Global Hot Rolled Coil Steel Market Size By Product (Hot Rolled Coils (Thickness below 3mm), Hot Rolled Coils (Thickness>3mm)), By Application (Automotive, Construction), By Geographic Scope And Forecast

Hot Rolled Coil Steel Market Size And Forecast

Hot Rolled Coil Steel Market size was valued at USD 170.24 Billion in 2021 and is projected to reach USD 285.01 Billion by 2030, growing at a CAGR of 4.83% from 2023 to 2030.

The global market for hot rolled coil steel is being pushed by rising industrialization and rising infrastructure spending. The growing automation industry in developing Asian nations like India, China, Japan, and South Korea has also contributed to market expansion. The market is comprehensively evaluated in the study on the global hot rolled coil steel market. The research provides a thorough analysis of the market’s key segments, trends, drivers, restraints, competitive environment, and other important elements.

Global Hot Rolled Coil Steel Market Definition

The process of rolling steel at a high temperature (often above 1700° F) that is higher than the steel’s recrystallization temperature is known as mill processing. When steel is above the recrystallization temperature, it can be easily shaped and molded, and it can be produced in much larger sizes. Hot rolled coil steel is typically less expensive than cold rolled coil steel because it is frequently produced without any process pauses, necessitating no reheating of the (as it is with cold rolled). Compared to cold-rolled steel, the steel shrinks slightly as it cools, making it harder to regulate the size and shape of the finished product. Hot rolled steel is used when perfect forms and tolerances are not necessary. Typical applications include heavy machinery, vehicle frames, huge pipes and tubes, metal industrial applications, and agricultural equipment.

A mill process known as “hot rolling” involves rolling steel at a high temperature above the point at which it recrystallizes. The high-temperature steel is allowed to run through one or more pairs of rolls in order to thin it out or make it consistent before being wound into coils. The process is remarkably comparable to rolling out dough. During processing, grains that deform recrystallize, maintaining an equiaxed microstructure and preventing the coil from working hardening. This is carried out in an oil- or gas-fired soaking pit for bigger workpieces. When heating smaller work components, induction is used.

Throughout processing, the material’s temperature must be watched to make sure it doesn’t drop below the recrystallization temperature. Hot-rolled steel coils’ mechanical characteristics are typically unidirectional, and residual stress caused by hot-rolling is frequent. In comparison to cold-rolled steel coils, the amount of incorporated carbon in hot-rolled steel coils is more bearable. These coils are therefore more challenging to work with. Additionally, hot-rolled goods generally cost less than cold-rolled goods.

Global Hot Rolled Coil Steel Market Overview

The global market for hot rolled coil steel is being pushed by rising industrialisation and rising infrastructure spending. The growing automation industry in developing Asian nations like India, China, Japan, and South Korea has also contributed to market expansion. Asia-Pacific nations like Vietnam and the Philippines are seeing a tremendous increase in automobile production. Along with the large number of auto manufacturing facilities, low-cost labor and the expanding urban population in the region are the other major factors driving market expansion. Hot rolled coil steel is frequently chosen because of its exceptional qualities, including great formidability, weldability, castability, strong residual strain during baking, and high adhesion capacity.

Consumption has increased as a result of the massive increase in residential construction projects and the exponential growth of infrastructure to accommodate a growing population. However, due to years of excess steel production capacity and low profitability, the industry is constantly under pressure. The cost of upgrading steelmaking facilities is rising, which increases worldwide competition. The greatest applications for hot-rolled coils are those that don’t call for a lot of force or shape change. For a variety of uses, including the construction of ships, trucks, trains, and pipes, hot-rolled coils are frequently chosen. A high temperature is first used to machine the steel before it is rolled into hot-rolled coils. The steel is then cast into a steel slab and rolled into a coil after it has been melted.

Manufacturers largely use modern technologies during the cooling process to lessen steel shrinkage, which could lead to coil dimensional problems. These faults have a negative effect on the cost of hot-rolled coils and may be problematic for the consumer, who is entitled to make a claim. Hot rolled coils are not required to have a flawless appearance in order to be used, and this fact is taken into account when determining coil pricing. These attributes are all contributing to the market’s phenomenal rise. In the near future, rising automation across a number of industries is anticipated to drive the global market for hot rolled steel coil.

Over the anticipated term, the demand for steel coils is anticipated to be very high in the automotive sector. In recent years, Big River Steel has made plans to increase the amount of flat steel it produces and recycles in Arkansas. The development would triple the company’s ability to produce hot-rolled steel coils annually. The expansion would also increase the business’s ability to produce even higher grades of electric steel, which are anticipated to see an increase in demand soon as the world’s attention turns increasingly to energy efficiency and sales of and hybrid electric vehicles (HEVs) rise.

Since early September 2022, the cost of hot rolled coil steel in Western Europe has remained fairly stable. Multiple market participants told that this is the case despite efforts by at least one steelmaker to raise them. Numerous issues, continue to restrain the demand for flat rolled items. These include a decline in public works initiatives across Europe. Rapidly rising energy costs and less consumer expenditures in the face of economic uncertainty are further causes. High stock levels were most recently added to that list. Construction and the manufacture of welded pipes are two uses for HRC. It serves as a feedstock for the production of cold rolled coil, which is still crucial to the white goods and automotive industries.

Global Hot Rolled Coil Steel Market Segmentation Analysis

The Global Hot Rolled Coil Steel Market is Segmented on the basis of Product, Application, and geography.

Hot Rolled Coil Steel Market, By Product

• Hot Rolled Coils (Thickness below 3mm)
• Hot Rolled Coils (Thickness>3 mm)

Based on Product, the market is segmented into Hot Rolled Coils (Thickness below 3mm), and Hot Rolled Coils (Thickness>3mm). The market share leader in recent years has been the Hot Rolled Coils (Thickness>3mm) segment, and this pattern is anticipated to hold true throughout the projection period. Automobile flooring, elevator floors, general fabrication, as well as a number of industrial fitting applications, all use hot rolled steel coils. There are hot-rolled steel sheets and coils available that meet a range of specifications, from mild steels to high-tensile strength steels. You can choose from a variety of cut sheet and coil sizes, as well as different surface treatments like black, pickled, and shot-blasted finishes, depending on your requirements.

Hot Rolled Coil Steel Market, By Application

• Automotive
• Construction
• Home Appliance
• Machinery
• Others

Based on Application, the market is segmented into Automotive, Construction, Home Appliance, Machinery, and Others. The construction industry recently held the largest market share, and it is anticipated that it will continue to grow quickly during the projected period. The affordable, adaptable material is crucial for building structures for mechanical equipment, bridges, and other civil engineering projects. This type of steel plate sheet has a few advantages, including superior mechanical qualities, good freezing characteristics, and an even construction with pressure resistance. The machinery segment, which was the second-largest market the year before, is anticipated to grow at the fastest CAGR.

Hot Rolled Coil Steel Market, By Geography

• North America
• Europe
• Asia Pacific
• Rest of the world

Based on Geography, the Global Hot Rolled Coil Steel Market is classified into North America, Europe, Asia Pacific, and the Rest of the world. Asia Pacific has recently made significant contributions to the worldwide market for hot-rolled coil steel. The region’s market is anticipated to expand significantly over the next years as a result of rising industrialization, higher demand in the automotive industry, and greater spending on infrastructure development in the area.

Key Players

The “Global Hot Rolled Coil Steel Market” study report will provide a valuable insight with an emphasis on the global market including some of the major players such as ArcelorMittal, China Baowu Steel Group Corp., Ltd, Nippon Steel, POSCO, Hesteel Group, JFE Holdings, Inc, Hyundai Steel, Angang Steel Company Limited, Electrosteel Steel Ltd., Maanshan Iron & Steel Company Limited, and Others.

Our market analysis includes a section specifically devoted to such large firms, where our analysts give an overview of each player’s financial statements, along with product benchmarking and SWOT analysis. Key development strategies, market share, and market ranking analyses of the aforementioned competitors internationally are also included in the competitive landscape section.

Key Developments

• In Jun 2022, Primetals Technologies was given a contract by Hoa Phat Dung Quat Steel JSC, a significant steel producer in Southeast Asia, for process and technology consultancy services for their integrated steel facility in Dung Quat, Quang Ngai Province, Vietnam. The largest industrial manufacturing company in Vietnam is called Hoa Phat. The Group currently engages in business across five industriesiron and steel (construction steel, hot rolled coil), steel products (steel pipes, galvanized steel, drawn steel wire, and prestressed steel), agriculture, real estate, and home appliances.

Ace Matrix Analysis

The Ace Matrix provided in the report would help to understand how the major key players involved in this industry are performing as we provide a ranking for these companies based on various factors such as service features & innovations, scalability, innovation of services, industry coverage, industry reach, and growth roadmap. Based on these factors, we rank the companies into four categories as Active, Cutting Edge, Emerging, and Innovators.