBIS Group.
Asia-Pacific held the dominating electrical steel market during the analysis period of 2022 to 2030.
Europe region exhibited fastest growing CAGR for electrical steel market during the analysis period of 2022 to 2030.
Increased demand from the energy-producing and transmission industries and growing global electricity production drives the growth of global electrical steel market.
Based on application, transformer segment is expected to hold the maximum share of the electrical steel market.