About Steel Sections
Steel sections are a type of steel long products and are used for different applications in industries, including infrastructure and construction, power, industrial machinery, and railway. These provide stability and strength to the structure. Other steel long products include rebars, wire rods, tubes, hot rolled bars, and rails. The global steel long products market will grow on the back of the demand from different industries, including construction, transmission and distribution, and automobiles. Upgrading of power distribution lines is the major factors driving the market.
Technavio’s analysts forecast the global steel sections market to grow at a CAGR of 5.13%, in terms of volume, during the period 2016-2020.
Covered in this report
The report covers the present scenario and the growth prospects of the global steel sections market for 2016-2020. To calculate the market size, Technavio considers the revenue generated from the sales of steel sections across several end-user industries.
The market is divided into the following segments based on geography:
Technavio Announces the Publication of its Research Report – Global Steel Sections Market 2016-2020
Technavio recognizes the following companies as the key players in the global steel sections market: ArcelorMittal, EVRAZ, Gerdau, NSSMC, and Nucor.
Other Prominent Vendors in the market are: Anyang Steel, Celsa Steel, Hyundai Steel, Mechel, and Tata Steel.
Commenting on the report, an analyst from Technavio’s team said: “Using steel will be a key trend for market growth since it is a sustainable material. Steel is the world's most important engineering material. Its production is extremely energy-intensive. Technological advancements and extensive R&D have reduced the high consumption of energy in the production process. Once successful, this will lead to the reduction of greenhouse gas emissions. This will also help to combat climate change, which has become a serious environmental issue in recent years. Thus, the use of steel as a sustainable material (intern sections) is a new trend that is expected to auger well for the growth of the market during the forecast period.”
According to the report, one of the key drivers will be the rising demand from non-residential construction sector. Improvement in non-residential construction is one of the major drivers for the global steel sections market. The demand for steel products increased in 2015 as compared to 2013 and 2014, due to the increase in non-residential construction activities. In 2015, the expenditure on the US non-residential market increased by 12%. The total value of private non-residential construction projects put into place was $681 billion in the US, and the value of government non-residential construction was $394.4 billion.
Further, the report states that decline in iron ore prices will be a challenge for the market. Iron ore and steel scrap both are used as raw material for the preparation of steel. Demand for steel scrap is highly affected by the fluctuating London Metal Exchange billet prices and the iron ore prices. Demand for steel scrap is directly proportional to the prices of iron ore. Thus, when the prices of iron ore are low, the demand for scrap is also low. As steel recycling becomes costlier than iron ore, the market shifts toward iron ore as raw material.
ArcelorMittal, EVRAZ, Gerdau, NSSMC, Nucor, Anyang Steel, Celsa Steel, Hyundai Steel, Mechel, Tata Steel.