Global Square Billets Market - 2023-2030

Global Square Billets Market - 2023-2030

Global Square Billets market reached US$ 753.0 million in 2022 and is expected to reach US$ 1,355.4 million by 2030 growing with a CAGR of 7.6% during the forecast period 2023-2030.

The square billets market is influenced by various factors such as economic conditions, industrialization and infrastructure development. Key players in the market operate globally and production is concentrated in regions with significant steel and metal manufacturing capacity, such as Asia-Pacific, Europe, North America and the Middle East. Asia-Pacific is expected to contribute more than half a share of the market in the forecast period due to the dominance of the steel industry and growing investments in the region.

The construction sector holds more than 1/3 share in the global square billet market and is expected to become twofold in the forecast period due to rising investments in the building and construction sector globally. Furthermore, the focus on sustainable construction and the use of eco-friendly materials has led to increased adoption of steel and metal components, including square billets, in green building projects which is driving the market growth.

Market Dynamics

Rising Infrastructural Development

As urbanization continues, there is a growing need for new residential and commercial buildings, as well as public infrastructure projects like hospitals, schools and government facilities. Square billets are used to create structural components like beams, columns and reinforcements that provide strength and stability to these structures.

Various developing countries have shown an increment in square billet demand due to their growing investment in the construction sector. For instance, India is among the fastest growing economy and major shareholder in the Asia-Pacific square billet market. In India, the construction and infrastructure industries have developed past their infancy. For many years, ""Low-Hanging Fruits,"" or initiatives that were straightforward to carry out and produced the most economic benefit, have been the focus of both public and private enterprises.

The opportunity to take on complex and challenging projects has increased, though and for construction firms, efficiency and technological know-how will be just as important as cost-effectiveness going forward. The industry will recover throughout the anticipated period, increasing by an average of 6.7 percent in real terms between 2022 and 2025, with overall output surpassing pre-pandemic levels by 2022.

Rising Demand for Durable and High-Quality Materials

The demand for durable and high-quality materials is a critical driver of the square billet market, as it addresses the need for robust and reliable components in various industrial sectors and infrastructure projects. The rising of high-quality materials in various industries has overshadowed the high cost of these materials.

Furthermore, certain industries, such as aerospace, automotive and heavy machinery, require materials that can withstand extreme conditions and high levels of stress. Square billets, known for their high performance, meet these demands effectively.

Environmental Concerns

The production of square billets, particularly through traditional steelmaking processes like blast furnaces, is energy-intensive and can result in significant greenhouse gas emissions, including carbon dioxide (CO2). High carbon emissions contribute to climate change and global warming, leading to environmental concerns and regulatory pressures.

Furthermore, Steel production, including the production of square billets, can release various air pollutants such as particulate matter, sulfur dioxide (SO2), nitrogen oxides (NOx) and volatile organic compounds (VOCs), which can contribute to air pollution and impact local air quality leading to hampering the material’s business.

COVID-19 Impact Analysis

The pandemic led to disruptions in global supply chains, affecting the availability of raw materials and components required for manufacturing square billets. End-user industries such as construction and building, aerospace and automotive have seen severe downfall during the pandemic phase which has hampered the square billet market.

For instance, according to the Royal Institution of Chartered Surveyors, construction activity contracts across all areas have decreased due to the lockdown and the impact of social distancing measures. In the second quarter of 2020, over 25% of ongoing projects were suspended and on-site productivity dropped by 12%. Before the pandemic, the construction industry employed roughly 7.7% of the global workforce, with forecasts for 2020 predicting that it will generate 13.4% of global GDP. However, dropping revenue and increased project delivery issues have caused the sector to decline during the pandemic.

Since the pandemic downsized the global construction market extensively, the market prospects such as sales and demand of square billets went down extensively.

Segment Analysis

The global square billets market is segmented based on size, material, end-user and region.

The Demand for Lightweight Materials Drives Aluminum Segment

Aluminum is a growing segment in the material category which has covered nearly 22.3% share in the global square billets market. The aluminum square billet market is growing due to the versatility, lightweight, durability and recyclability of aluminum, making it a preferred material in various industries and applications. As industries continue to seek sustainable and efficient materials, the demand for aluminum square billets is likely to further expand in the coming years.

Rising investments in renewable energy projects have also raised the aluminum square billets demand. Aluminum square billets are used in renewable energy projects, such as solar energy installations and wind turbine components, further boosting their demand in the growing renewable energy sector.

Geographical Analysis

Asia-Pacific Growing Steel Industry

Asia-Pacific is a major producer of steel and metal products, including square billets. The region's abundant raw material resources and advanced manufacturing capabilities contribute to its prominence in the global market. For instance, India is currently the world's second-largest producer of crude steel, producing 118.20 Million tonnes (MT) of crude steel from January through December 2021, an increase of 17.9% over the same period in the previous year (CPLY).

Furthermore, the Ministry of Steel has signed 57 Memorandums of Understanding with 27 companies, which are anticipated to result in investments totaling INR 30,000 crores, the addition of around 25 MT of specialty steel capacity over the next five years and the creation of more than 60,000 jobs. The rising investments in the industry have encouraged the key players to invest in the square billets market to overcome the growing demand for the material in the region.

Competitive Landscape

The major global players include Alleima, Deutsche Nickel, Baosteel Group, Emirates Global Aluminium, Hindalco, JFE Steel Corporation, ArcelorMittal, TMK Group, EVRAZ and Gerdau.

Why Purchase the Report?
To visualize the global square billets market segmentation based on size, material, end-user and region, as well as understand key commercial assets and players.
Identify commercial opportunities by analyzing trends and co-development.
Excel data sheet with numerous data points of square billets market-level with all segments.
PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
Product mapping available as excel consisting of key products of all the major players.

The global square billets market report would provide approximately 61 tables, 64 figures and 200 Pages.

Target Audience 2023
Manufacturers/ Buyers
Industry Investors/Investment Bankers
Research Professionals
Emerging Companies