Electrical Steel Market by Type (Grain-Oriented Steel, Non Grain-Oriented Steel), Form (Coil, Plate, Sheet), Application, End-Use Industry - Global Forecast 2024-2030

Electrical Steel Market by Type (Grain-Oriented Steel, Non Grain-Oriented Steel), Form (Coil, Plate, Sheet), Application, End-Use Industry - Global Forecast 2024-2030

The Electrical Steel Market size was estimated at USD 51.76 billion in 2023 and expected to reach USD 55.23 billion in 2024, at a CAGR 6.80% to reach USD 82.05 billion by 2030.

Electrical steel is a specialized form of steel tailored to produce specific magnetic properties. It has a low carbon content and contains varying levels of silicon, typically ranging from 0.5% to 5.0%, which significantly increases the electrical resistivity of the steel. This specialized material is designed to minimize energy loss by generating eddy currents. Electrical steel is predominantly used to manufacture transformers, inductors, electric motors, generators, and other applications where efficient energy conversion is essential. The shift towards electric vehicles (EVs) and hybrid electric vehicles (HEVs) and the expansion of renewable energy installations, requiring transformers and various generators, further boost the need for electrical steel. However, the high costs of producing high-grade electrical steel due to complex processing and materials may impede market growth. Nevertheless, improvements in material science and manufacturing processes enable higher efficiency and performance of electrical steel, creating lucrative prospects for the electrical steel market.

Regional Insights

Asia Pacific region's demand for electrical steel is growing due to rapid urbanization, expansion of its power sector, and investments in renewable energy infrastructure. Recent policies focusing on energy efficiency in electrical applications also contribute to the evolving consumer needs and purchasing behaviors in the market. In addition, countries in this APAC region are renowned for their high-technology industries, and the demand for high-performance grades characterizes its electrical steel market. Companies focus on innovative products for competitive differentiation, reflected in their consistent patent filings that often lead to cutting-edge products in the electrical steel market. In the Americas, the electrical steel market is influenced by the transformation of energy systems, including the shift towards renewable energies and the modernization of the grid. Heavy R&D investments in energy and automotive sectors correlate with the sophisticated needs of US consumers, who often require high-grade electrical steel for efficiency and performance. The EU's strict environmental standards and the push for energy-efficient products have influenced the electrical steel industry in the EMEA region. High-quality, non-grain-oriented (NGO) steels are in demand for reducing energy loss in high-efficiency motors. Investment in green technologies and sustainable products, often backed by government incentives, is a considerable trend in the region. On the other hand, investments in infrastructure and the diversification of oil-based economies into power and utility sectors are driving the growth in the electrical steel market in the Middle East. Moreover, Africa's electrical steel market is emerging, with the continent's vast natural resources and expanding power infrastructure leading to gradual growth. There is increased interest in establishing local industries to reduce import dependency, leading to potential investment opportunities in electrical steel production and processing.

Market Insights

• Market Dynamics
  
  The market dynamics represent an ever-changing landscape of the Electrical Steel Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.
  • Market Drivers
    • Rising Demand for Electric Steel From Automotive Sector
    • Consumer’s Significant Adoption of Household Appliances
    • Market Restraints
      • Fluctuations in Raw Material Prices
      • Market Opportunities
        • Increasing Investment in Electrical Steel
        • Growing Development in Energy Infrastructure Worldwide
        • Market Challenges
          • Issues Related to Safety and Design Limitations of Electrical Steel
          • Market Segmentation Analysis
            • Type: Burgeoning usage of non-grain-oriented electrical steel as a cost-effective choice for a vast array of applications
            • Form: Growing preference for electrical steel sheets cater to precision and custom-shaped requirements
            • Application: Proliferating utilization of electric steel in transformers
            • End-Use Industry: Evolving usage of electrical steel in automobiles for efficient motor design and performance
            • Market Disruption Analysis
            • Porter’s Five Forces Analysis
            • Value Chain & Critical Path Analysis
            • Pricing Analysis
            • Technology Analysis
            • Patent Analysis
            • Trade Analysis
            • Regulatory Framework Analysis
            FPNV Positioning Matrix
            
            The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Electrical Steel Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).
            
            Market Share Analysis
            
            The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Electrical Steel Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.
            
            Recent Developments
            • Nippon Steel Corporation (NSC) to Acquire U. S. Steel, Moving Forward Together as the ‘Best Steelmaker with World-Leading Capabilities’
              
              Nippon Steel Corporation (NSC), Japan's steel manufacturer and a global industry leader, agreed to acquire United States Steel Corporation (U. S. Steel), a key figure in the American steel sector with notable competitive edges, in a definitive all-cash transaction valued at about USD 14.9 billion including debt, offering a 40% premium over U. S. Steel's last closing price. Emphasizing a convergence of superior technologies, the deal aims to extend NSC’s worldwide presence, particularly in the U.S. and is expected to push its total steel production to 86 million tonnes annually. This strategic move aligns with NSC's ambitious target of reaching 100 million tonnes and underscores a shared commitment to technological advancement and sustainable industry practices
              
              Posco to Invest USD 850 Million in Electrical Steel Plant For EVs
              
              South Korean steel manufacturer POSCO has announced a substantial expansion of its production capabilities for non-grain-oriented electrical steel, a critical component in EV traction motors aimed at solidifying its position in the electric vehicle (EV) sector. Outlining an investment of nearly 1 trillion South Korean won (approximately USD 848.6 million) to construct new manufacturing facilities. These facilities, expected to become operational by 2025, will augment the company's output to 400,000 tons of steel sheets annually a fourfold increase from its current capacity. This capacity boost will support material requirements for up to 8 million electric cars and is projected to facilitate a reduction of 840,000 tons in greenhouse gas emissions per year, underscoring POSCO's commitment to environmental sustainability.
              
              JSW Steel, Japan's JFE Steel Ink Agreement to Manufacture Electrical Steel In India
              
              JSW Steel announced its collaboration with JFE Steel of Japan to form a new joint venture, set on a 50:50 equity basis, aimed at producing cold-rolled grain-oriented (CRGO) electrical steel in India. With the adoption of JFE Steel's advanced, energy-efficient production technology, the venture is geared to meet India's burgeoning demand with high-quality Made in India CRGO materials, also marking a step towards sustainable steel practices and reduced CO2 emissions.
            Strategy Analysis & Recommendation
            
            The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Electrical Steel Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.
            
            Key Company Profiles
            
            The report delves into recent significant developments in the Electrical Steel Market, highlighting leading vendors and their innovative profiles. These include Ampco-Pittsburgh Corporation, Aperam SA, ArcelorMittal S.A., Arnold Magnetic Technologies Corporation, China Steel Corporation, Cleveland-Cliffs Inc., Foshan Shunge Steel Trading Co., Ltd., JFE Steel Corporation, JSW Steel Ltd., Keiko Shoji Co., Ltd., Laser Technologies, Inc., Leicong Industrial Co., Ltd., Mitsui & Co., Ltd., NikoMag, Nippon Steel Corporation, NLMK Group, Posco Holdings Inc., Shandong Haorui Metal Material Co.Ltd, Shanghai Walmay Metal Group, Steel Authority of India Limited, Suzhou Yogiant Holdings Co., Ltd., TATA Steel Limited, ThyssenKrupp AG, Voestalpine AG, and Wuxi Zhongxin Special Steel Co.,Ltd..
            
            Market Segmentation & Coverage
            
            This research report categorizes the Electrical Steel Market to forecast the revenues and analyze trends in each of the following sub-markets:
            • Type
              • Grain-Oriented Steel
                • Fully Processed
                • Semi-Processed
                • Non Grain-Oriented Steel
                • Form
                  • Coil
                  • Plate
                  • Sheet
                  • Strips
                  • Wire Rod
                  • Application
                    • Inductors
                    • Motors
                    • Transformers
                      • Current Transformers
                      • Distribution Transformers
                      • Power Transformers
                      • End-Use Industry
                        • Automobiles
                        • Construction
                        • Energy
                        • Fabrication
                        • Household Appliances
                        • Manufacturing
                        • Region
                          • Americas
                            • Argentina
                            • Brazil
                            • Canada
                            • Mexico
                            • United States
                              • California
                              • Florida
                              • Illinois
                              • New York
                              • Ohio
                              • Pennsylvania
                              • Texas
                              • Asia-Pacific
                                • Australia
                                • China
                                • India
                                • Indonesia
                                • Japan
                                • Malaysia
                                • Philippines
                                • Singapore
                                • South Korea
                                • Taiwan
                                • Thailand
                                • Vietnam
                                • Europe, Middle East & Africa
                                  • Denmark
                                  • Egypt
                                  • Finland
                                  • France
                                  • Germany
                                  • Israel
                                  • Italy
                                  • Netherlands
                                  • Nigeria
                                  • Norway
                                  • Poland
                                  • Qatar
                                  • Russia
                                  • Saudi Arabia
                                  • South Africa
                                  • Spain
                                  • Sweden
                                  • Switzerland
                                  • Turkey
                                  • United Arab Emirates
                                  • United Kingdom
                                  
                                  
                                  Please Note: PDF & Excel + Online Access - 1 Year