Electrical Steel Market Analysis: Industry Market Size, Plant Capacity, Production, Operating Efficiency, Demand & Supply Gap, End-Use Application, Type, Sales Channel, Regional Demand, Company Share, Manufacturing Process, Foreign Trade, 2015-2034

The Global Electrical Steel market stood at approximately 7.3 million tonnes in 2023 and is anticipated to grow at a CAGR of 5.75% during the forecast period until 2034. 

 

Electrical steel, also known as silicon steel or transformer steel, is a specialized alloy prized for its magnetic properties and extensively utilized across diverse electrical and electronic applications. Primarily, it serves as the core material in transformers, where its high magnetic permeability and low core loss enable efficient energy transfer between circuits at different voltage levels, minimizing energy losses. Additionally, electrical steel finds widespread use in electric motors and generators, forming the core of stator and rotor assemblies to enhance efficiency and performance in converting electrical energy into mechanical energy and vice versa. In the realm of electronics, it is employed in the production of inductors and chokes, facilitating the efficient storage and transfer of energy in power supplies, filters, and signal processing circuits. Furthermore, electrical steel is integral to the construction of magnetic cores for induction heating systems, enabling rapid and uniform heating in industrial processes such as metal forging and heat treatment. Its application extends to audio equipment, where it contributes to the precise control and amplification of electrical signals in transformers and magnetic pickups for amplifiers, speakers, microphones, and musical instruments. With the rising prominence of electric vehicles, electrical steel is increasingly utilized in traction motors and inverters, leveraging its magnetic properties to enhance the efficiency and performance of EV drivetrains. 

 

The global electrical steel market is influenced by several key drivers that shape its dynamics and growth trajectory. Firstly, the increasing demand for electricity and power infrastructure development worldwide drives the need for electrical steel. This includes the construction of power generation facilities, transmission lines, and distribution networks to meet growing energy needs, particularly in emerging economies undergoing rapid industrialization and urbanization. Additionally, the expanding adoption of renewable energy sources such as wind and solar power necessitates the use of electrical steel in generators, transformers, and other components essential for energy conversion and transmission. Furthermore, technological advancements in electrical steel manufacturing processes and product development contribute to market growth by improving product performance, efficiency, and cost-effectiveness. Moreover, government initiatives and policies aimed at upgrading and modernizing electrical grids, promoting energy efficiency, and reducing carbon emissions stimulate demand for electrical steel. These policies often include incentives and regulations that encourage the adoption of high-efficiency electrical steel products in power infrastructure and equipment. Additionally, the increasing demand for electric vehicles (EVs) and hybrid vehicles drives the demand for electrical steel in traction motors and other automotive components, as these vehicles require efficient and lightweight materials for their electrical systems. Lastly, ongoing investments in infrastructure projects, particularly in the construction, transportation, and industrial sectors, contribute to the demand for electrical steel for various applications, including motors, transformers, and inductors. The global Electrical Steel market is likely to reach approximately 14 million tonnes in 2034. 

 

The Asia Pacific market is anticipated to experience the fastest growth in terms of volume for several reasons. Firstly, the region encompasses some of the world's largest and fastest-growing economies, including China, India, Japan, and South Korea, which are undergoing rapid industrialization, urbanization, and infrastructure development. This growth translates into increased demand for electricity and power infrastructure, driving the need for electrical steel in transformers, motors, generators, and other electrical equipment. Additionally, government initiatives and investments in renewable energy projects, such as wind and solar power, further stimulate the demand for electrical steel in these applications. Moreover, the growing automotive industry in Asia Pacific, coupled with the increasing adoption of electric vehicles (EVs) and hybrid vehicles, drives the demand for electrical steel in automotive components like traction motors and inverters. Furthermore, technological advancements in electrical steel manufacturing processes and product development, particularly in countries like Japan and South Korea, enhance product performance, efficiency, and cost-effectiveness, contributing to market growth. Additionally, Asia Pacific benefits from a skilled workforce, robust supply chains, and established manufacturing capabilities, which support the production and consumption of electrical steel in the region. Overall, the combination of strong economic growth, government support for infrastructure development and renewable energy, expanding automotive industry, technological advancements, and established manufacturing infrastructure positions Asia Pacific as a key growth market for electrical steel in terms of volume.

 

Based on the end-user applications, the global Electrical Steel market is divided into Transformers, Generators, Motors, and Others. Among these, Transformers is the major segment and held about 60% of the global Electrical Steel market in 2023. 

 

Significant players in the Global Electrical Steel market are thyssenkrupp AG, Benxi Steel Group Co., Ltd, CSC Steel Sdn. Bhd., Tata Steel, Nucor Corporation, NLMK, ArcelorMittal S.A., Shougang Group, Baosteel Group Corporation, POSCO, NIPPON STEEL CORPORATION, Voestalpine Group, Yieh Corporation, Aperam S.A., and Others. 

 

Years considered for this report:

 

Historical Period: 2015- 2022

Base Year: 2023

Estimated Year: 2024

Forecast Period: 2025-2034

 

This report will be delivered on an online digital platform with one-year subscription and quarterly update.

 

Objective of the Study: 

 

• To assess the demand-supply scenario of Electrical Steel which covers production, demand and supply of Electrical Steel market in the globe.

• To analyse and forecast the market size of Electrical Steel   

• To classify and forecast Global Electrical Steel market based on end-use and regional distribution.

• To examine competitive developments such as expansions, mergers & acquisitions, etc., of Electrical Steel market in the globe.

 

To extract data for Global Electrical Steel market, primary research surveys were conducted with Electrical Steel manufacturers, suppliers, distributors, wholesalers and traders. While interviewing, the respondents were also inquired about their competitors. Through this technique, ChemAnalyst was able to include manufacturers that could not be identified due to the limitations of secondary research. Moreover, ChemAnalyst analyzed various segments and projected a positive outlook for Global Electrical Steel market over the coming years. 

 

ChemAnalyst calculated Electrical Steel demand across the globe by analyzing the volume of Electrical Steel consumed by the end-user industries and the forecast is calculated based on the growth rate of end-use industries. ChemAnalyst sourced these values from industry experts and company representatives and externally validated them by analyzing the historical sales data of respective manufacturers to determine the overall market size. Various secondary sources such as company websites, association reports, annual reports, etc., were also studied by ChemAnalyst. 

 

 

Key Target Audience:

 

• Electrical Steel manufacturers and other stakeholders

• Organizations, forums and alliances related to Electrical Steel distribution

• Government bodies such as regulating authorities and policy makers

• Market research organizations and consulting companies

 

The study is useful in providing answers to several critical questions that are important for industry stakeholders such as Electrical Steel manufacturers, customers and policy makers. The study would also help them to target the growing segments over the coming years (next two to five years), thereby aiding the stakeholders in taking investment decisions and facilitating their expansion.

 

Report Scope:

 

In this report, Global Electrical Steel market has been segmented into following categories, in addition to the industry trends which have also been detailed below: 

 

 

Available Customizations:

 

With the given market data, ChemAnalyst offers customizations according to a company’s specific needs.

 

In case you do not find what, you are looking for, please get in touch with our custom research team at sales@chemanalyst.com