Electrical Steel Market Size, Share, Growth Analysis, By Type(Grain-Oriented, Non- Grain-Oriented), By End User(Household Appliances, Manufacturing) - Industry Forecast 2024-2031

Electrical Steel Market Drivers

Rise of Electric Motor to Bolster Market Growth

• One of the key drivers of market expansion is the rising demand for electric motors across various residential, commercial, and industrial sectors. Electrical steel is widely used to produce motors with higher magnetic flux and torque as well as power generators with enhanced electromagnetic properties and minimal carbon dioxide emissions. Additionally, the use of hybrid and electric cars (H/EVs) is expanding, which is boosting market growth. Electric steel vehicle components are lighter while also enhancing the vehicle's aesthetics and safety.

• High rate of electrical steel consumption in motors and transformers the rise in global vehicle manufacturing is one of the key drivers behind the expansion of the electrical steel market. The production is rising annually. The use of electrical steel in automobiles increases fuel efficiency, which raises demand for electrical steel in the automotive industry. Due to the increasing demand for electric and hybrid vehicles, it is predicted that the market for electrical steel would expand even more throughout the forecast period. Energy conservation is a recent market trend. Increased industrial expansion and rising energy consumption are the primary drivers of the industry and the demand for transformers.

Electrical Steel Market Restraints

Price Fluctuation to Hinder Market Growth

• The production of electrical steel requires a variety of raw materials, including iron ore, coal, and other metals. Any volatility in the prices of these raw materials can significantly impact the production cost of electrical steel, which can lead to fluctuations in the market price of electrical steel.