The market for ferrosilicon is expected to grow at a CAGR of less than 3% globally during the forecast period.
Increasing applications for corrosion resistance and growing demand from steel production industries are driving the market growth.
Replacement by other substitutes and the outbreak of COVID-19 factors are expected to hinder the market growth.
Key Market Trends
Growing Demand for Metallurgy Purposes
- FerroSilicon is an alloy and has been majorly used for steel and casting production applications. FerroSilicon finds its application in metallurgy, semiconductors, solar energy, and chemicals, amongst others.
- Ferrosilicon has a strong relation with steel production industries. Ferrosilicon has been majorly used as a deoxidizer in steel and as an inoculant in the casting industries because of its properties.
- The properties of ferrosilicon include corrosion and abrasion resistance, high specific gravity, high strength, high magnetism, and hardness, high-temperature resistance. More than 80% of ferrosilicon is consumed in the production of iron and steel.
- Corrosion can reduce strength, decrease surface properties, and resistance to fluids. Overall, it decreases the mechanical and chemical properties of certain materials.ich
- The demand for corrosion resistance from the construction industry and the automobile industry has been growing. Bridges, structural support materials, and automotive bodies need to long last without any effect of corrosion. So, many companies are preferring ferrosilicon in construction and automobiles for better quality.
- Alloying the ferrosilicon with other metals makes the compound useful in the production of semiconductors. Semiconductors have a huge demand from the electronics industry.
- Rapid industrialization and growing demand for electronics have been increasing the use of ferrosilicon in various applications. The impact of COVID-19 globally on production industries may decrease the usage of ferrosilicon in the short run.
- Additionally, the automotive demand in Asian countries, like India, Japan, and the Southeast Asian countries, is likely to witness growth in the coming years, following the recovery from COVID-19 impact.
Asia-Pacific Region to Dominate the Market
- Asia-Pacific is expected to dominate the global market owing to the highly developed construction, coupled with the continuous investments done in the region to advance the automobile and construction sectors through the years.
- The demand from the construction industry has been increasing and according to a study by the Institution of Civil Engineers (ICE), the global construction industry is expected to reach USD 8 trillion by 2030, primarily driven by China, India, and the United States.
- Alloying steel with ferrosilicon possesses various properties that enhance their demand in the automotive sector, such as thickness, and quality among others.
- However, the automotive market witnessed a decent fall in the recent past globally. China has the largest automobile manufacturing base than any other region in turn accounting for a demand for ferrosilicon in Asia-Pacific region. However, the recent impact of COVID-19 has led to a slowdown in the automotive manufacturing activities in turn acting as a hurdle to the growth of ferrosilicon market in the country.
- Asia-Pacific is the largest producer of electronic components. The use of semiconductors in almost every electronic device has increased the demand for ferrosilicon in the production of semiconductors in recent years.
The global ferrosilicon market is fragmented in nature with many players competing in the market. Some of the major companies are China Minmetals Corporation, Eurasian Resources Group, Ferroglobe, OM Holdings Ltd, and Mechel, among others.
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support
This product will be delivered within 2 business days.
1.2 Scope of the Study
4.1.1 Increasing Applications for Corrosion Resistance
4.1.2 Growing Demand from Steel Production Industries
4.2.1 Replacement by Other Substitutes
4.2.2 Other Restraints
4.3 Industry Value Chain Analysis
4.4 Porter's Five Forces Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Buyers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitute Products
4.4.5 Degree of Competition
5.1.3 Photovoltaic Solar Energy
5.1.4 Chemical Processing
5.1.5 Other Applications
22.214.171.124 South Korea
126.96.36.199 Rest of Asia-Pacific
5.2.2 North America
188.8.131.52 United States
184.108.40.206 United Kingdom
220.127.116.11 Rest of Europe
5.2.4 South America
18.104.22.168 Rest of South America
5.2.5 Middle-East and Africa
22.214.171.124 Saudi Arabia
126.96.36.199 South Africa
188.8.131.52 Rest of Middle-East and Africa
6.2 Market Share (%)/Ranking Analysis**
6.3 Strategies Adopted by Leading Players
6.4 Company Profiles
6.4.1 China Minmetals Corporation
6.4.2 Eurasian Resources Group
6.4.3 Ferro Alloys Corporation Limited
6.4.7 OM Holdings Ltd.
6.4.8 Shanghai Shenjia Ferroalloys Co., Ltd
6.4.9 SKP Group
6.4.10 Tashi Group
7.2 Other Opportunities
A selection of companies mentioned in this report includes:
- China Minmetals Corporation
- Eurasian Resources Group
- Ferro Alloys Corporation Limited
- OM Holdings Ltd.
- Shanghai Shenjia Ferroalloys Co., Ltd
- SKP Group
- Tashi Group