According to the report "High Strength Steel Market by Type (High Strength Low Alloy, Dual Phase, Bake Hardenable, Carbon Manganese), End-Use Industry (Automotive, Yellow Goods & Mining Equipment, Construction, Aviation & Marine), and Region - Global Forecast to 2023", published by MarketsandMarkets, the High Strength Steel Market is projected to grow from USD 18.67 Billion in 2018 to USD 27.92 Billion by 2023, at a CAGR of 8.4% from 2018-2023. Increasing consumption of high strength steels in the automotive and construction industries to improve the fuel efficiency of automobiles and ensure high strength and improved safety features of buildings is driving the growth of the High Strength Steel Market across the globe.
High strength low alloy segment projected to lead market
The high strength low alloy type segment is expected to lead the High Strength Steel Market in 2018. The growth of this segment of the market can be attributed to the increased demand for high strength low alloy steels from the automotive industry. High strength low alloy steels are the most widely used steels in various end-use industries as they offer superior mechanical properties such as high corrosion resistance, increased formability, and excellent weldability, among others.
Automotive end-use industry segment expected to lead
Among end-use industries, the automotive segment is expected to lead the High Strength Steel Market in 2018. The growth of the automotive end-use industry segment of the High Strength Steel Market can be attributed to the increased demand for high strength steels from the automotive industry. It is expected that the amount of high strength steels used in the production of automobiles will be more than double in the next 15 years. The increase in the global automobile production is a major factor leading to the growth of the automotive end-use industry segment of the High Strength Steel Market across the globe. The use of high strength steels for manufacturing body panels of automobiles results in an increase in their fuel efficiency by reducing their weight by approximately 60%. This, in turn, contributes to the growing demand for high strength steels from the automotive industry. The increasing demand for electric and hybrid vehicles across the globe is also expected to contribute towards the growth of the High Strength Steel Market during the forecast period.
Asia Pacific region projected to be largest market
The Asia Pacific region is the largest consumer of high strength steels across the globe, and this trend is projected to continue during the forecast period as well. The growth of the Asia Pacific High Strength Steel Market can be attributed to the economic growth of emerging economies such as China, India, and Taiwan, among others. Increasing production of the manufacturing sector of the Asia Pacific region to cater to the domestic requirements for superior quality products and rising exports from the region are factors leading to an increased demand for high strength steels from the region.
The key players operating in the High Strength Steel Market include Voestalpine AG (Austria), POSCO Group (South Korea), ArcelorMittal S.A. (Luxembourg), SSAB AB (Sweden), Nippon Steel & Sumitomo Metal Corporation (Japan), Tata Steel (India), Steel Authority of India Limited (India), United States Steel Corporation (US), Baosteel Group Corporation (China), Severstal JSC (Russia), ThyssenKrupp AG (Germany), JFE Steel Corporation (Japan), Nucor Corporation (US), and JSW Steel (India), among others.