Structural Steel Market (2024 - 2030) Size, Share & Trend Analysis Report By Product (Angles, Channels, Rounds), By Application (Non-residential (Industrial, Commercial, Institutional), Residential), By Region, And Segment Forecasts

Structural Steel Market Summary

The growing housing needs, as a result of the increasing population across the globe, are also among the key factors driving product demand. As per the projections estimated by the United Nations, the global population will reach 11.2 billion by 2100, which, in turn, is anticipated to bolster housing demand, thus, boosting consumption for structural steel.

Structural steel is considered a green construction material due to its recyclability and thus, a rising number of green buildings is anticipated to propel market growth in the coming years. According to the World Green Building Council, LEED-certified buildings use 11% less water and 25% less energy in the U.S. Green buildings help reduce harmful impacts on the environment, hence, focus on their construction is increasing in the country. California holds the major share in the overall green buildings segment in the U.S., in terms of area, and the state is expected to achieve zero net energy by 2030.

The U.S. construction industry was impacted in 2020 on account of the COVID-19 pandemic. The country is putting efforts toward reaching stable economic growth through several investments. For instance, the overall construction activities in the U.S. is estimated to have grown by 6.1% in 2023. The major growth was witnessed in the manufacturing segment for nearly 37.0%, followed by commercial and residential with over 22.0% and 13.0%, respectively.

Increasing construction of high-rise buildings is another key driving factor for the structural steel market. The product possesses a high strength-to-weight ratio, allowing it to bear heavy loads and resist compression, tension, and bending forces, making it an ideal material ideal for supporting the weight of tall buildings and transferring the load to the foundation. There are 97 under-construction tall buildings in the world, of which 1 is above 600m, 25 are above 400m, and the remaining above 300m. The majority of these buildings are in Asia.

The market however faces restrictions from the supply aspect. Steel commodities have experienced daily price swings in most countries along with fluctuations in the prices of raw materials such as iron, coal, and scrap. Any disruption in demand-supply leads to extreme volatility in the prices. Production costs also influence prices and storage capacity, which directly impact the costs of structural steel.

Market Concentration & Characteristics

The structural steel market is fragmented and is characterized by the presence of numerous players located across regions. Key players cater to the export markets as well, while mid- to small-scale players cater mainly to domestic demand.

The market is characterized by a moderate degree of innovation to optimize the production process and produce aesthetic products. Manufacturers have been focusing on developing and innovating new products by improving their production process in order to cater to the voluminous building & construction segment.

The market observed a low level of merger and acquisition (M&A) activity owing to challenges such as liquidity and cash flow. Also, various players await a full-swing of revival of construction activity to expand their geographic reach through strategic moves such as M&As.

The market is also subject to moderate levels of regulatory scrutiny. Various regulatory authorities across the world provide standards and guidelines for proper safety measures and waste disposal mechanisms. End user concentration is a significant factor in the market, and in order to minimize logistics costs, manufacturers are located in close vicinity to cities where construction activity is an ongoing process.

Product Insights

Based on product, angles (L shape) accounted for the highest revenue share of over 30.0% in 2023. Steel Angles are available both as "equal angles" where both legs are of the same size, and "unequal angles", that have legs of different sizes. Infrastructural spending in key developing countries such as India and Indonesia are anticipated to cater to growth in this segment.

Application Insights

Based on application, the non-residential held the largest revenue share of 52.0% in 2023, of the global market. It is estimated to expand further at the fastest CAGR over the forecast period owing to the increasing spending on manufacturing plants, airports, commercial centers, healthcare facilities, and malls. The segment is further divided into industrial, commercial, offices, and institutional.

The others sub-segment (including industrial & infrastructure) accounts for the maximum share, which consists of the non-residential segment. Structural steel is majorly used in industrial buildings due to its extreme strength, which is beneficial not only for structural integrity but also for subsiding the potential impact of repairs. It is also ideal for building large bridges owing to its high durability and excellent strength-to-weight ratio, which ensures withstanding the weight of cars and pedestrians.

The residential application segment accounted for the second-highest revenue share in 2023. The product is widely utilized in housing and residential buildings. Its exceptional flexibility and adaptability make it suitable for modular construction, allowing for easy disassembly and relocation while maintaining the building's asset value. This versatile material can be employed in various residential building types, ranging from single-family houses to large mixed-use structures. Moreover, it also provides environmental benefits as it is 100% recyclable with no degradation.

Regional Insights

Asia Pacific held the largest revenue share of about 69.0% of the global market in 2023 and is anticipated to maintain its dominance at the fastest CAGR in the forecast period. Increased investments in the housing and commercial sectors of the developing economies, such as China and India, are anticipated to prove fruitful for market growth.

Furthermore, Southeast Asia is one of the emerging regions in the global market. There is a need for huge investments to reduce the infrastructure gap in this region. From 2000, Japan has financed projects worth USD 230 billion, while China invested around USD 155 billion for the improvement of infrastructure in the Southeast Asian region. Such investments are expected to augment the product demand over the coming years.

North America is anticipated to register a CAGR of 4.7%, in terms of revenue, over the forecast period. The region suffered a heavy economic loss, especially in the U.S. and Mexico, due to the COVID-19 pandemic. The aging of infrastructure is expected to remain a key factor for rising product demand in the region.

Middle East & Africa is expected to grow at a considerable CAGR over the forecast period. The region is anticipated to witness a plethora of projects in the coming years, which is expected to augment market growth. Some of the projects include Abrahamic Family House, Abu Dhabi; URB: The Loop, Dubai; Baynouna Solar Park, Jordan; Mega Urban Housing Project, South Africa; Wind Power Project, Egypt; and Bridge on Lake Victoria, Tanzania.

Key Companies & Market Share Insights

The market is fragmented with the presence of various small- and large-scale companies operating in different parts of the world. Companies focus on acquisitions and capacity expansions to broaden their presence worldwide.

Some of the key players operating in the market include ArcelorMittal, Gerdau S.A., and Baosteel Group.

• ArcelorMittal has several business segments, namely - NAFTA, Brazil, Europe, ACIS, and mining. The NAFTA segment produces flat products such as slab, hot-rolled coil, cold-rolled coil, coated steel, and plate. The products are sold to industries such as automotive, energy, construction, packaging, and appliances. The Brazil segment produces flat products and long products. Flat products include slabs, hot-rolled coils, cold-rolled coils, and coated steel, while long products include wire rods, sections, bars & rebar, billets, blooms, and wire drawing. The Europe segment produces hot-rolled coils, cold-rolled coils, coated products, tinplate, plates, and slabs. The ACIS segment produces flat, long, and tubular products.

• Gerdau S.A. specializes in manufacturing billets, blooms, slabs, wire rods, rebar, heavy slabs, hot- and cold-rolled coils, and seamless tubes. The company offers its products to various end-use industries such as metallurgy, farming & livestock, construction, automotive, petrochemical, railway, and marine industries.

• Baosteel Group manufactures various iron and steel products. It operates under major product categories including stainless steel, carbon steel, and special steel. It has a presence in 40 countries across Asia Pacific, North & South America, Africa, and Europe.

HBIS Group and Anyang Iron & Steel Group Co., Ltd. are some of the emerging market participants.

• HBIS Group specializes in manufacturing bars, wires, profiles, hot-rolled strips, hot- & cold-rolled plates, galvanized plates, pipes, vanadium-nitrogen alloys, and twisted ribbed steel bars. The company also manufactures coke, industrial gas, and chemical products. It offers its products for various applications such as automotive, nuclear power, marine engineering, bridges, construction, and home appliances.

• Anyang Iron & Steel Group Co., Ltd. operations include coking, sintering, smelting, rolling, and scientific research & development; it exports its products to Germany, the UK, Japan, South Korea, and South Africa. It also specializes in manufacturing high-speed wire rods, structural steel, galvanized steel, cold-rolled steel, heavy section, color coated steel, seamless pipes, pipe fittings, and hot-rolled steel products.

Recent Developments

• In August 2023, Hybar LLC, a metal scrap recycling company commenced the construction of its steel rebar mill project in Arkansas, U.S. Machinery is being supplied by SMS group GmbH, and will utilize steel scrap as feedstock.

• In March 2023, JSPL announced its plans to produce the first-ever fire-resistant steel structures in India at its facility located in Raigarh, Chhattisgarh, India.

Structural Steel Market Report Scope

Global Structural Steel Market Report Segmentation

This report forecasts revenue and volume growth at global, regional, and country levels and provides an analysis of latest industry trends in each of the sub-segments from 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global structural steel market report on the basis of product, application and region.

• Product Outlook (Volume, Kil0tons; Revenue, USD Million; 2018 - 2030)

  • Angles

  • Channels

  • Rounds

  • Squares

  • Beams

• Application Outlook (Volume, Kil0tons; Revenue, USD Million; 2018 - 2030)

  • Residential

  • Non-residential

    • Institutional

    • Commercial

    • Offices

    • Others

• Regional Outlook (Volume, Kil0tons; Revenue, USD Million; 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • UK

    • France

    • Spain

    • Russia

    • Turkey

    • Poland

  • Asia Pacific

    • China

    • Japan

    • Taiwan

    • Hong Kong

    • Thailand

    • Malaysia

    • Singapore

    • Indonesia

    • Vietnam

    • Philippines

    • India

    • Australia

    • New Zealand

  • Central & South America

    • Brazil

    • Chile

    • Colombia

  • Middle East & Africa

    • UAE

    • Saudi Arabia

    • Iran

    • South Africa