Ferrosilicon Market Size

Global Ferrosilicon Market size was valued at USD 11.5 billion in 2023 and is poised to grow from USD 11.79 billion in 2024 to USD 14.36 billion by 2032, growing at a CAGR of 2.5% during the forecast period (2025-2032).

Growing demand for ferrosilicon in the steel industry, boom in automotive production around the world, high demand for silicon-based alloys, and expansion of ferroalloy manufacturing capacities are slated to be key factors promoting market development.

Rapidly surging demand for steel across multiple industry verticals such as automotive, construction, and industrial machinery is projected to boost the sales of ferrosilicon. Ferrosilicon is a crucial additive in steel manufacturing used to improve strength, deoxidation, and corrosion resistance properties of steel. Growing automotive production and extensive use of cast iron and steel components in vehicles are also slated to bolster the global ferrosilicon market growth over the coming years. Rising application scope of silicon-based alloys, including ferrosilicon magnesium and ferrosilicon zirconium in multiple industry verticals is also estimated to boost revenue generation for market players going forward.

Robust investments in expansion of ferrosilicon manufacturing capacity around the world to meet surging demand is also slated to create new opportunities in the long run. Contrastingly, fluctuations in raw material pricing, competition from substitute materials, supply chain disruptions, and high production costs and energy consumption are anticipated to impede the sales of ferrosilicon across the forecast period and beyond.

Where is Most Ferrosilicon Used?

The carbon & other alloy steel segment is forecasted to account for a significant chunk of the global ferrosilicon market share in the future. Extensive use of ferrosilicon as an additive in steel and other alloy manufacturing processes is estimated to help this segment bring in the most revenue going forward. Ferrosilicon powder is capable of generating large amount of heat when burned at high temperatures thereby making it highly suitable for the production of capped steel. Ferrosilicon is also used to reduce the loss of alloying elements in the production of different carbon and steel alloys.

The demand for ferrosilicon in cast iron segment is slated to rise at an impressive CAGR in the long run. Use of ferrosilicon as an inoculant in cast iron processing industry to create iron carbide is slated to present new opportunities for ferrosilicon suppliers focusing on this segment going forward.