Duplex Stainless Steel Market Analysis by End Use Industry (Oil & Gas, Pulp & Paper, Chemical, Desalination); by Grade (Lean, Duplex, and Super Duplex Stainless Steel); and by Product Form (Welding Wires, Pumps & Valves, Fittings & Flanges) – Global Supply & Demand Analysis & Opportunity Outlook 2023-2035
Buy Now Report ID: 4928 | Published Date: May 02, 2023
Duplex Stainless Steel Market size is estimated to reach ~USD 11.11 Billion by the end of 2035 by growing at a CAGR of ~7.70% over the forecast period, i.e., 2023 – 2035. In addition to this, in the year 2022, the market size of duplex stainless steel was ~USD 4.56 Billion. The growth of the market can be attributed to the increasing potential of the discovery of new oil fields. Moreover, duplex stainless contains specialties such as strain hardened nonmagnetic steel that play an important role in the detection of new gas and gas sources. As per the reports, the oil and gas discoveries across the globe accounted for more than 4.5 billion barrels of oil equivalent from January to November 2021.
Duplex stainless steels are austenitic and ferritic steels with a two-phase microstructure. The mechanical properties of duplex stainless steel are determined by the proportions of ferrite and austenite forming components in the composition. Other than iron, the main alloying elements for the most popular 2205 grade are chromium (21 -23%), nickel (4.5 - 6.5%), and molybdenum (2.5- 3.5%). The main benefits of duplex stainless steel include high toughness & ductility, improved strength, high corrosion resistance, and others.
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Base Year |
2022 |
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Forecast Year |
2023-2035 |
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CAGR |
~7.70% |
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Base Year Market Size (2022) |
~ USD 4.56 Billion |
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Forecast Year Market Size (2035) |
~ USD 11.11 Billion |
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Regional Scope |
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Growth Drivers
Challenges
The global duplex stainless steel market is segmented and analyzed for demand and supply by end use industry into oil & gas, pulp & paper, chemical, desalination, and others. Out of these end user industries of duplex stainless steel, the oil & gas segment is estimated to gain the largest market share by the end of the year 2035. The growth of the segment can be attributed to the rising oil and gas exploration activities across the globe, followed by the surging use of duplex stainless steel twin tubes in offshore oil and gas exploration. The offshore oil industry pushes oil exploration to greater depths, which is leading to harsher environments. Therefore, the duplex stainless steel is able to bear extremely high pressure, that is witness during the oil and gas exploration operations. As a result, all these factors are expected to provide opportunities for the growth of the segment in the market.
The global duplex stainless steel market is also segmented and analyzed for demand and supply by grade into lean, duplex, and super duplex stainless steel. Amongst these three segments, the super duplex stainless steel segment is expected to garner a significant share of around ~43% in the year 2035. The ability of super stainless steel to handle high pressure, and extreme corrosive situations. Moreover, they have three to four times higher yield strengths as compared to 316 grade stainless steel. This, as a result, is anticipated to create numerous opportunities for the growth of the segment in the coming years.
Our in-depth analysis of the global duplex stainless steel market includes the following segments:
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By End Use Industry |
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By Grade |
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By Product Form |
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The share of duplex stainless steel market in Asia Pacific, amongst the market in all the other regions, is projected to be the largest with a share of about ~32% by the end of 2035. The growth of the market can be attributed majorly to the increasing use of duplex stainless steel in various end use industries such as automotive, oil & gas, and others. Furthermore, the rising production of cars that require duplex stainless steel for tanks, owing to its benefits is further expected to boost the growth of the market in the region. According to estimates, China was the world's largest car production in 2021, producing more than 21 million cars and more than 4 million commercial vehicles. Furthermore, surging demand from increasing construction activities that include commercial and residential spaces, and the surging export and import of steel from countries such as India are further expected to expand the growth of the duplex stainless steel market in the Asia Pacific region.
The North American duplex stainless steel market is estimated to be the second largest, registering a share of about ~29% by the end of 2035. The market's expansion may be linked mostly to the region's rapid development of infrastructure, which has resulted in an increase in construction investment. Furthermore, innovative transportation equipment has been rapidly adopted for the development of countries such as the United States, increasing demand for duplex stainless steel. Furthermore, increased demand from diverse end users is driving up steel wire usage in the region. In addition, the surging import of steel, followed by the growing focus of the country such as the United States on other countries such as India for business expansion. Hence, all of these factors are expected to create chances to boost steel wire growth in the North America area over the forecast period.
Further, the market in the Europe, amongst the market in all the other regions, is projected to hold a majority of the share by the end of 2035. The growth of the market can be attributed majorly to the increasingly number of automobile manufacturers in the region, that required duplex stainless steel for the components of their automobiles. Moreover, the growing awareness and benefits of duplex stainless steel among European countries, such as its cost effectiveness as compared to other stainless steel are further predicted to expand the growth of the market in the region. The blooming industries in the European region such as construction, and the oil industry, are increasing the demand for the duplex stainless steel in the region.
In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.
Author Credits: Smruti Ranjan, Rajrani Baghel
Ans: Growing construction industry, increasing adoption in pulp & paper mills are the major factors driving the market growth.
Ans: The market size of duplex stainless steel is anticipated to attain a CAGR of ~7.70% over the forecast period, i.e., 2023 – 2035.
Ans: Fluctuations in the price of raw material required for the duplex stainless steel, and duplex stainless steel can be used under limited temperature are estimated to be the growth hindering factors for the market expansion.
Ans: The market in the Asia Pacific region is projected to hold the largest market share by the end of 2035 and provide more business opportunities in the future.
Ans: The major players in the market are Tata Sons Private Limited, ArcelorMittal, POSCO Group, Jindal Steel & Power Limited, Daido Steel Co., Ltd., Thyssenkrupp AG, Sandvik AB, Penn Stainless, Voestalpine AG, and others.
Ans: The company profiles are selected based on the revenues generated from the product segment, the geographical presence of the company which determines the revenue generating capacity as well as the new products being launched into the market by the company.
Ans: The market is segmented by grade, product form, end use industry, and by region.
Ans: The super duplex stainless steel segment is anticipated to garner the largest market size by the end of 2035 and display significant growth opportunities.
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