As per the recent research report by the Transparency Market Research, the global ferroalloy market is expected to showcase a brilliant growth rate of 5.9 % over the forecast period i.e. 2017 to 2025. The research report predicts that the global ferroalloy market will grow to reach the evaluation of US$ 188.7 billion at the end of the forecast period i.e. 2025, rising from the base evaluation of global ferroalloy market i.e. US$ 112.8 billion at the beginning of the forecast period i.e. 2017. Key driver for the expansion of the global ferroalloy market is the rising demand for construction and building industry in various developing economies in the world.
Furthermore, lack of a viable substitute that can meet the requirement of varied applications is also driving growth in the global ferroalloy market in coming years. However, high operational costs as well as stringent government regulations regarding the environmental protection may restrict the growth in the global ferroalloy market over the forecast period. On the other hand, increasing demand for high strength and lightweight steel grades from construction industry is anticipated to support the expansion of the global ferroalloy market in coming years.
Increasing Demand for Steel Motivates Sales in Ferroalloy Market
Increasing demand for steel from countries such as India and China is expected to favor the growth trajectory of the global ferroalloy market in coming years. Segments in the global ferroalloy market by the type of alloys include bulk alloys (including ferrosilicon, ferrochromium, and ferromanganese, among others) and noble alloys (including ferronickel, ferrovanadium, ferromolybdenum, ferrotungsten, and ferrotitanium, among others). Segments in the global ferroalloy market by application include super alloys and alloys, welding electrodes, steel, and wire production, among others. Among these, the steel production segment led the global ferroalloy market in recent past.
Enterprising Person in Ferroalloys Market
Few of the major incumbent players and manufacturers operational within the global ferroalloy market include Tata Steel, BAFA Bahrain, Pertama Ferroalloys, Gulf Ferroalloys Company, Ferroalloy Corporation Limited, China Minmetals Corporation, Vale S. A., SAIL, Arcelor Mittal, OFZ S. A., Sakura Ferroalloys, OM Holdings LTD, NikoPol Ferroalloy Plant, Brahm Group, MORTEX Group, Shanghai Shenjia Ferroalloys Co. Ltd., and Georgian American Alloys, among others.
Regional Outlook of Global Ferroalloys Market
Asia Pacific accounted for a prominent share of 79.8% of the global market in 2021. In Asia Pacific, the ferrochromium and others sub-segments of the bulk alloys segment accounted for 76.3% share of the market in 2021. Both are collectively expected to gain 0.7% share by the end of 2031. The growth of the ferromanganese segment can be primarily attributed to the increase in steel applications in numerous end-use industries.
Europe and Latin America are also notable markets for ferroalloys, and these regions held 13.4% and 3.2% share of the global market, respectively, in 2021. Incremental opportunities in wire production and the manufacturing of welding electrodes in these regions are benefitting stakeholders.
The Middle East & Africa and North America are relatively minor markets for ferroalloys as compared to the market in other regions. North America has very low mineral reserves as compared to any other region. Therefore, the production of ferroalloys in North America is low.
High Demand for Superalloys to Boost Global Ferroalloys Market
Ferroalloys play a vital role in the production of superalloys, which are high-performance alloys employed in extreme environments where corrosion and heat resistance are paramount, due to the growing need for high-performance materials that can function at extreme operating temperatures in the combustion chamber.
Superalloys have become the steel of choice for applications in the aerospace industry, chemical processing industry, construction of submarines, industrial gas turbines, and heat exchangers. The ferroalloys market outlook projects the rising demand for high thermal protection, surface stability, and materials with mechanical strength for the manufacture of next-generation aircrafts. These developments offer significant opportunities for manufacturers of superalloys. Such ongoing trends in the ferroalloys market are benefitting stakeholders.
Overview of Global Ferroalloys Market
Ferroalloys are alloys of iron with a high proportion of one or more non-ferrous elements. Ferroalloys are important additives for steelmaking. Manufacturers are increasing the production of high strength steel with the help of ferroalloys. Ferroalloys are classified into two types: bulk alloys and noble alloys.
Bulk alloys are mostly employed in the steel and iron-making industry to enhance the properties of steel and are employed in bulk quantities, while noble ferroalloys are inputs for the production of alloy steels and special steels.
Usage of Steel in Automotive and Construction Industries to Propel Ferroalloys Market
Based on application, the global ferroalloys market has been classified into steel, superalloys& alloys (excluding steel), wire production, welding electrodes, and others. The steel segment dominated the global ferroalloys market and accounted for 83.8% share in 2021. Demand for ferroalloys application is rising, due to increase in the use of steel in automobile and construction industries. Such trends are boosting the market demand for ferroalloys.
In most steels, carbon is the base element. The formation of structures and their properties can be controlled by adding different alloys. Thus, stakeholders are witnessing an uptick in market growth as per the ferroalloys market revenue analysis.