Iron and Steel Market Report 2026

The iron and steel market size has grown strongly in recent years. It will grow from $1.78 trillion in 2025 to $1.87 trillion in 2026 at a compound annual growth rate (CAGR) of 5.2%. The growth in the historic period can be attributed to growing construction and infrastructure projects, demand from automotive and transportation sectors, expansion of heavy industry manufacturing, urbanization and industrialization trends, increasing consumer goods production requiring steel components.

The iron and steel market size is expected to see strong growth in the next few years. It will grow to $2.33 trillion in 2030 at a compound annual growth rate (CAGR) of 5.6%. The growth in the forecast period can be attributed to rising focus on sustainable and recycled steel production, expansion of electric vehicle manufacturing, adoption of advanced production technologies such as electric arc furnace, growing demand for high-performance specialty steels, government incentives for green steel initiatives. Major trends in the forecast period include adoption of high-strength steel and alloy innovations, integration of smart manufacturing for steel production, increased use of recycled iron and steel materials, advancements in energy-efficient production technologies, development of corrosion-resistant and specialty steels.

Rising investments in construction are expected to drive the growth of the iron and steel market. Construction involves the process of creating, modifying, repairing, remodeling, and enhancing infrastructure facilities. Iron and steel are extensively used in the construction sector to develop large, modern structures such as stadiums, skyscrapers, bridges, and airports due to their strength and long-lasting durability. Therefore, the increasing investment in construction leads to higher demand for iron and steel. For example, in April 2023, reports from the United States Census Bureau (USCB), a US-based government agency, indicated that construction investment in February 2023 amounted to $1.84 billion. The first two months of the year recorded a $260.8 billion rise in construction investment, representing a 5.9% increase compared to $246.1 billion for the same period in 2022. Additionally, public construction investments reached $388 billion, while private construction investments totaled $1.45 billion in 2022. Thus, growing investments in construction are contributing to the expansion of the iron and steel market.

Major companies operating in the iron and steel market are emphasizing sustainable energy adoption, such as green hydrogen implementation, to secure a competitive edge. Green hydrogen implementation involves using hydrogen as a clean energy source in steel production processes, including blast furnace operations, to partially or entirely substitute fossil fuels, substantially cut carbon emissions, and enhance energy efficiency. For example, in July 2023, Tata Steel Limited, an India-based steel company, introduced the Sprint to Zero 2023 Challenge. The program supports innovative low-carbon hydrogen projects, offering winners up to £80,000 each, priority access to Tata Steel’s integrated steel plants, and opportunities to collaborate with research institutions and start-ups to promote decarbonisation and sustainable steel manufacturing practices.

In December 2024, Volkswagen AG, a Germany-based automotive manufacturer, partnered with Vulcan Green Steel to ensure a supply of low-carbon steel and advance decarbonisation across its industrial supply chains. Through this collaboration, Volkswagen and Vulcan Green Steel aim to promote carbon-neutral vehicle production, lower greenhouse gas emissions, and provide sustainable steel solutions that support environmentally responsible manufacturing. Vulcan Green Steel AB is a Sweden-based steel producer that creates green steel using renewable energy and hydrogen-based production methods, offering low-carbon steel products for automotive and industrial applications.

Major companies operating in the iron and steel market report are ArcelorMittal S.A., Nippon Steel Corporation, China BaoWu Steel Group Corporation Limited, HBIS Group, Pohang Iron and Steel Company, Tata Steel Limited, Steel Authority of India Limited, Nucor Corporation, JFE Steel Corporation, Steelmor Industries, Ezz Steel, Beshay Steel Group, Scaw Metals Group, Libyan Iron and Steel Company, POSCO Holdings Inc., Ansteel Group Corporation, JSW Steel Limited, Hebei Iron and Steel Group, Wuhan Iron and Steel Group, Baoshan Iron & Steel Co. Ltd., Shagang Group, Shandong Iron and Steel Group, Evraz plc, Gerdau S.A., ThyssenKrupp AG, United States Steel Corporation, Hyundai Steel Company, Maanshan Iron & Steel Company Limited, Valin Group.

Asia-Pacific was the largest region in the iron and steel market in 2025. The regions covered in the iron and steel market are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the iron and steel market are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The iron and steel market consists of sales of white iron, malleable iron, gray iron, compacted graphite iron, and ductile iron and carbon steel, stainless steel, alloy steel and tool steel. 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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