The global structural steel market size was valued at USD 100.3 billion in 2019 and is estimated to register a CAGR of 5.6% from 2020 to 2027. The market for structural steel is driven by increasing construction spending globally, since both developed and developing counties aim to enhance public infrastructure owing to the rapidly growing population.
Steel for structural applications offers several advantages such as high strength, elasticity, uniformity, ductility, toughness, lightweight, recyclability, and ease of fabrication. Common applications of structural steel include long-span structures, towers, multi-story and high-rise buildings, bridges, heavy-duty plants, portal frames, sports stadiums and complexes, and buildings.
Despite the global economic slowdown in 2019, the U.S. accounted for a significant demand for structural steel products. The U.S. construction sector is the second-largest in the world after China and is estimated to witness a lucrative growth rate over the forecast period. The outlook of the U.S. economy appears to be strong on account of income growth and job opportunities which continue to boost consumer spending. According to the U.S. Census Bureau, construction spending in the country has increased from USD 1,246.0 billion in 2017 to USD 1,313.3 billion in 2018.
Rapid urbanization, coupled with major infrastructural development for sports events such as FIFA World Cup 2022, is likely to drive the demand for structural steel over the coming years in the Middle Eastern region. According to the official website of FIFA, Al Rayyan Stadium’s roof is supported by 48 steel columns. Each individual column carries a weight of nearly 140 metric tons, thereby creating a significant demand for structural steel components.
The growing construction of high-rise buildings is another key factor that is likely to drive the use of structural steel in the coming years. According to the Council on Tall Buildings and Urban Habitat (CTBUH), 18 new supertall skyscrapers were built in 2018, wherein China was the leading destination for such buildings. In 2018, a total of 143 buildings with a height of 200 meters were completed globally, out of which 88 were in China. Thus, the steady growth of new high-rise buildings is projected to positively influence the demand for structural steel over the forecast period.
On the basis of application, the market has been segmented into residential and non-residential. The non-residential segment is further categorized into industrial, commercial, offices, and institutional. In terms of value as well as volume, residential emerged as the largest application segment in 2019. The increasing population, coupled with rising housing needs, is the key driver for the growth of the segment. In terms of revenue, the residential segment accounted for a share of 46.3% in 2019.
The non-residential segment is anticipated to register a significant growth rate owing to the increasing demand for high-quality construction materials in industrial, commercial, offices, and institutional buildings. Structural steel is widely adopted in numerous non-residential applications including healthcare facilities, data centers, big-box retail stores, stadiums, airports, and manufacturing facilities.
Increasing construction of lightweight industrial building systems that make use of thin sheet covered surfaces is a recent technological development that drives the demand for high-strength structural steel. In addition, advanced construction technologies including 3D printing and business Building Information Modeling (BIM) are rapidly gaining popularity in the engineering and construction sectors. This trend is also likely to positively influence the demand for structural steel in industrial buildings in the coming years.
In terms of revenue, Asia Pacific was the largest market and accounted for a share of over 65.0% in 2019. The regional market is driven by increasing housing construction activities in emerging economies. Unfractured projects in these countries is another promising area which is expected to drive the demand for structural steel products. For instance, in 2018-19, in the Union Budget of India, the government increased infrastructure expenditure from USD 75.9 billion to USD 89.2 billion.
The trade war between the U.S. and China is likely to affect the dynamics of the structural steel market. In September 2018, the U.S. government imposed a 10.0% tariff on USD 200 billion worth of Chinese goods including steel and aluminum. To counter this, the government of China imposed tariffs on an additional USD 60.0 billion worth of U.S. products. There is uncertainty about the period of the trade war between these two countries. The impact of tariffs and retaliation could be significant, which would result in increased consumer prices and a slowdown in investments.
Renovation of residential structures in Europe is anticipated to create numerous opportunities for structural steel vendors. According to the European Parliament report, over 90.0% of the buildings in Europe were built before 1990 and over 40.0% before 1960; thus, several buildings would require renovation and reconstruction. North and West European regions have more old residential buildings compared to other regions. According to the same report, there is a requirement of USD 1.12 trillion for renovation activities in Europe.
Numerous vendors in the market focus on achieving economies of scale by reducing energy costs and other variable costs. Chinese manufacturers have created a major impact on the market dynamics due to low-cost production and availability of labor. Emerging economies such as India, China, and Brazil are likely to be key markets for structural steel vendors.
Key market players include Arcelor Mittal S.A., Baosteel Group Corporation, Anshan Iron & Steel Group Corporation, Benxi Beiying Iron & Steel Group Co. Ltd., Baogang Group, Bohai Steel Group Co. Ltd, Gerdau S.A, Hebei Steel Group, Nippon Steel & Sumitomo Metal Corporation (NSSMC), JSW Steel Limited, Tata Steel Limited, Anyang Iron & Steel Group Co. Ltd, Hunan Valin Iron & Steel Group Co., Ltd, Hyundai Steel Co., Ltd. (HSC), and POSCO.
Base year for estimation
Actual estimates/Historical data
2016 - 2018
2020 - 2027
Volume in Kilotons, Revenue in USD Million, and CAGR from 2020 to 2027
North America, Europe, Asia Pacific, Central & South America, Middle East & Africa
U.S., Canada, Mexico, Germany, U.K., France, Spain, Russia, Turkey, Poland, China, Japan, Taiwan, India, Hong Kong, Thailand, Malaysia, Singapore, Vietnam, Philippines, Australia, New Zealand, Indonesia, Brazil, Chile, Colombia, UAE, Saudi Arabia, Iran, South Africa
Volume and revenue forecast, competitive landscape, growth factors and trends
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This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2027. For the purpose of this study, Grand View Research has segmented the global structural steel market report on the basis of application and region:
Application Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)
Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)
Central and South America
b. The global structural steel market size was estimated at USD 100.3 billion in 2019 and is expected to reach USD 105.7 billion in 2020.
b. The global structural steel market is expected to grow at a compound annual growth rate of 5.6% from 2019 to 2027 to reach USD 155.1 billion by 2027.
b. Asia Pacific dominated the structural steel market with a share of 65.0% in 2019. This is attributable to rising increasing housing construction activities in emerging economies along with unfractured projects in these countries.
b. Some key players operating in the structural steel market include Arcelor Mittal S.A., Baosteel Group Corporation, Anshan Iron & Steel Group Corporation, Benxi Beiying Iron & Steel Group Co. Ltd., Baogang Group, Bohai Steel Group Co. Ltd, Gerdau S.A, Hebei Steel Group, Nippon Steel & Sumitomo Metal Corporation (NSSMC), JSW Steel Limited, Tata Steel Limited, Anyang Iron & Steel Group Co. Ltd, Hunan Valin Iron & Steel Group Co., Ltd, Hyundai Steel Co., Ltd. (HSC), and POSCO.
b. Key factors that are driving the market growth include increasing construction spending in emerging economies and recovery of construction industry in developed markets.
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