Steel is one of the crucial raw materials used in the production of several products essential for growth of the economy. These include vehicles, electric appliances, industrial machinery, and construction products. Steel can be converted into several forms to facilitate its use in different products. These products can be broadly categorized into flat steel products and long steel products. As the name suggests, flat steel products are continuous or discrete sheets, coils, plates, and flat slabs made of steel. Long steel products include long bars, tubes, pipes, profiles, and sections. Based on alloying element, steel can also be classified into carbon steel, stainless steel, and special/engineering steel.
One of the most prominent applications of flat carbon steel lies in the building & construction industry. Rapid industrialization, increase in investments in infrastructure, and rise in global population are major factors driving the building & construction segment of the flat carbon steel market. Machine manufacturing was a lucrative application segment of the global flat carbon steel market in 2017. Growing imports of machines such as agricultural equipment in developing economies such as Thailand, India, and Vietnam are boosting the demand for flat carbon steel in the machinery manufacturing segment. Other application segments such as automotive & transport, appliances, and energy are also expanding. The transportation industry is a significant consumer of flat carbon steel. Increasing demand for flat carbon steel from automotive, marine, railways, and aerospace sectors is expected to promote growth of the global flat carbon steel market during the forecast period. Though use of flat carbon steel in the aerospace sector is low and the automotive sector is inclining toward use of more lightweight materials, the demand for flat carbon steel in railways and marine sectors is projected to remain high during the forecast period. The automotive sector is witnessing rise in the demand for steel that can reduce weight of automobiles. This is another factor boosting the global flat carbon steel (FCS) market.
Based on product, the flat carbon steel market can be segmented into plates, hot-rolled coils, cold-rolled coils, galvanized coils, pre-painted steel coils, and tinplates. In terms of revenue, hot-rolled coils is a highly attractive segment of the flat carbon steel market. Hot-rolled sheets are suitable for automobiles and electric appliances, owing to their strength and durability. The pre-painted steel coils segment is expected expand at a substantial growth rate during the forecast period. This is primarily due to the rising demand for high-quality steel with aesthetic appeal in automotive and construction industries. Demand for flat carbon steel plates is expected to increase moderately during the forecast period. Rising construction activities across the globe are expected to boost the segment during the forecast period. Galvanized coils are coated steel products, wherein coating is carried out through electrolysis in order to protect the metal from corrosion.
The most commonly used coating material is zinc, which can be applied either by using the heat process (hot-dip galvanizing) or electrolysis (electro-galvanizing). Galvanized steel is also a lucrative product segment of the flat carbon steel market across all regions. Corrosion resistance and better durability are propelling the demand for galvanized steel.