Global Square Billets Market is segmented By Size (100x100 mm, 150x150 mm, 200x200 mm, Others) By Material (Carbon Steel, Alloy Steel, Stainless Steel, Aluminum, Others) By End-User (Automotive, Aerospace, Oil & Gas, Power Generation, Construction, Railways, Others) and By Region (North America, Europe, South America, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2024-2031
Market Overview
Global Square Billets market reached USD 753.0 million in 2022 and is expected to reach USD 1,355.4 million by 2031 growing with a CAGR of 7.6% during the forecast period 2024-2031. Square billets are products used to produce various finished goods, including rods, bars and other structural components, through further processing like rolling, forging and extrusion.
The market is influenced by factors such as industrial growth, construction activities, infrastructure development and demand from various end-use industries.
Asia-Pacific holds a major share covering more than 54.5% of the global square billets market. The regional demand for square billets is heavily influenced by the construction and infrastructure sectors. As countries invest in urbanization and development projects, the need for steel and other metal components increases, driving the demand for square billets.
Market Scope
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Metrics |
Details |
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CAGR |
7.6% |
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Size Available for Years |
2022-2031 |
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Forecast Period |
2024-2031 |
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Data Availability |
Value (USD ) |
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Segments Covered |
Size, Material, End-User and Region |
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Regions Covered |
North America, Europe, Asia-Pacific, South America and Middle East & Africa |
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Fastest Growing Region |
Asia-Pacific |
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Largest Region |
Asia-Pacific |
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Report Insights Covered |
Competitive Landscape Analysis, Company Profile Analysis, Market Size, Share, Growth, Demand, Recent Developments, Mergers and Acquisitions, New Equipment Type Launches, Growth Strategies, Revenue Analysis, Porter’s Analysis, Pricing Analysis, Regulatory Analysis, Supply-Chain Analysis and Other key Insights. |
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Market Dynamics
Rising Infrastructural Development
Buildings, bridges, roads, trains, airports and other necessary structures are some of the physical assets and amenities that are constructed as part of infrastructure development. The need for steel and metal components, particularly square billets, rises dramatically as countries and regions make investments in transforming and enhancing their infrastructure.
Countries across the globe are investing in boosting fracture leading to drive the demand for square billets in the region. For instance, With the construction industry accounting for 7% of GDP in 2022, infrastructure construction has been the primary driver of China's rapid economic growth over the past 40 years and investment is expected to increase.
An index tracking China's construction activity climbed to its highest level since 2012 in March 2023, with more than USD 1.8 trillion in spending on key infrastructure initiatives declared by more than two-thirds of China's regions this year.
Rising Demand for Durable and High-Quality Materials
Square billets have become a popular option for manufacturing essential elements and structural parts as numerous industries, including construction, manufacturing and infrastructure development, look for materials that offer great strength, dependability and lifespan. The rising demand for durable and high-quality materials from various end-users has encouraged key players to invest in high-end materials.
For instance, On 26 May 2020, Ural Steel collaborated with the I.P. Bardin Central Research Institute of Iron and Steel Industry and finalized the technological aspects of the production of concast billets used in the production of 100-meter long rails. The manufacturing of concast square billets with section sizes of 300 x 330 mm was made possible by the extensive re-equipment of CCM #6 in 2017. Ural Steel gave the Aktobe Rail and Section Works the finished goods.
High Production Costs
High production costs can indeed hamper the global square billet market within the metal manufacturing industry. The production of square billets involves several cost factors that can impact the overall competitiveness and profitability of manufacturers. Steel is the main raw material used in the production of square billets, and its price is prone to change. The production costs of square billets can be directly impacted by volatile raw material prices.
Significant energy consumption is needed to produce square billets, notably during the melting and shaping procedures. Costs of production can be significantly impacted by changes in energy prices. Furthermore, for the operation and management of the manufacturing process, skilled labor is required. The entire cost of production may rise as a result of high labor costs.
Segment Analysis
The global square billets market is segmented based on size, material, end-user and region.
The Demand for Lightweight Materials Drives Aluminum Segment
During the forecast period, aluminum is expected to hold around 1/3rd of the global square billets market. Aluminum components are appropriate for environments where safety is paramount and a lighter metal is required for energy economy or speed. Aluminum parts can be found in tractors, airplanes, automobiles, energy missiles, drilling tools and ships.
Furthermore aluminum also offers some excellent properties such as durability and corrosion resistance. Aluminum exhibits excellent corrosion resistance, making it suitable for outdoor and marine applications. Aluminum square billets are used in construction, infrastructure and marine projects where resistance to environmental elements is vital.
Geographical Penetration
Asia-Pacific Growing Automotive Industry
Asia-Pacific square billets market has witnessed significant growth covering more than 1/3rd of the global market share in 2022. China, India and Japan are major automotive manufacturing countries. The region has a large automotive industry and steel is an important commodity utilized in vehicle manufacturing. The processing of square billets into various automotive components and parts is expected to make an impact on the region's round billets market.
For instance, Between April 2000 and September 2022, the automotive industry attracted cumulative equity FDI inflows of around USD 33.77 billion. By 2023, the Indian government projects that the vehicle industry will draw investments of USD 8–10 billion from both domestic and foreign sources. Furthermore, the International Organization of Motor Vehicle Manufacturers reports that China is the world's largest producer of automobiles, accounting for around 32.5% of global volume. In 2021, the country solely produced 2,60,82,220 vehicles, a 3% rise over the previous year's total of 25,225,242 units. The huge automotive market is likely to drive square billet demand in Asia-Pacific.
Competitive Landscape
The major global players include Alleima, Deutsche Nickel, Baosteel Group, Emirates Global Aluminium, Hindalco, JFE Steel Corporation, ArcelorMittal, TMK Group, EVRAZ and Gerdau.
COVID-19 Impact Analysis
The global construction market witnessed a 35% growth in 2021, with countries such as China, India, U.S. and Indonesia contributing to 58.3% growth in the construction market, thereby bringing the total market value to USD 15.2 trillion. The pandemic's aftermath on the construction industry will impact numerous industry developments, including the square billet market. However, in the post-pandemic market scenario, it could act as a major market growth driver for the global square billet market.
Supply chain disruption has turned out to be a major factor in the rising price of square billets during the pandemic phase. The increase in the price of square billets is related to the recovery of the construction sector, which resumed growth by the end of 2020.
However, in the post-COVID market landscape, manufacturers' government initiatives and strategic actions are projected to increase the global square billets market.
Russia-Ukraine War Impact
The instability in the area may affect logistics networks and transportation routes, which may affect the availability of raw materials required for the manufacturing of square billets. Additionally, trade disputes between Russia and Ukraine or between these nations and other countries result in limits on the export and import of steel and metal goods, which has an impact on the movement of square billets on the world market.
In addition, continued conflicts might engender unease and undermine investor confidence, which could result in a decline in investment in the metal manufacturing sector, including the manufacture of square billets.
Key Developments
- In February 2022, Emirates Global Aluminium, UAE's largest industrial firm outside of oil and gas, stated plans to develop a 150,000-tonne-per-year aluminum recycling facility, the company's first and the largest in UAE. The factory will convert post-consumer aluminum scrap into low-carbon, high-quality billets of aluminum.
- On 18 April 2019, A new high-speed billet caster with six strands has been successfully installed by SMS Group and Jindal Shadeed Iron & Steel LLC (JSIS), a subsidiary of the Jindal Group, in Sohar, the Sultanate of Oman. Within just over a month of startup, 42 heats in succession could be cast, which is an amazing ramp-up curve. In collaboration with SMS Concast, a business within the SMS group, the continuous casting machine was created and put into operation. It now uses six strands and has a casting speed of 3.6 meters per minute while producing rebar billets with a 165-millimeter square section.
- On 26 May 2020, Ural Steel collaborated with the I.P. Bardin Central Research Institute of Iron and Steel Industry and finalized the technological aspects of the production of concast billets used in the production of 100-metre-long rails. The manufacturing of concast square billets with section sizes of 300 x 330 mm was made possible by the extensive re-equipment of CCM #6 in 2017. Ural Steel gave the Aktobe Rail and Section Works the finished goods.
Why Purchase the Report?
- To visualize the global square billets market segmentation based on size, material, end-user and region, as well as understand key commercial assets and players.
- Identify commercial opportunities by analyzing trends and co-development.
- Excel data sheet with numerous data points of square billets market-level with all segments.
- PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
- Product mapping available as excel consisting of key products of all the major players.
The global square billets market report would provide approximately 61 tables, 64 figures and 200 Pages.
Target Audience 2024
- Manufacturers/ Buyers
- Industry Investors/Investment Bankers
- Research Professionals
- Emerging Companies
