Coated Steel Market size to exceed USD 65 billion by 2027
Published Date: October 11, 2021 Authors: Kiran Pulidindi, Akshay Prakash
According to a new research report by Global Market Insights Inc., the Coated Steel Market size is expected to exceed USD 65 billion by the end of 2027 owing to the increasing demand from construction, electronics, and automotive sectors. Raw material prices, trade restrictions, and market competition have significantly impacted the price of coated steel in the recent years. In the coming years, as the rivalry increases, the price gap among various companies will reduce.
Coated steel is used in applications where aesthetic appearance, corrosion resistance, and food safety are important. It is also more sustainable and economical as compared to the costly and CO2-intensive aluminum and carbon-fiber composite materials. Development in the construction industry is anticipated to offer opportunities to the coated steel market as hot-dip galvanized and electrogalvanized products are used as bars, rods, and sheets in infrastructure development. Rising renovation activities coupled with growing investments in commercial and residential projects are estimated to boost the coated steel market in the construction industry during the forecast period.
Browse key industry insights spread across 200 pages with 169 market data tables & 23 figures & charts from the report, “Coated Steel Market By Type (Metallic Coated Steel [Hot-dip Galvanized (HDG), Electrogalvanized (EG)], Organic Coated Steel, Tinplate), By Application (Building & Construction, Appliances, Automotive), Industry Analysis Report, Regional Outlook, Application Growth Potential, Price Trends, Competitive Market Share & Forecast, 2021 – 2027” in detail along with the table of contents:
The hot-dip galvanized coated steel market is expected to account for over 45% share by 2027. Hot dip galvanized steel comprises a zinc coating, which is applied in a continuous hot dip process using a bath of molten zinc. Hot-dip galvanized products offer very good corrosion resistance due to the cathodic and barrier protection provided by the zinc coating coupled with good forming properties.
The coating has a bright metallic appearance. The galvanized coating is composed of three layers: a very thin intermetallic layer (Fe2Al5) at the steel coating interface, a zinc coating layer itself, and an oxidized, aluminum-enriched top layer. The market for hot-dip galvanization is estimated to grow significantly during the forecast timeframe owing to its properties such as high durability, sustainability, and longevity.
The appliances segment is anticipated to grow at a healthy CAGR of 3.9% from 2021 to 2027. Coated steel plates for home appliances are usually made of electrogalvanized and hot-dip galvanized coated steel plates and widely used for manufacturing refrigerators, air-conditioning systems, dishwashers, washing machines, furniture, and other household appliances. In the manufacturing process of home appliances, coated steel is used in large quantities for exteriors, structures, panels, motor parts, and other parts.
The North America coated steel market is expected to witness around 3.5% CAGR during the forecast period. The U.S. economy grew at a steady rate and reached USD 20.94 trillion by 2020. With covid-19 pandemic, the country’s GDP decline by 2.3% in 2020 compared to the previous year. The West and Northeast U.S. are expected to experience major growth in the construction industry due to the growing investments in the residential sector.
According to the U.S. Census Bureau, construction spending in the U.S. was USD 1,584 billion in August 2021, after increasing by 0.3% in the previous month. In addition, 12 states of the U.S. have adopted the Zero Emission Vehicle (ZEV) program, which will increase the production of electric vehicles in the country.
The key companies operating in coated steel industry are ArcelorMittal, Essar Steel, POSCO, Voestalpine AG, JFE Steel Corporation, Nippon Steel Corporation, OJSC Novolipetsk Steel, Baosteel Group, SSAB AB, Severstal, JSW, ChinaSteel, Kobe Steel Ltd., Nucor, and Tata Steel. The industry is consolidated due to the presence of large-scale manufacturers across the globe. Major companies are adopting various strategic initiatives, including new product launches, capacity expansion, technological innovations, and mergers & acquisitions, to remain competitive in the industry.