Key Highlights
- The global steel production reached approximately 1.9 billion tonnes in 2022
- China produced about 1.02 billion tonnes of crude steel in 2022
- The steel industry contributes roughly 2% to the global GDP
- The average energy consumption in steel production is about 20-25 GJ per tonne
- The global steel recycling rate is approximately 70%
- The steel industry accounts for roughly 7-9% of global CO2 emissions
- The global demand for steel is expected to grow at a CAGR of around 3.2% from 2022 to 2030
- Asia-Pacific is the largest consumer of steel, accounting for over 70% of global steel consumption
- The global steel market size was valued at approximately USD 1.4 trillion in 2021
- India is expected to surpass Japan as the second-largest steel producer by 2030
- The use of electric arc furnaces (EAF) in steel production increased by 15% in 2022
- The global steel import/export ratio is approximately 55:45
- The average lifespan of a steel product used in construction is around 50 years
From towering skyscrapers to essential infrastructure, the global steel industry, producing nearly 1.9 billion tonnes in 2022, continues to underpin economic growth while grappling with environmental challenges and technological innovations shaping its future.
Environmental Impact & Sustainability
- The average energy consumption in steel production is about 20-25 GJ per tonne
- The global steel recycling rate is approximately 70%
- The steel industry accounts for roughly 7-9% of global CO2 emissions
- The average lifespan of a steel product used in construction is around 50 years
- The steel industry's water consumption is estimated at 80-150 m3 per tonne of steel produced
- The steel sector is moving towards decarbonization with a target to reduce CO2 emissions by 30% by 2030
- The adoption rate of green hydrogen in steel production is expected to reach 15% by 2030
- The average carbon footprint per tonne of steel produced has decreased from 3.3 tonnes in 2010 to about 1.9 tonnes in 2022
- The use of recycled steel in new production can save up to 74% of energy compared to raw iron ore mining
- The global steel industry's carbon-neutral target is to achieve net-zero emissions by 2050
- The steel industry has reduced water usage intensity by 20% from 2010 to 2022 through recycling and process improvements
Environmental Impact & Sustainability Interpretation
Pricing & Economic Factors
- The global steel import/export ratio is approximately 55:45
- The average price of steel scrap in 2023 ranged from USD 300-450 per tonne depending on the grade
- The average annual steel price volatility is around 8-12%, making it a relatively volatile sector
- Steel prices tend to be highly seasonal, with peaks typically in February and September
- China’s steel exports decreased by around 8% in 2022 due to increased domestic demand and tariffs
- The average cost of new steel plant installation ranges from USD 500 million to 2 billion, depending on capacity and technology
- Steel scrap prices tend to be inversely related to global economic growth, with savings during recession periods
Pricing & Economic Factors Interpretation
Production & Market Size
- The global steel production reached approximately 1.9 billion tonnes in 2022
- China produced about 1.02 billion tonnes of crude steel in 2022
- The steel industry contributes roughly 2% to the global GDP
- The global demand for steel is expected to grow at a CAGR of around 3.2% from 2022 to 2030
- The global steel market size was valued at approximately USD 1.4 trillion in 2021
- India is expected to surpass Japan as the second-largest steel producer by 2030
- The use of electric arc furnaces (EAF) in steel production increased by 15% in 2022
- The global steel demand in the automotive sector is projected to grow at 4% CAGR through 2030
- The global steel industry has employed approximately 3.5 million workers worldwide
- Steel production accounts for over 75% of all crude steel worldwide
- China leads the world in steel capacity, holding over 50% of global capacity
- The global steel industry’s capital expenditure was approximately USD 80 billion in 2022
- The world’s largest steel manufacturer is China Baowu Steel Group Corporation, with a production of over 120 million tonnes in 2022
- The global demand for steel in construction accounted for approximately 50% of total steel consumption in 2022
- The U.S. steel industry produced approximately 72 million tonnes in 2022
- The primary steel-producing countries besides China include India, Japan, the USA, and Russia
- Steel's strength-to-weight ratio makes it essential for high-rise construction, with buildings over 100 stories often using steel frameworks
- The average lead time for a new steel plant construction is approximately 3.5 years
- The global use of steel in packaging, particularly cans, accounts for about 25% of total steel demand
- The global market for steel-based composites is projected to grow at a CAGR of 4.8% from 2022 to 2028
- The average lifespan of a steel bridge is approximately 75 years, with proper maintenance
- Steel production is expected to increase in Africa by about 5.2% annually through 2030, driven by infrastructure development
- The global demand for specialty steel is growing at about 3.4% annually, driven by automotive and aerospace industries
- The global use of ultra-high-performance steel (UHSS) is expected to grow at a CAGR of 6.2% through 2030, mainly in automotive and construction
Production & Market Size Interpretation
Regional & Consumer Trends
- Asia-Pacific is the largest consumer of steel, accounting for over 70% of global steel consumption
- The top five steel-consuming countries are China, India, the United States, Japan, and South Korea
- Steel exports from Turkey increased by approximately 12% in 2022, marking it as a key player in regional trade
Regional & Consumer Trends Interpretation
Technological Innovations & Processes
- The use of digital technologies in the steel industry increased productivity by approximately 12% in 2022
- The global steel industry is moving towards Industry 4.0 with investments increasing by 20% in 2022
- The use of automation in steel plants can increase productivity by up to 25%
Technological Innovations & Processes Interpretation
Sources & References
- Reference 1WORLDSTEELResearch Publication(2024)Visit source
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- Reference 3UNFCCCResearch Publication(2024)Visit source
- Reference 4FORTUNEBUSINESSINSIGHTSResearch Publication(2024)Visit source
- Reference 5AGOResearch Publication(2024)Visit source
- Reference 6STATISTAResearch Publication(2024)Visit source
- Reference 7UNCTADResearch Publication(2024)Visit source
- Reference 8ISTASResearch Publication(2024)Visit source
- Reference 9ANNUALREVIEWSResearch Publication(2024)Visit source
- Reference 10MARKETSANDMARKETSResearch Publication(2024)Visit source
- Reference 11METALBULLETINResearch Publication(2024)Visit source
- Reference 12CRUResearch Publication(2024)Visit source
- Reference 13SPGLOBALResearch Publication(2024)Visit source
- Reference 14ENERGYResearch Publication(2024)Visit source
- Reference 15FORBESResearch Publication(2024)Visit source
- Reference 16USGSResearch Publication(2024)Visit source
- Reference 17INDUSTRYWEEKResearch Publication(2024)Visit source
- Reference 18CTBUHResearch Publication(2024)Visit source
- Reference 19ANNUALREVIEWResearch Publication(2024)Visit source
- Reference 20CHINASTEELINTELLIGENCEResearch Publication(2024)Visit source
- Reference 21GRANDVIEWRESEARCHResearch Publication(2024)Visit source
- Reference 22FHWAResearch Publication(2024)Visit source
- Reference 23AFRICANEWSResearch Publication(2024)Visit source
- Reference 24AUTOMATIONWORLDResearch Publication(2024)Visit source
- Reference 25STEEL-TECHNOLOGYResearch Publication(2024)Visit source