Light Gauge Steel Framing Market Size, Share & Trends Analysis Report By Type (Long Span, Wall Bearing, Skeleton), By End-use (Commercial, Residential), By Region (APAC, North America), And Segment Forecasts, 2021 - 2028

Report Overview

The global light gauge steel framing market size was valued at USD 33.89 billion in 2020 and is expected to grow at a compound annual growth rate (CAGR) of 4.6% from 2021 to 2028. A rise in construction-related activities in developing as well as developed nations is estimated to drive the overall market growth over the forecast period. Several housing schemes implemented by the governments of developing nations, such as India and China, are also expected to support the global market growth over the next eight years. In addition, various innovations, in terms of technology, have led to the development of products with improved strength, stability, and safety.

Over the coming years, these products are estimated to have increased scope of application in the commercial, industrial, and residential sectors owing to the improved strength of framing material, facilitating their use in the construction of buildings with more than three floors. However, the residential sector accounted for the highest revenue share of the global market in 2020 and is expected to grow further at a healthy CAGR from 2021 to 2028.

The construction projects that use light gauge steel framing are completed in a lesser amount of time as compared to those using concrete or wood as structural support, owing to pre-fabricated structures. This, in turn, is anticipated to fuel the product demand over the forecast period. The need to lower the production costs involved in the construction of buildings is also estimated to be one of the key factors responsible for market growth.

On the other hand, the global COVID-19 pandemic had a significant impact on the market growth in 2020 as several manufacturing companies reported a notable drop in their revenues for Q1 and Q2 of the year 2020. However, the market witnessed growth in the latter part of Q3 and the beginning of Q4 of 2020. Key players in the market focus on expanding their market presence through mergers and acquisitions.

Type Insights

In terms of revenue, the wall-bearing product type segment led the global market in 2020 accounting for the highest share of over 46%. However, the skeleton product type segment is expected to register the fastest CAGR during the forecast period owing to the increasing penetration of these products in commercial buildings. Skeleton steel framing forms the structure of the building and provides improved stability and strength for single as well as multi-story buildings.

As a result, it is also expected to gain high demand in the residential sector, especially in developed economies like the U.S. and the U.K. Furthermore, improvements in insulation materials and procedures undertaken by the manufacturers have positively impacted the segment growth as the product usage in residential and commercial applications has now become safer.

The market, at present, is dominated by classic designs that are anticipated to be replaced by modern, eco-friendly designs over the next eight years. The easy availability of raw materials and the rapid demand from the end-use sectors, owing to the recovery of the global economy, are anticipated to generate growth opportunities for market players over the forecast period.

End-use Insights

The residential end-use segment accounted for the largest revenue share of over 44% of the global market in 2020. The product is extensively used in commercial and residential buildings for structural support. The product penetration in residential buildings is also anticipated to increase over the next few years owing to the rising customer awareness, primarily in the U.S., the U.K., Germany, and Japan, about the benefits of product usage to reduce the project completion times.

Recent improvements in technology have enabled the use of light gauge steel framing in commercial buildings with more than three floors. The product adoption is expected to increase substantially over the next eight years owing to improved material strength, refined manufacturing processes, and increasing awareness about its economic use.

The rise in the number of commercial buildings, such as retail stores, hotels, medical centers, warehouses, and garages, in developing economies like India, China, Brazil, and Middle Eastern countries is anticipated to boost the product demand in commercial construction applications over the forecast period.

In addition, rapid industrialization in developed as well as developing nations is expected to increase the adoption of long-span product types owing to their outstanding structural capabilities.

Regional Insights

The Asia Pacific dominated the market in 2020 with a revenue share of more than 44%. The regional market is expected to expand further at the fastest CAGR of 5.5% from 2021 to 2028. The growth of the regional market is attributed to the increasing construction activities of new commercial and industrial buildings, especially in China, India, and Southeast Asian countries.

North America and Europe collectively accounted for almost 43% of the total market share in 2020 owing to the large-scale re-structuring undertaken by local governments. The development of innovative metal framing procedures is anticipated to instigate customers, particularly in the U.S. and the U.K., to redevelop buildings and to use light gauge steel framing for structural support.

These regions are highly adaptive to new technologies. As a result, the penetration of the product in commercial and residential sectors is expected to be high, thus favorably impacting the market growth. In addition, the Middle East is also expected to remain an important market on account of its vast construction sector and several ongoing and upcoming important construction projects in the region.

Key Companies & Market Share Insights

Major companies focus on increasing their market share and thus, undertake various initiatives and adopt different strategies. These strategies include partnerships, R&D investments, mergers and acquisitions, the development of new products and services, and competitive product pricing. Some of the key companies in the global light gauge steel framing market include:

• Hadley Group

• Clarkwestern Dietrich Building Systems LLC

• Precision Walls Inc.

• QSI Interiors Ltd.

• Metek U.K. Ltd.

• Intelligent Steel Solutions Ltd.

• FRAMECAD Ltd.

Light Gauge Steel Framing Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2028. For the purpose of this study, Grand View Research has segmented the global light gauge steel framing market report on the basis of type, end-use, and region:

• Type Outlook (Revenue, USD Billion, 2017 - 2028)

  • Skeleton

  • Wall Bearing

  • Long Span

• End-use Outlook (Revenue, USD Billion, 2017 - 2028)

  • Commercial

  • Residential

  • Industrial

• Regional Outlook (Revenue, USD Billion, 2017 - 2028)

  • North America

    • U.S.

    • Canada

  • Europe

    • U.K.

    • Germany

    • France

  • Asia Pacific

    • China

    • India

    • Japan

  • Latin America

    • Brazil

    • Mexico

  • Middle East & Africa