Automotive Steel Market Review, Key Business Drivers and Industry Forecast

Automotive Steel Market Size, Share and Emerging Trends

The automotive steel market is set to grow from USD 90.62 billion in 2025 to USD 165.76 billion by 2034, with an expected CAGR of 6.94% over the forecast period from 2025 to 2034.

Introduction

The automotive steel market is a prominent branch of the automotive industry. This market deals in manufacturing and distribution of steel for the automotive sector. There are several types of steel used in automotive sector comprising of galvanized steel, high-strength steel, and advanced high-strength steels. These steels are used for numerous automotive applications consisting of body structure, power train, suspension and some others. This industry manufactures steels for different types of vehicles including passenger vehicle, light commercial vehicle and heavy commercial vehicle. The growing application of steel in commercial vehicles has driven the industrial expansion. This market is expected to grow drastically with the rise in the overall steel industry around the globe.

• According to the OICA, around 72701 commercial vehicles were sold in Netherlands in 2022 that increased to 85828 in 2023.

Highlights of the Automotive Steel Market

• Asia Pacific held the largest share of the automotive steel market due to the rising sales of automotives in this region.
• Europe is expected to grow with a significant CAGR due to the presence of various automotive companies in this region.
• The passenger vehicle segment held the highest share of the market due to the growing sales of hatchbacks around the globe.
• The body structure segment led the industry due to the rising application of advanced high-strength steel (AHSS) for developing the body structure in automotives.

Key Metrics and Overview

Automotive Steel: Stats and Figures

• According to the International Energy Agency, around 10.1 million EVs were sold in China during 2024.
• According to the AISI (American Iron and Steel Institute), around 1,667,000 net tons of steel was manufactured in the U.S. during March 2025.
• According to the OICA, around 23,489,639 commercial vehicles were sold globally in 2023.
• According to the World Steel Organization, around 1892 million tons of crude steel was manufactured globally in 2023.

Industry Leader Announcement

In June 2024, Bae Jin-Chan, the Senior vice president of Posco made an announcement stating that,” HyREX will change 3,000 years of steel making history. We see carbon neutrality as an opportunity in the steel sector rather than a barrier.”

Geographical Insights

Asia Pacific held the highest share of the automotive steel market. The rising sales and production of vehicles is a major growth factor of this region. Also, the presence of numerous automotive manufacturers along with rapid adoption of EVs in countries such as India and China has boosted the market expansion. Moreover, the growing demand for light-weight automotive components coupled with technological advancements in steel manufacturing industry has played a positive role in shaping the industrial landscape.

Competitive Landscape

The automotive steel market is a highly competitive industry with the presence of several dominating players. Some of the crucial players in this industry consists of ArcelorMittal, JSW, Nippon Steel Corporation, Nucor, POSCO, China BaoWu Steel Group Corporation Limited, Hyundai Steel, JFE Steel Corporation and some others. These companies are constantly engaged in developing high-quality steels for the automotive sector and adopting numerous strategies to maintain their dominant position in this industry.

• According to the annual report of Nucor, the steel products segment generated around 37% to the overall revenue of the company.

Market Segmentations

By Vehicle Type

• Passenger Vehicle
• Light Commercial Vehicle
• Heavy Commercial Vehicle

By Application

• Body Structure
• Power Train
• Suspension
• Others

By Region

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