May 26, 2024
Global Carbon Steel Market

Global Carbon Steel Market is Propelled by Growing Demand from Construction Industry

Carbon steel is an alloy of iron and carbon with a small proportion of other alloying elements like manganese, chromium and vanadium. It is one of the most widely used construction materials due to properties such as strength, resilience and low cost. Carbon steel finds major application in manufacturing of framing and support structures for buildings and infrastructure. The global construction industry has been growing steadily driven by rapid urbanization, rising disposable income and government investments in infrastructure development projects worldwide.

The global Carbon Steel Market is estimated to be valued at US$ 1155.24 billion in 2024 and is expected to exhibit a CAGR of 9.2% over the forecast period 2024-2031, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
The growing demand from the construction industry has been a key driver of the carbon steel market. According to estimates, the global construction industry accounted for over 13% of the world’s GDP and is projected to grow at an average rate of 3.7% annually between 2022 to 2027. Carbons steels find wide application in structural steel frameworks, beams, columns and reinforcement bars used in buildings, bridges, factories, power plants etc. Rapid infrastructure development across regions like Asia Pacific, Middle East and Eastern Europe is fueling the uptake of carbon steel in construction projects. Furthermore, innovative application of carbon steel micro-rebars in concrete is gaining traction for its higher strength and durability.

SWOT Analysis

Strength: Carbon steel has high strength, is very durable and can withstand heavy loads and impacts. It is also cost effective compared to other metals.

Weakness: Carbon steel rusts easily when exposed to moisture and corrodes over time requiring maintenance coatings. It is also not as formable as other alloy steels.

Opportunity: Growth in construction and infrastructure development projects in regions like Asia Pacific and Middle East & Africa is promoting demand for strong and durable building materials like carbon steel.

Threats: Alloy steels that have better strength and corrosion resistance properties than carbon steel threaten its market share over time. Trade policies and raw material price fluctuations also impact the carbon steel industry.

Key Takeaways

Global Carbon Steel Market Size is expected to witness high growth over the forecast period of 2024 to 2031 supported by growth in the construction sector. The global carbon steel market is estimated to be valued at US$ 1155.24 Bn in 2023 and is expected to exhibit a CAGR of 9.2% over the forecast period 2024 to 2031.

Regional analysis focused on the Asia Pacific region which currently accounts for over 50% of the global carbon steel demand led by countries like China, Japan and India. China dominates the region and globally with the largest production capacity for carbon steel supported by a huge construction industry and manufacturing sector.

Key players operating in the carbon steel market are ArcelorMittal, Hebei Iron and Steel, Nippon Steel, POSCO, Jiangsu Shagang, Anshan Iron and Steel, Gerdau, China Baowu Steel Group, Hesteel Group, and JFE Steel. The carbon steel market is consolidated with the top 5 players accounting for over 50% of the global production share. The key players focus on expanding capacity and integrating across the value chain from mining to final products.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it