Precision stainless steel consumption growing
The global market for precision stainless steel (also known as thin strip) is expected to expand 1.5x in terms of market volume by the end of 2029. East Asia currently accounts for over 50% of consumption and this is expected to grow.
^ stainless steel consumption
Article by Future Market Insights
In terms of market value, the global precision stainless steel market (PSS) is projected to expand at a CAGR of over 4% according to a recent report by Future Market Insights. The global PSS market has been segmented based on thickness and end-use industry. In the report, precision stainless steel is defined as being 0.1 -0.4 mm, while foil is below 0.1 mm thickness.
In the form of sheet or foil, PSS is mostly used by food & beverage, automotive, pharmaceutical, aerospace, building & construction, and other industries (oil & gas, research & development, power, electronics, railway & transport, etc). Adoption of stainless steel foil is anticipated to increase in medical, aerospace, defence, petrochemical, laboratory, nuclear, and marine industries.
In the global PSS market, East Asia is estimated to hold nearly half of the market share in terms of volume, owing to the rapid growth of the manufacturing and infrastructure sectors in emerging economies such as China and South Korea. In terms of production and consumption of PSS, China is attributed to be the leading country across the globe. China is anticipated to be a highly attractive market in terms of market share and growth rate during the forecast period.
In the South Asian market, India will provide lucrative market growth opportunities due to the increased concentration of manufacturing and transportation segments. The entry of manufacturing giants in the ASEAN region is expected to deliver an impressive boost to the growth of the PSS market. In the ASEAN region, Indonesia is estimated to be the most significant market for PSS, while Malaysia is projected to expand at a high growth rate during the forecast period.
European market share declining
The Europe PSS market is expected to witness slow growth owing to the maturity in demand from the manufacturing industry. By the end of 2029, the European precision stainless steel market is expected to lose market share to South Asia, as many manufacturing facilities are shifting to emerging economies in Asia. Germany is estimated to be the leading country in the European precision stainless steel market as it is the largest vehicle manufacturer in Europe. Energy and processing industries are actively driving the growth of the Russian PSS market during the forecast period.
Large infrastructure projects from GCC Countries promise exciting opportunities for the precision stainless steel market. The market is expected to witness impressive demand from the Middle East and Africa, due to the increasing manufacture and export of precision components for automotive from Turkey. In the Latin American PSS market, Brazil is expected to be a prominent country in terms of production, consumption, and export of precision steel products. Construction and infrastructure sectors are key contributors to the overall growth of the Latin American PSS market. The Oceania PSS market includes Australia and New Zealand and accounts for less than 1% of the global precision stainless steel market share.
Key market players that have been profiled in the report on the PSS market include Nippon Steel Corporation, Jindal Stainless Group, ArcelorMittal SA, Aperam, Outokumpu Oyj, Kobe Steel, Ltd., Acerinox, AK Steel Corporation, Ulbrich Stainless Steels & Special Metals, Inc., and Baoshan Iron & Steel Co., Ltd., among others. Several unorganized and regional market players are expected to contribute to the development of the precision stainless steel market.