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China Aerospace Steel Market

ID: MRFR/CnM/45777-HCR
200 Pages
Chitranshi Jaiswal
October 2025

China Aerospace Steel Market Research Report By Product (Steel Bar Stock, Forgings, Castings, Others) andBy Aircraft (Commercial Aircraft, Business & General Aviation, Military Aircraft, helicopter)- Forecast to 2035

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China Aerospace Steel Market Summary

As per Market Research Future analysis, the aerospace steel market size was estimated at 272.24 USD Million in 2024. The aerospace steel market is projected to grow from 286.64 USD Million in 2025 to 480.0 USD Million by 2035, exhibiting a compound annual growth rate (CAGR) of 5.2% during the forecast period 2025 - 2035

Key Market Trends & Highlights

The China aerospace steel market is experiencing a transformative shift towards advanced materials and sustainability.

  • The market is witnessing a notable shift towards lightweight alloys to enhance fuel efficiency in aircraft.
  • Sustainability initiatives are gaining traction, driven by rising environmental regulations and the need for greener production methods.
  • Technological collaborations are becoming increasingly prevalent, fostering innovation in steel production techniques.
  • The increasing demand for commercial aircraft and government investment in aerospace infrastructure are key drivers propelling market growth.

Market Size & Forecast

2024 Market Size 272.24 (USD Million)
2035 Market Size 480.0 (USD Million)
CAGR (2025 - 2035) 5.29%

Major Players

Boeing (US), Airbus (FR), Lockheed Martin (US), Northrop Grumman (US), Thales (FR), Safran (FR), General Dynamics (US), Leonardo (IT), Rolls-Royce (GB)

China Aerospace Steel Market Trends

The aerospace steel market is currently experiencing notable developments, driven by advancements in technology and increasing demand for lightweight materials. The focus on enhancing fuel efficiency and reducing emissions in the aviation sector has led to a shift towards high-strength, low-weight steel alloys. These materials are essential for manufacturing aircraft components that require both durability and performance. Furthermore, the growing emphasis on sustainability is prompting manufacturers to explore innovative production methods that minimize environmental impact. As a result, the aerospace steel market is poised for growth, with investments in research and development likely to yield new materials and applications. In addition, the aerospace steel market is influenced by the expansion of the aviation industry in China. The rise in air travel and the need for modernized fleets are driving demand for advanced steel solutions. Collaborations between domestic manufacturers and international firms are fostering knowledge transfer and technological advancements. This synergy may enhance the competitive landscape, enabling local companies to improve their offerings. Overall, the aerospace steel market appears to be on a trajectory of growth, with various factors contributing to its evolution and adaptation to changing industry needs.

Shift Towards Lightweight Alloys

The aerospace steel market is witnessing a transition towards lightweight alloys, which are crucial for enhancing fuel efficiency in aircraft. Manufacturers are increasingly adopting advanced steel compositions that offer superior strength-to-weight ratios. This trend aligns with the industry's goal of reducing operational costs and environmental impact.

Sustainability Initiatives

Sustainability is becoming a central theme in the aerospace steel market. Companies are exploring eco-friendly production techniques and materials that minimize carbon footprints. This focus on sustainable practices is likely to influence procurement strategies and product development in the coming years.

Technological Collaborations

Collaborations between domestic and international firms are shaping the aerospace steel market. These partnerships facilitate the exchange of knowledge and technology, leading to innovative solutions. Such collaborations may enhance the capabilities of local manufacturers, allowing them to compete more effectively in the evolving market.

Market Segment Insights

By Product: Steel Bar Stock (Largest) vs. Forgings (Fastest-Growing)

The product segment of the China aerospace steel market is characterized by a diverse distribution of steel types. Steel Bar Stock holds the largest market share, making it a critical component for manufacturers and suppliers alike. In comparison, Forgings, while having a smaller share currently, are experiencing rapid growth, underscoring a shift in industry preferences and technological advancements. Growth trends in the segment are significantly influenced by increasing demand for lightweight and high-strength materials that Forgings provide. As the aerospace sector aims for enhanced performance and fuel efficiency, the shift towards materials that offer these advantages is evident. Moreover, innovations in manufacturing processes and rising investments in aerospace projects are expected to drive the expansion of both Steel Bar Stock and Forgings in the coming years.

Steel Bar Stock: Dominant vs. Forgings: Emerging

Steel Bar Stock is recognized as the dominant force within the product segment, serving various applications in the aerospace industry due to its strength and reliability. It provides manufacturers with a versatile foundation for structural components, ensuring compliance with stringent safety standards. On the other hand, Forgings are emerging rapidly, gaining traction due to their superior properties, including resistance to fatigue and improved structural integrity. As aerospace companies increasingly seek to enhance component performance, Forgings are becoming vital. Together, these two segments showcase the dynamic nature of the market, fulfilling varying needs and propelling technological advancements in aircraft construction.

By Aircraft: Commercial Aircraft (Largest) vs. Military Aircraft (Fastest-Growing)

In the China aerospace steel market, the aircraft segment is primarily dominated by Commercial Aircraft, which holds the largest market share. This dominance is largely due to the increasing demand for air travel and the production of new aircraft to accommodate this growth. Military Aircraft follows closely, showing promising growth due to the emphasis on defense and modernization programs within the region. Growth trends within the aircraft segment are significantly influenced by technological advancements and rising investments in aerospace infrastructure. The demand for lighter and more durable materials in aviation leads to increased utilization of specialty steels, driving market dynamics. As the Chinese government continues to invest in both commercial and military aviation, the prospects for all aircraft categories look bright over the coming years, with Military Aircraft expected to witness the fastest growth.

Commercial Aircraft (Dominant) vs. Helicopter (Emerging)

The Commercial Aircraft segment in the China aerospace steel market is characterized by its substantial contribution to steel demand, primarily due to the production of large passenger aircraft. The focus on fuel efficiency and reduced emissions drives manufacturers to seek advanced steel solutions. In contrast, the Helicopter segment is emerging, showcasing innovative designs and increased applications in both civil and military operations. Helicopters are gaining traction due to their versatility in various operational scenarios, from logistics to search and rescue. As this sector evolves, it presents growth opportunities for manufacturers focusing on specialized steels that meet the specific demands of helicopter production.

Get more detailed insights about China Aerospace Steel Market

Key Players and Competitive Insights

The aerospace steel market is currently characterized by a competitive landscape that is both dynamic and multifaceted. Key growth drivers include the increasing demand for lightweight materials, advancements in manufacturing technologies, and a heightened focus on sustainability. Major players such as Boeing (US), Airbus (FR), and Lockheed Martin (US) are strategically positioned to leverage these trends. Boeing (US) emphasizes innovation in material science, particularly in developing advanced alloys that enhance fuel efficiency. Airbus (FR) focuses on regional expansion, particularly in Asia, to tap into emerging markets. Lockheed Martin (US) is heavily investing in digital transformation initiatives to streamline operations and improve supply chain resilience. Collectively, these strategies shape a competitive environment that is increasingly focused on technological advancement and market responsiveness.

Key business tactics within the aerospace steel market include localizing manufacturing and optimizing supply chains to enhance efficiency and reduce costs. The market structure appears moderately fragmented, with several key players exerting significant influence. This fragmentation allows for a variety of competitive strategies, as companies seek to differentiate themselves through innovation and operational excellence. The collective influence of these players fosters a competitive atmosphere where agility and responsiveness to market demands are paramount.

In October 2025, Boeing (US) announced a partnership with a leading materials science firm to develop next-generation aerospace steel alloys. This strategic move is likely to enhance Boeing's product offerings, enabling the company to meet the growing demand for lightweight and durable materials in aircraft manufacturing. The collaboration underscores Boeing's commitment to innovation and positions it favorably against competitors.

In September 2025, Airbus (FR) unveiled plans to establish a new manufacturing facility in China, aimed at increasing its production capacity for aerospace components. This expansion is significant as it not only strengthens Airbus's foothold in the Asian market but also aligns with its strategy to localize production and reduce lead times. The facility is expected to enhance supply chain efficiency and responsiveness to regional demands.

In August 2025, Lockheed Martin (US) launched a digital supply chain initiative that integrates AI and machine learning to optimize inventory management and production scheduling. This initiative is crucial as it reflects the growing trend towards digitalization in the aerospace sector. By leveraging advanced technologies, Lockheed Martin aims to improve operational efficiency and reduce costs, thereby enhancing its competitive edge.

As of November 2025, current competitive trends in the aerospace steel market are increasingly defined by digitalization, sustainability, and the integration of AI technologies. Strategic alliances are becoming more prevalent, as companies recognize the need to collaborate to drive innovation and enhance supply chain reliability. Looking ahead, competitive differentiation is likely to evolve from traditional price-based competition to a focus on technological innovation and sustainable practices. This shift suggests that companies that prioritize R&D and sustainable solutions will be better positioned to thrive in an increasingly competitive landscape.

Key Companies in the China Aerospace Steel Market market include

Industry Developments

The China Aerospace Steel Market has been witnessing significant developments recently, with major players like China Baowu Steel Group and Tangshan Iron and Steel enhancing their production capacities to meet growing demand. In July 2023, Jiangsu Shagang Group announced plans for a state-of-the-art production facility to cater specifically to aerospace requirements, a move expected to bolster their market position.

In addition, in August 2023, Anyang Iron and Steel and Maanshan Iron and Steel revealed plans for a collaborative project aimed at developing new steel grades tailored for aerospace applications. Recent mergers and acquisitions in the sector include the merger of Wuhan Iron and Steel with HBIS Group in June 2023, consolidating their strengths in the military aerospace segment.

The valuation of companies in this market has shown growth, largely driven by increased government spending on defense and space exploration, enhancing the prospects for manufacturers like Ansteel Group and Liaoning Zhongwang Group.

These advancements signify a pivotal moment for the China Aerospace Steel Market, as the demand for lightweight, high-strength materials continues to rise in conjunction with technological innovations in the aerospace sector.

Future Outlook

China Aerospace Steel Market Future Outlook

The aerospace steel market in China is projected to grow at a 5.29% CAGR from 2024 to 2035, driven by increasing demand for lightweight materials and advanced manufacturing technologies.

New opportunities lie in:

  • Development of high-strength, lightweight steel alloys for aerospace applications.
  • Investment in automated production lines to enhance efficiency and reduce costs.
  • Partnerships with aerospace manufacturers for tailored steel solutions and innovations.

By 2035, the aerospace steel market is expected to achieve robust growth and innovation.

Market Segmentation

China Aerospace Steel Market Product Outlook

  • Steel Bar Stock
  • Forgings
  • Castings
  • Others

China Aerospace Steel Market Aircraft Outlook

  • Commercial Aircraft
  • Business & General Aviation
  • Military Aircraft
  • Helicopter

Report Scope

MARKET SIZE 2024272.24(USD Million)
MARKET SIZE 2025286.64(USD Million)
MARKET SIZE 2035480.0(USD Million)
COMPOUND ANNUAL GROWTH RATE (CAGR)5.29% (2024 - 2035)
REPORT COVERAGERevenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR2024
Market Forecast Period2025 - 2035
Historical Data2019 - 2024
Market Forecast UnitsUSD Million
Key Companies Profiled["Boeing (US)", "Airbus (FR)", "Lockheed Martin (US)", "Northrop Grumman (US)", "Thales (FR)", "Safran (FR)", "General Dynamics (US)", "Leonardo (IT)", "Rolls-Royce (GB)"]
Segments CoveredProduct, Aircraft
Key Market OpportunitiesAdvancements in lightweight aerospace steel alloys enhance fuel efficiency and performance in aviation applications.
Key Market DynamicsRising demand for lightweight aerospace steel driven by regulatory standards and technological advancements in aircraft manufacturing.
Countries CoveredChina

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FAQs

What is the expected market size of the China Aerospace Steel Market in 2024?

The expected market size of the China Aerospace Steel Market in 2024 is 407.92 million USD.

What will be the estimated value of the China Aerospace Steel Market by 2035?

By 2035, the estimated value of the China Aerospace Steel Market is projected to reach 894.34 million USD.

What is the anticipated compound annual growth rate (CAGR) for the China Aerospace Steel Market from 2025 to 2035?

The anticipated CAGR for the China Aerospace Steel Market from 2025 to 2035 is 7.397%.

Which product segment is expected to be valued the highest in 2035 within the China Aerospace Steel Market?

The Steel Bar Stock product segment is expected to be valued at 220.0 million USD in 2035.

What market share do key players hold in the China Aerospace Steel Market?

Major players such as China Baowu Steel Group, Tangshan Iron and Steel, and Anyang Iron and Steel significantly influence the market dynamics.

How is the Forgings segment expected to perform in terms of value by 2035?

The Forgings segment of the China Aerospace Steel Market is expected to reach a value of 320.0 million USD by 2035.

What challenges are expected to impact the growth of the China Aerospace Steel Market?

Potential challenges may arise from fluctuations in raw material costs and competition among key players in the market.

What is the projected market size for the Castings segment in 2024?

The projected market size for the Castings segment in 2024 is 90.0 million USD.

Which product segments are expected to show substantial growth in the China Aerospace Steel Market during 2025 to 2035?

Steel Bar Stock and Forgings are expected to show substantial growth during 2025 to 2035.

How does the expected market growth rate differ between product segments by 2035?

By 2035, the Steel Bar Stock and Forgings segments are anticipated to experience the highest growth rates compared to others.

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