Special Steel Market Report 2025

The special steel market size has grown strongly in recent years. It will grow from $190.96 billion in 2024 to $201.15 billion in 2025 at a compound annual growth rate (CAGR) of 5.3%. The growth in the historic period can be attributed to geopolitical and economic factors, rise in energy sector demands, consumer electronics industry growth, industrial revolution and machinery demand, development of automotive industry.

The special steel market size is expected to see strong growth in the next few years. It will grow to $254.71 billion in 2029 at a compound annual growth rate (CAGR) of 6.1%. The growth in the forecast period can be attributed to adoption of special steel in construction, sustainable steel production practices, electronics and consumer goods demand, medical and healthcare equipment demand, aerospace and defense sector growth. Major trends in the forecast period include focus on sustainable materials, advancements in automotive industry, renewable energy infrastructure, medical devices and equipment, shift towards electric vehicles (EVs).

The rising consumption of special steel in the automotive sector is anticipated to drive the growth of the special steel market. The automotive sector encompasses businesses involved in the manufacturing, distribution, retail, and maintenance of automobiles. Special steel plays a crucial role by providing high-quality materials essential for vehicle construction and maintaining safety standards in the industry. For instance, according to data published by the International Energy Agency (IEA), a France-based intergovernmental organization, SUVs accounted for 48% of global car sales in 2023, setting a new record and affirming their popularity in the automotive market. In advanced economies, SUV sales surpassed 20 million in 2022, reaching a 50% market share for the first time, with over 360 million SUVs on roads worldwide. Consequently, the growing demand for special steel in the automotive sector is fueling the expansion of the special steel market.

The expansion of the aerospace industry is anticipated to drive the growth of the special steel market. The aerospace industry encompasses the design, development, manufacturing, testing, and maintenance of aircraft, with a strong focus on quality and safety. Special steel is essential in this sector due to its unique mechanical and metallurgical properties, ensuring compliance with the industry's rigorous standards. For example, according to the Aerospace Industries Association (AIA), a U.S.-based trade association, the U.S. aerospace and defense industry reached a significant milestone in 2023, with sales exceeding $955 billion - a 7.1% increase from the previous year. Thus, the expansion of the aerospace industry is fueling the demand for special steel in this market.

Leading companies in the special steel market are increasingly focusing on innovative solutions, such as decarbonizing steel production, to align with global climate objectives. Decarbonizing steel production involves reducing carbon dioxide emissions through cleaner technologies and practices. For example, in 2023, thyssenkrupp Steel, a steel manufacturer based in Germany, introduced its tkH2Steel concept at the Green Steel World conference. This approach uses hydrogen instead of traditional carbon-based methods to decarbonize steel production, supporting thyssenkrupp's goal of climate-neutral steel production. Their bluemint steel already achieves up to 70% lower CO2 emissions compared to standard methods. This initiative aligns with the global shift toward greener industrial practices and underscores thyssenkrupp’s commitment to sustainable steel technologies.

Leading companies in the special steel industry are increasingly focused on developing innovative, emission-free products to strengthen their market position. Emission-free steel is produced without carbon emissions, often by utilizing green hydrogen or renewable energy sources. For instance, in March 2024, SSAB AB, a Sweden-based steel company, introduced the world’s first emission-free steel powder for commercial use. This pioneering product, made from SSAB Zero recycled steel, enables customers to 3D-print unique designs with steel produced without fossil carbon emissions. The new powder combines high-strength steel properties with the flexibility of lightweight 3D-printed structures, marking a substantial advancement in sustainable manufacturing. SSAB's innovation aims to reduce carbon emissions in the steel industry and supports efficient, customized production across sectors like automotive and heavy machinery.

In March 2022, Beltrame Group, an Italian steel company known for its merchant bars and special steel SBQ used in construction and shipbuilding, finalized the acquisition of Targoviste Special Steel Plant for $39.7 million. This move aligns with Beltrame Group's expansion strategy and underscores its commitment to bolstering Europe's steel industry. The acquisition of COS Targoviste aims to transform the facility into a competitive special steel production hub within Europe, enhancing the region's steel manufacturing capabilities.

Major companies operating in the special steel market include China BaoWu Steel Group Corporation Limited, ArcelorMittal S.A, Pohang Iron and Steel Company, Nippon Steel Corporation, Baosteel Group Co, Shagang Group Anyang Yongxing Special Steel Co Ltd., Nucor Corporation, JFE Holdings Inc., Hunan Valin Iron And Steel Group Co Ltd., Techint Group, Tata Steel Limited, Hebei Iron and Steel Group Co Ltd., Kobe Steel, Ltd., Hyundai Steel Co Ltd., Voestalpine AG, JSW Steel Ltd., Essar Steel Ltd., United States Steel Corporation, Novolipetsk Steel, Gerdau S.A., Outokumpu Oyj, Aperam S.A, Jindal Steel and Power Limited, Steel Authority of India Limited, Nanjing Iron & Steel Group Co Ltd., AK Steel Holdings Corporation, Dongbei Special Steel Group Co Ltd., Jiuquan Iron and Steel Corporation, Steel Dynamics Inc., Thyssenkrupp Materials NA Inc.

Asia-Pacific was the largest region in the special steel market in 2024. North America is expected to be the fastest-growing region in the forecast period. The regions covered in the special steel market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the special steel market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Special steel represents a category of value-added steel, derived from regular finished steel through processes such as coating, plating, and heat treatment. This specialized steel, blending iron with various elements, serves critical roles across diverse applications, spanning from smartphones, household appliances, to automobiles and vital transportation components, essential in contemporary society.

In the market, special steel types primarily encompass stainless steel, structural steel, and tool and die steel. Stainless steel, an alloy incorporating chromium alongside additional elements such as nickel or molybdenum, boasts remarkable resistance to rust and various forms of corrosion. Grades within this category span the 200 series, 300 series, 400 series, duplex series, among others. Its versatile applications span across automotive, construction, consumer appliances, manufacturing, petrochemicals, shipping, and packaging industries.

The special steel market research report is one of a series of new reports that provides special steel industry statistics, including global market size, regional shares, competitors with a special steel market share, detailed special steel market segments, market trends and opportunities, and any further data you may need to thrive in the special steel industry. This special steel market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The special steel market consists of sales of carbide, austenite, and ferrite forming elements. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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