January 27, 2025 – The global sustainable steel market is set to experience significant growth, with a projected Compound Annual Growth Rate (CAGR) of 9.1% during the forecast period from 2024 to 2032. This expansion is driven by increasing government regulations for carbon neutrality, the growing use of recycled steel, and the shift towards electric vehicles.
Key Highlights:
- The sustainable steel market is expected to grow at a CAGR of 9.1% from 2024 to 2032.
- Government regulations, recycled steel usage, and EV adoption are key market drivers.
- The Hydrogen DRI – EAF segment is anticipated to experience significant growth.
- The European region is poised for substantial growth during the forecast period.
Market Scope and Overview:
The sustainable steel market addresses the need for low-carbon steel production, driven by global efforts to reduce CO2 emissions from traditional steelmaking processes.
Market Drivers and Opportunities:
- Driver: Growing usage of recycled steel and increased government regulations about carbon neutrality targets are predicted to bolster the market expansion.
- Opportunities: The shift towards electric vehicles by automotive companies offers significant opportunities for sustainable steel manufacturers.
Impact of COVID-19:
The COVID-19 pandemic caused disruptions in the metal and mining industries, but also highlighted the importance of sustainable practices and accelerated the demand for low-carbon steel solutions.
Segmentation Analysis:
- Hydrogen DRI – EAF Segment: This segment is anticipated to grow significantly, driven by the increasing adoption of green hydrogen in steel production.
Regional Analysis:
- Europe: This region is set to witness significant growth, driven by stringent carbon emission regulations and increasing construction activities.
Competitive Landscape:
The sustainable steel market is competitive, with key players focusing on developing and offering low-carbon steel products. Major players include Nippon Steel Corporation, HBIS Group, Tata Steel, and ArcelorMittal.
Recent Developments:
- In September 2022, Nippon Steel Corporation introduced a carbon-neutral steel product under the brand name NSCarbolex Neutral.
- In August 2022, HBIS Group partnered with BMW Group to produce eco-friendly, low-carbon steel for BMW’s Shenyang plants.
Scope of the Report:
This report provides a comprehensive analysis of the sustainable steel market, segmented by production technology (electric arc furnace, molten oxide electrolysis), product type (recycled steel, green steel), end user (building & construction, electronics, industrial equipment, automotive & transportation, others), and region (North America, Europe, Asia Pacific, Rest of the World).
