The Electrical Steel Market is expected to grow at a CAGR of 11.29% to reach USD 24254.8 million by 2028. The electrical steel market is experiencing significant growth due to the increasing demand for this material in industrial applications. The superior mechanical and magnetic properties of electrical steel make it an essential component in various industries, including power generation, electrical equipment manufacturing, and transportation. In response to this rising demand, key players in the market, such as Ansteel and Ben Gang Group Corp., have expanded their production capacity to meet the increasing needs of their customers. For instance, in August 2021, Ansteel and Ben Gang Group merged, resulting in an annual production capacity of 63 million tons of crude steel. With plans to increase production to 70 million tons annually by 2025, Ansteel is poised to become a major player in the global steel market. This expansion in production capacity, coupled with the growing demand for electrical steel, is expected to fuel the market's growth throughout the forecast period.
APAC dominates the regional market because of The Electrical Steel Market represents a significant business sector, driven by the increasing demand for power infrastructure and electrical equipment. This market is characterized by continuous innovation and growth, with key players focusing on enhancing product performance and efficiency. Key trends include the adoption of high-performance alloys and the integration of advanced technologies to meet evolving industry requirements. The market's future looks promising, with increasing investments in renewable energy and smart grid technologies expected to fuel growth.
There are various factors that drive the Electrical Steel Market market which are as following: In adherence to global environmental regulations, the automotive industry is prioritizing the production of lightweight, fuel-efficient, and eco-friendly vehicles. While plastic and polymer components contribute to reducing hazardous emissions and enhancing fuel efficiency, the strength and durability of essential automotive components, including the engine, chassis, gearbox, exhaust system, and other metal parts, necessitate the use of electrical steel. The escalating global automotive production is projected to augment the demand for electrical steel during the forecast period.
Be the first one to get the industry updates. Request for a sample report
Electrical Steel Market Segmentation
The market witnesses several challenges, which are as follows The electrical steel market faces a significant challenge from excess production capacity, leading to a low capacity utilization ratio. Demand for electrical steel is projected to outpace supply during the forecast period. Factors such as low production costs, subsidies, and attractive interest rates for new investments, as well as the ease of securing loans, have contributed to unstructured capacity expansion in the steel industry. This oversupply situation can impact manufacturing activities and demand in different regions, necessitating the imposition of reasonable trade tariffs to discourage dumping activities and limit additional imports of electrical steel products.
Stay ahead of your competitors. Download the Free PDF report
Some of the key companies that have been profiled in the report include:
The global metals and mining industry encompasses manufacturers and providers of various metals, including aluminum, copper, gold, silver, steel, and diversified metals and mining. The steel sector, a significant component of this market, comprises producers of iron and steel and related products, such as metallurgical coal. Key drivers propelling the expansion of the steel market are the increasing demand for steel, particularly in China, where infrastructure development initiatives have bolstered construction activity. - The Electrical Steel Market is experiencing significant growth, fueled by the Increasing demand for electrical steel in automotive industry. Businesses are leveraging the products belonging to the market for customer engagement, transactional notifications, and promotional offers.
The Electrical Steel market is witnessing significant growth due to the increasing demand for energy-efficient solutions in various sectors such as Consumer Electronics, High-Efficiency Motors, Power Transmission Technologies, Solar Power, and Wind Power, which are key drivers of the Renewable Energy industry. The power sector is also undergoing infrastructure development to enhance Power Grids and Distribution Networks, leading to an increased demand for Electrical Transformers and their components, including Distribution Transformers, Powercore, Grain-oriented electrical steel, and Magnetic Properties like Magnetic permeability, High Permeability, and Low Core Loss. Grain-oriented electrical steel is essential in the production of Transformers, Generators, Electric Motors, Solenoids, Small Relays, and other electrical components due to its magnetic properties, which include high magnetic permeability, low resistivity, and low Hysteresis Loss. The automotive industry is also contributing to the market growth with the increasing production of Hybrid cars and the need for efficient Electricity Generation and Power Distribution. Wind Power and Wind Turbines are significant consumers of Electrical Steel due to the large magnets used in their construction, which require high magnetic flux and voltage transformation capabilities. Overall, the Electrical Steel market is expected to continue its growth trajectory due to the increasing focus on Energy Conservation and the transition towards Renewable Energy sources.
Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/
Safe and Secure SSL Encrypted
One user only.
Quick & easy download option
Unlimited user access (Within your organization).
Complimentary Customization Included
*For Enterprise license, go to checkout page
Get the report (PDF) sent to your email within minutes.
