Increase in the Non-Grain-Oriented Electrical Steel Market by 5.1% projected by 2033
The Non-Grain-Oriented Electrical Steel (NGOES) Market is projected to experience substantial growth, with a Compound Annual Growth Rate (CAGR) of 5.1% from USD 17.7 billion in 2023 to USD 29.1 billion by 2033 [2].
This growth is primarily driven by the Asia-Pacific region, which is witnessing a surge in demand for electric vehicles, industrial automation, renewable energy infrastructure, and modernization of power generation systems [2]. The region's rapid expansion in the automotive, industrial, and energy sectors has led to a significant market share for the 0.35mm thickness segment and semi-processed NGOES [2].
In 2023, Asia-Pacific led the market with a 36.2% share, with China and India playing key roles [1]. China's electrical steel production reached 15.28 million tonnes in 2023, marking a 15% increase from the previous year [1]. Despite a 4% decline in exports compared to 2022, China exported 1.23 million tonnes of electrical steel in 2023, with India being the top importer, purchasing 189,184 tonnes [1].
The Asia-Pacific region is not the only player in the NGOES market. North America holds nearly 20% of the market, benefiting from U.S. and Canadian investments in smart grids and EV infrastructure [1]. Europe also leads the market with a 28% share, driven by Germany and France [3].
Manufacturers are also investing in the development of high-performance NGO electrical steel. Nucor Corporation introduced Nucor Electrical Steel (NES), a new NGO steel line optimized for electric vehicles and industrial motors [1]. Tata Steel launched Tata Steel NOES Advanced, a high-performance NGO electrical steel for energy-efficient motors [1]. Shougang Group has advanced its high-efficiency NGO electrical steel production, targeting China's booming EV sector [1]. ArcelorMittal developed iCARe NGO steels, offering ultra-low core loss for high-speed motors [3].
Longbank Steel has expanded its production capacity for high-grade NGO electrical steel to meet rising demand from EV and renewable energy sectors [1]. In 2023, NGOES accounted for 12.04 million tonnes (8%) of China's electrical steel production [1].
The versatility of NGOES across various sectors, including automotive, power, and consumer, ensures robust market expansion [1]. The NGOES market's critical role in energy-efficient applications like electric vehicles, renewable energy systems, and industrial automation further fuels its growth potential [1].
[1] Market Research Report, (2023), Global Non-Grain-Oriented Electrical Steel Market Size, Share & Industry Trends Analysis Report By Type (0.35mm Thickness, Others), By Application (Automotive, Power Generation, Consumer Electronics, Industrial, Others), By Region, And Segment Forecasts, 2023 - 2033.
[2] Market Research Report, (2023), Global Non-Grain-Oriented Electrical Steel Market to Reach USD 29.1 Billion by 2033, Growing at a CAGR of 5.1% during the Forecast Period 2023-2033.
[3] ArcelorMittal, (2023), ArcelorMittal Launches iCARe NGO Steels, Offering Ultra-Low Core Loss for High-Speed Motors.
- The growth in the Non-Grain-Oriented Electrical Steel (NGOES) Market is expected to be influenced by the finance sector, as investments in smart grids, EV infrastructure, and renewable energy systems drive market expansion in regions like North America and Europe.
- Technology plays a significant role in the NGOES industry, with manufacturers such as Nucor Corporation, Tata Steel, Shougang Group, and ArcelorMittal investing in the development of high-performance NGO electrical steel for energy-efficient applications like electric vehicles, renewable energy systems, and industrial automation.
- Lifestyle changes and energy consumption patterns are driving the demand for NGOES in various sectors, including sports (electric vehicles) and consumer electronics, contributing to the market's growth potential.
