Advanced high strength steel market projection
The advanced high strength steel (AHSS) market size is expected to post a CAGR of around 13% from 2019-2023, according to the latest market research report by Technavio.
“The growing global construction industry is one of the major factors behind the growth of the market. Advanced high strength steel is widely used in the construction of modern buildings and infrastructure. It has various advantages over conventional steel and is therefore used for building lean structures. AHSS also helps in constructing slender and lightweight steel frameworks for buildings, as the steel plates of AHSS are thinner than conventional steel. This also helps to increase the usable floor area of the structures,” commented the analyst.
According to Technavio, the increasing use of electric arc furnace will have a positive impact on the market and significantly contribute to its growth over the forecast period. This research report also analyses other important trends and drivers that will affect market growth from 2019-2023.
The report confirms that the APAC region led the advanced high strength steel market in 2018, followed by North America, Europe, South America and MEA respectively. However, the North American region is expected to witness the highest incremental growth during the forecast period, explained the analyst, due to factors such as the growing production of motor vehicles and the increasing number of construction projects in the region.
“Steel-producing companies are gradually adopting electric arc furnaces as they are cost-efficient, flexible and address the environmental issues associated with the production of steel and steel products. Therefore, the growing adoption of electric arc furnaces in the steel industry will increase the production of steel products, such as AHSS sheets and bars during the forecast period,” added Technavio.
“The rising demand from the wind energy sector and the increasing use of secondary steel will drive the growth of the advanced high strength steel market during the forecast period.”