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    Steel Powder Market

    ID: MRFR/CnM/27895-HCR
    100 Pages
    Sejal Akre
    October 2025

    Steel Powder Market Research Report By Production Method (Atomization, Reduction, Electrolysis), By Particle Size (Fine (50 microns), Medium (50-500 microns), Coarse (>500 microns)), By Application (Additive Manufacturing, Powder Metallurgy, Welding and Hardfacing, Other Industrial Applications), By Form (Powder, Paste, Pre-alloyed Powder), By Grade (Low Alloy, Medium Alloy, High Alloy, Stainless Steel) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Forecast to 2035

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    Steel Powder Market Infographic

    Steel Powder Market Summary

    The global steel powder market is projected to grow from 22.31 USD billion in 2024 to 36.32 USD billion by 2035.

    Key Market Trends & Highlights

    Steel Powder Key Trends and Highlights

    • The market is expected to experience a compound annual growth rate (CAGR) of 4.53 percent from 2025 to 2035.
    • By 2035, the market valuation is anticipated to reach 36.3 USD billion, indicating robust growth potential.
    • in 2024, the market is valued at 22.31 USD billion, reflecting a strong foundation for future expansion.
    • Growing adoption of advanced manufacturing technologies due to increased demand for lightweight materials is a major market driver.

    Market Size & Forecast

    2024 Market Size 22.31 (USD Billion)
    2035 Market Size 36.32 (USD Billion)
    CAGR (2025-2035) 4.53%

    Major Players

    Hoeganaes Corporation, Carpenter Technology Corporation, Sandvik, Essentium, Molycorp Minerals, Hitachi Metals, Erasteel, AP, Markforged, Admatec, GKN Hoeganaes, AMETEK, BASF, LPW Technology

    Steel Powder Market Drivers

    Rising Applications in Automotive Sector

    The automotive sector is a significant driver for the Global Steel Powder Market Industry, as manufacturers increasingly utilize steel powders for producing components like gears, bearings, and structural parts. The shift towards electric vehicles is further amplifying this trend, as these vehicles require lightweight and durable materials to enhance efficiency and performance. This growing application is expected to contribute to the market's expansion, with projections indicating a rise to 36.3 USD Billion by 2035. The automotive industry's focus on innovation and sustainability aligns well with the properties of steel powders, suggesting a robust future for this segment.

    Growing Demand for Additive Manufacturing

    The Global Steel Powder Market Industry is experiencing a surge in demand driven by the increasing adoption of additive manufacturing technologies. This method, which utilizes steel powders for 3D printing, allows for complex geometries and lightweight structures that traditional manufacturing cannot achieve. Industries such as aerospace and automotive are particularly benefiting from this innovation, as they seek to enhance performance while reducing material waste. As a result, the market is projected to reach 22.3 USD Billion in 2024, reflecting a shift towards more efficient production processes and sustainable practices.

    Technological Advancements in Powder Production

    Technological advancements in the production of steel powders are significantly influencing the Global Steel Powder Market Industry. Innovations such as atomization and mechanical milling have improved the quality and consistency of steel powders, making them more suitable for various applications. These advancements not only enhance the performance of the final products but also reduce production costs, thereby attracting more manufacturers to adopt steel powders. As the industry evolves, these technologies are likely to play a crucial role in meeting the projected CAGR of 4.53% from 2025 to 2035, indicating a healthy growth trajectory.

    Increasing Investment in Infrastructure Development

    Infrastructure development is a critical driver for the Global Steel Powder Market Industry, as governments worldwide are investing heavily in construction projects. Steel powders are utilized in various applications, including reinforcement materials and construction components, which are essential for modern infrastructure. This trend is particularly evident in emerging economies, where urbanization is driving demand for robust construction materials. The anticipated growth in infrastructure spending is expected to bolster the market, contributing to its overall expansion and aligning with the projected growth metrics for the coming years.

    Environmental Regulations Favoring Sustainable Materials

    The Global Steel Powder Market Industry is witnessing a shift towards sustainability, driven by stringent environmental regulations. Governments are increasingly mandating the use of eco-friendly materials in manufacturing processes, and steel powders, known for their recyclability and lower emissions during production, are gaining traction. This regulatory landscape encourages manufacturers to adopt steel powders as a viable alternative to traditional materials. As sustainability becomes a priority across industries, the demand for steel powders is likely to rise, further supporting the market's growth trajectory.

    Market Segment Insights

    Steel Powder Market Segment Insights

    Steel Powder Market Segment Insights Steel Powder Market Production Method Insights

    The Steel Powder Market is segmented by Production Method into Atomization, Reduction, and Electrolysis. Atomization is the most widely used method, accounting for over 60% of the Steel Powder Market revenue in 2023. Atomization involves disintegrating molten steel into fine droplets using high-pressure water jets or gas, resulting in spherical powder particles. This method offers high production rates, good powder quality, and versatility in terms of particle size and shape. Reduction, on the other hand, involves reducing iron oxides to obtain steel powder.It is a less common method, but it produces high-purity powder with controlled particle size and shape.

    Reduction methods include solid-state reduction, where iron oxide is mixed with a reducing agent and heated, and gas-based reduction, where iron oxide is reduced using hydrogen or carbon monoxide. Electrolysis is another method used to produce steel powder, but it is less common than Atomization and Reduction. Electrolysis involves passing an electric current through a molten electrolyte containing dissolved iron salts. This process produces high-purity spherical powder particles with controlled size and shape.However, electrolysis is more energy-intensive and expensive compared to other methods.

    The choice of Production Method depends on factors such as desired powder characteristics, production capacity, and cost considerations. Atomization is preferred for high-volume applications and general-purpose powders, while Reduction and Electrolysis are suitable for specialized applications requiring high purity and specific particle properties. The market growth for each Production Method segment is influenced by technological advancements, industry trends, and demand from end-use industries such as automotive, aerospace, and construction.

    Steel Powder Market Particle Size Insights

    Source: Primary Research, Secondary Research, Market Research Future Database and Analyst Review Steel Powder Market Particle Size Insights

    The Steel Powder Market segmentation by Particle Size comprises Fine (50 microns), Medium (50-500 microns), and Coarse (>500 microns). Fine steel powder is anticipated to dominate the market over the forecast period owing to its superior mechanical properties, higher surface area, and enhanced sinterability. Medium steel powder is projected to witness significant growth due to its increasing adoption in the production of high-strength components, cutting tools, and wear-resistant parts.

    Coarse steel powder is expected to gain traction in the construction industry for applications such as metal additive manufacturing and surface coating.The Steel Powder Market revenue from Fine steel powder is poised to reach USD 8.4 billion by 2024, while Medium steel powder is projected to reach USD 6.2 billion, and Coarse steel powder is expected to reach USD 3.6 billion by the same year.

    Steel Powder Market Application Insights

    Steel Powder Market Application Insights

    The Steel Powder Market is segmented based on Application into Additive Manufacturing, Powder Metallurgy, Welding and Hardfacing, and Other Industrial Applications. Among these segments, Additive Manufacturing is anticipated to hold a significant market share in the coming years. The market growth can be attributed to the rising adoption of 3D printing technology in various industries, including aerospace, automotive, and healthcare. Powder Metallurgy is another major segment in the Steel Powder Market, accounting for a considerable market share.The increasing demand for high-performance components in industries such as automotive and aerospace is driving the growth of this segment.

    Welding and Hardfacing applications of steel powder are also witnessing significant growth due to their advantages in terms of reducing wear and tear and enhancing the durability of components. Other Industrial Applications of steel powder include its use in friction materials, cutting tools, and magnetic components. The demand for steel powder in these applications is expected to grow steadily in the coming years due to the increasing industrialization and urbanization worldwide.

    Steel Powder Market Form Insights

    Steel Powder Market Form Insights

    The Steel Powder Market segmentation by form comprises powder, paste, and pre-alloyed powder. Among these, the powder segment held the largest market share in 2023, and it is projected to continue its dominance throughout the forecast period. The growth of the powder segment can be attributed to its high demand in various industries, such as automotive, construction, and manufacturing. Powdered steel is a versatile material that can be used in a wide range of applications, including metal injection molding, powder metallurgy, and additive manufacturing.The paste segment is expected to witness a significant growth rate during the forecast period.

    Paste steel powder is a mixture of steel powder and a binder, which makes it easier to handle and apply than pure steel powder. It is commonly used in applications where precise shaping is required, such as in the production of gears and cutting tools.

    Steel Powder Market Grade Insights

    Steel Powder Market Grade Insights

    The Steel Powder Market is segmented by Grade into Low Alloy, Medium Alloy, High Alloy, and Stainless Steel. Among these, the Low Alloy segment held the largest market share in 2023, accounting for around 35% of the Steel Powder Market revenue. The growth of this segment can be attributed to the increasing demand for low alloy steel powder in automotive applications, such as in the production of gears, shafts, and other components.

    The Medium Alloy segment is expected to witness the highest growth rate during the forecast period, owing to the rising demand for medium alloy steel powder in aerospace and defense applications.The High Alloy and Stainless Steel segments are also expected to exhibit significant growth, driven by their increasing use in various industrial applications, including oil and gas, chemical processing, and power generation.

    Get more detailed insights about Steel Powder Market

    Key Companies in the Steel Powder Market market include

    Industry Developments

    Steel powder is establishing a strong position as a potential friction material in advanced automotive systems.Steel powder is expected to observe greater adoption in additive manufacturing and 3D printing applications, which has created lucrative expansion opportunities for market players.In May 2023, Hganäs AB expanded its production capacity for advanced metal powders at its site in Belgium, aiming to meet the growing demand for metal powders in the automotive and additive manufacturing industries.Market players are also investing in research and development to improve the properties of steel powder and expand its applications.

    For instance, in February 2023, Nippon Steel Corporation announced the development of a new steel powder production technology that enables the mass production of high-performance steel powders with excellent magnetic properties.

    Future Outlook

    Steel Powder Market Future Outlook

    The Steel Powder Market is projected to grow at 4.50% CAGR from 2025 to 2035, driven by advancements in additive manufacturing and increasing demand in automotive applications.

    New opportunities lie in:

    • Invest in R&D for high-performance steel powders tailored for 3D printing applications.
    • Expand distribution networks in emerging markets to capture growing demand.
    • Develop eco-friendly steel powder production processes to enhance sustainability and attract environmentally conscious clients.

    By 2035, the Steel Powder Market is expected to achieve robust growth, reflecting evolving industry needs and technological advancements.

    Market Segmentation

    Steel Powder Market Form Outlook

    • Powder
    • Paste
    • Pre-alloyed Powder

    Steel Powder Market Grade Outlook

    • Low Alloy
    • Medium Alloy
    • High Alloy
    • Stainless Steel

    Steel Powder Market Regional Outlook

    • North America
    • Europe
    • South America
    • Asia Pacific
    • Middle East and Africa

    Steel Powder Market Application Outlook

    • Additive Manufacturing
    • Powder Metallurgy
    • Welding and Hardfacing
    • Other Industrial Applications

    Steel Powder Market Particle Size Outlook

    • Fine (50 microns)
    • Medium (50-500 microns)
    • Coarse (>500 microns)

    Steel Powder Market Production Method Outlook

    • Atomization
    • Reduction
    • Electrolysis

    Report Scope

    Report Attribute/Metric Details
    Market Size 2024 22.31(USD Billion)
    Market Size 2025 23.32(USD Billion)
    Market Size 2035 36.32 (USD Billion)
    Compound Annual Growth Rate (CAGR) 4.53% (2025 - 2035)
    Report Coverage Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
    Base Year 2024
    Market Forecast Period 2025 - 2035
    Historical Data 2020 - 2024
    Market Forecast Units USD Billion
    Key Companies Profiled Sandvik, Essentium, Molycorp Minerals, Hitachi Metals, Carpenter Technology, Erasteel, AP, Markforged, Admatec, GKN Hoeganaes, AMETEK, BASF, LPW Technology
    Segments Covered Production Method, Particle Size, Application, Form, Grade, Regional
    Key Market Opportunities ·       Emerging advanced manufacturing technologies ·       Growing demand from the automotive and aerospace industries ·       Increasing adoption in powder metallurgy ·       Substitution for traditional materials ·       Lucrative opportunities in Asia Pacific
    Key Market Dynamics Increased demand in automotive construction and manufacturing sectors, Technological advancements leading to improved powder properties, Growing adoption of metal injection molding,  Sustainable initiatives driving demand for recycled steel powder, Regional variations in market growth due to economic factors
    Countries Covered North America, Europe, APAC, South America, MEA

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    FAQs

    How big is the Steel Powder Market?

    Steel Powder Market is expected to grow with a CAGR of 4.53% in the period 2025-2035

    What are the key factors driving the growth of the Steel Powder Market?

    The growth of the Steel Powder Market is attributed to the increasing demand for steel powder in various applications, including automotive, construction, and manufacturing industries.

    Which region is expected to dominate the Steel Powder Market?

    North America is expected to hold the largest market share in the Steel Powder Market due to the presence of major steel-producing countries such as China and India.

    What are the major applications of Steel Powder?

    Major applications of Steel Powder include powder metallurgy, metal injection molding, and additive manufacturing.

    Who are the key players in the Steel Powder Market?

    Key players in the Steel Powder Market include Hoeganaes Corporation, Carpenter Technology Corporation, and BASF SE.

    What is the expected growth rate of the Steel Powder Market in the forecast period?

    Steel Powder Market is projected to grow at a CAGR of 4.53% during the forecast period, 2025-2035

    How is the Steel Powder Market segmented?

    The Steel Powder Market is segmented based on type, application, and region.

    What are the challenges faced by the Steel Powder Market?

    Challenges faced by the Steel Powder Market include the availability of raw materials, environmental regulations, and competition from alternative materials.

    What are the opportunities for growth in the Steel Powder Market?

    Opportunities for growth in the Steel Powder Market include the development of new applications, technological advancements, and increasing demand from emerging economies.

    What are the key trends in the Steel Powder Market?

    Key trends in the Steel Powder Market include the increasing adoption of additive manufacturing, the development of new powder production technologies, and the growing demand for lightweight materials.

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