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Automotive & Aerospace Steel Market Size By Product (Angles. Shapes and Sections, Hot-Rolled Bars and Rods, Wire Rod, Drawn Wire, Other Bars And Rods, Hot-Rolled Strip, Cold-Rolled Strip, Hot-Rolled Sheets And Coils, Plates, Cold-Rolled Sheets And Coils, Electrical Sheet And Strip, Tinmill Products, Galvanized Sheet, Other Coated Sheet, Steel Tubes And Fittings, Wheels And Axles, Castings, Forgings), By Application (Automotive, Aerospace), Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2021 – 2027

  • Report ID: GMI4522
  • Published Date: Feb 2021
  • Report Format: PDF

Automotive & Aerospace Steel Market Size

Steel Market for Automotive & Aerospace Applications size exceeded USD 125 Billion, in 2020 and is estimated to grow at over 5.4% CAGR between 2021 and 2027 owing to increasing automotive production and booming electric vehicles industry. Favourable government regulation to reduce carbon dioxide emissions and increasing infrastructural & construction activities should stimulate the market demand during the forecast period.


Steel is a widely used material in the automotive industry pertaining to its ability to promote safety & strength at an economical price in comparison to other substitute metals such as aluminum which are the key attributes driving the product demand and propel the steel market for automotive & aerospace applications.


Steel Market Outlook

Growing automotive production, stringent regulations to ensure passenger safety and increasing adoption of lightweight materials in automobiles should boost business growth. Increasing prevalence of stringent emission norms and increasing demand for passenger vehicles owing to urbanization should boost hot-rolled steel bars & rods market demand and concurrently supports the steel market share for automotive & aerospace applications.

Growing demand for electric vehicles, especially in emerging countries such as China, India and the U.S. along with the substantial expansion of automotive production facilities should boost global steel market growth from automotive applications. Steel plays an essential role in the production of body structure, doors, trunk closures, panels, engine blocks, drive trains, and suspension of automobiles. Growing regulatory requirements to reduce carbon dioxide emissions, rising investment in green infrastructure such as charging stations and significant innovation in the production of high strength steel should boost the product demand for automotive & aerospace applications.

Automotive & Aerospace Steel Market Analysis

Cold-rolled sheets and coils segment is probable to grow with the CAGR of 4% at the end of 2027 owing to rising government regulations to reduce carbon dioxide emissions by weight reduction and enhancing crash worthiness by improving car body strength should support the product demand over the forecasted period. It is because cold-rolled steel sheets offer excellent formability, reduce vehicle weight and offer high strength. Also growing awareness toward environment protection led to support the steel market demand for automotive & aerospace applications.

Also, cold-rolled sheets and coils products offer consistent mechanical properties, absolute flatness and provide superior strength which is required in a wide array of auto applications. Cold rolled steel sheets can be potentially strengthened up to 20% through cold rolling which thereby increases the product resistance against crack or split within the environments. These products enable better control over finished product shape, thickness, dimensions and surface finish which are the key attributes driving the product demand from the industry.

In addition, cold rolled steel sheets in automotive and aerospace applications are used in areas that require a superior aesthetic appeal, high thickness tolerances and close dimensional tolerances which are the key driving factors for steek market expansion.

Steel Market from Galvanized steel sheets

Galvanized steel sheets segment is likely to grow above USD 5.15 billion by the end of 2027 owing to its significant use in the production of automotive body parts as these sheets provide unique chemical resistance as they are chemically treated steel sheets. These products provide high formability, superior surface quality and dimensional accuracy which are the key driving factors for steel market growth.

Galvanised steel sheets offer high cost affordability as these products are less labour-intensive which thereby makes them a suitable option in comparison to other alloys and metals. Galvanised sheets offer a thick coating which helps the finished steel sheet to provide better protection against corrosion. In addition, growing car use and increasing awareness of the health risks of driving rusty cars should further propel the product demand in the market and steel market for automotive & aerospace applications.

Galvanized steel sheets help in improving durability, strength and formability of steel which in turn provides superior corrosion resistance. Conventional galvanization process involves a coating of zinc is applied to steel to offer protection and prevent rusting. As zinc products provide high economic feasibility in comparison to other treated steels, provide high protection and acts as a protective buffer between the steel and any moisture or oxygen. Furthermore, the process is an environment-friendly finishing process produces which contributes to sustainable development and minimal waste which attributes towards growth of steel market for automotive & aerospace applications.

Steel Industry from Automotive Application

Automotive segment is likely to exceed USD 165 billion at the end of 2027 owing to rapidly growing automotive production which increases the demand for steel as an important part of automotive. Growing government initiatives to curb carbon emissions has boosted the demand for sustainable solutions for the automotive industry which shows lucrative opportunities for the market growth. Significant growth in automotive sales has further increased the demand for lightweight materials which offer exceptional fuel efficiency which shall further escalate the growth of steel market for automotive & aerospace applications.

Steel offers lower carbon emissions in comparison to other automotive materials, can be recycled and offers high-cost affordability in comparison to other materials which are the key attributes driving product demand globally. In accordance with the International Energy Agency, the global transportation industry contributes about 25% to the total carbon emissions. Growing awareness towards the superior benefits of steel in providing sustainable development further shows favorable circumstances for the product demand from the steel industry.


Steel Market by Region

North America product business should exceed USD 22.30 billion by 2027 owing to rapid expansion of aerospace and defense sector. Significant technological advancements in the production of defense aircraft and the expansion of the commercial aviation sector should accelerate North America steel market for automotive & aerospace applications. Growing demand for lightweight and fuel-efficient aircrafts, owing to shifting consumers towards air travel is likely to have a positive impact on the North America regional growth.

In addition, the U.S. aerospace & defense industry supports technologically advanced aircraft & defense systems which further shows significant opportunities for product in the aerospace industry. Presence of huge aircraft manufacturing base in the region has further enabled the production of high-performance aircrafts which provide minimal environmental degradation.

Steel products offer superior corrosion resistance and are able to withstand atmospheric elevations which are the key factors driving product demand from the industry and attribute towards steel market for automotive & aerospace applications.


Automotive & Aerospace Steel Market Share

Global steel industry for automotive & aerospace applications market is fragmented, and key players include

  • Gerdau S/A
  • Nippon Steel & Sumitomo Metal Corporation Daido Steel Co., Ltd.
  • Kobe Steel, Ltd.
  • Tata Steel
  • Steel Authority of India Limited (SAIL)
  • China Steel Corporation
  • United States Steel Corporation
  • Outokumpu OYJ
  • Celsa Steel UK
  • NJR Steel
  • Thyssenkrupp AG
  • ArcelorMittal
  • JFE Steel Corporation
  • Mechel OAO
  • Jiangsu Shagang Group
  • Commercial Metals Company
  • Nucor Steel
  • Essar Steel
  • Acerinox S.A.
  • Hyundai Steel
  • Jindal Steel & Power Ltd.
  • Steel Dynamics, Inc.
  • Baosteel Group

The emerging small industry players are taking initiative in the market owing to its wider acceptance in automotive and aerospace application. Further, industry players are also engaged in numerous acquisitions, mergers and innovation activities. The other small key players and emerging companies are taking initiative in the market owing to increasing manufacturing & construction industry.

For instance, In December 2019, ArcelorMittal has completed its acquisition with Essar Steel India Limited. Further, the company also announced of a joint venture with ArcelorMittal Nippon Steel India Limited (AM/NS India) and Nippon Steel Corporation. which will own and operate Essar Steel. Th acquisition will help ArcelorMittal to further expand innovations in the steel industry.

In June 2019, Tata Steel completed the acquisition of Bhushan Energy. This company is operating as a division of Bhushan Steel.

In November 2019, Gerdau has purchased a steel mill for USD 111 million in northeast Brazil. The annual production capacity of installed mill is 600,000 tons per year. Through this still plant the company has improved it productivity at Brazilian steel mills.

Global steel market for automotive & aerospace applications report includes in-depth coverage of the industry with estimates & forecast in terms of volume (Million Tons) and revenue in USD million from 2016 to 2027 for the following segments:

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By Product

  • Angles. Shapes and Sections
  • Hot rolled bars and rods
  • Wire Rod
  • Drawn Wire
  • Other Bars and Rods
  • Hot-Rolled Strip
  • Cold-Rolled Strip
  • Hot-Rolled Sheets and Coils
  • Plates
  • Cold-Rolled Sheets and Coils
  • Electrical Sheet and Strip
  • Tinmill Products
  • Galvanised Sheet
  • Other Coated Sheet
  • Steel Tubes and Fittings
  • Wheels and Axles
  • Castings
  • Forgings
  • Others

By Application 

  • Automotive
  • Aerospace

The above information has been provided for the following regions:

By Region

  • North America
    • U.S.
    • Canada
  • Europe
    • Austria
    • Czech Republic
    • France
    • Germany
    • Italy
    • Netherlands
    • Poland
    • Romania
    • Spain
    • Sweden
    • UK
    • Turkey
    • Russia
    • Ukraine  
  • Asia Pacific
    • China
    • Japan
    • India
    • Australia & New Zealand
    • South Korea
  • Latin America
    • Brazil
    • Mexico
    • Argentina
  • Middle East & Africa
    • Saudi Arabia
    • UAE
    • South Africa 


Authors: Kunal Ahuja, Sarita Bayas

Frequently Asked Questions (FAQ) :

Steel market size for automotive & aerospace applications was valued at USD 125 billion in 2020 and will grow at more than 5.4% CAGR through 2027 driven by the soaring electric vehicle industry.

Cold-rolled sheets and coils segment will grow at a 4% CAGR through 2027 owing to increasing government regulations to decrease carbon dioxide emissions.

Galvanized steel sheets market revenue is set to surpass USD 5.15 billion by 2027 due to their unique chemical property and ability to provide superior surface quality, high formability and dimensional accuracy.

Steel market revenue from automotive application will be recorded at USD 165 billion by 2027 owing to the rise in demand for lightweight material in the industry.

Steel Market Scope

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Premium Report Details

  • Base Year: 2020
  • Companies covered: 25
  • Tables & Figures: 1142
  • Countries covered: 27
  • Pages: 300
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