The global steel rebar market was valued at USD 270.18 billion in 2021 and is projected to grow at a compound annual growth rate (CAGR) of 4.9% from 2022 to 2030. This growth is primarily fueled by increasing investments in infrastructure development projects and rising construction activities worldwide. Governments across various countries are significantly increasing their spending on infrastructure to drive economic growth, which is expected to bolster the demand for steel rebars. For example, in 2021, the Chinese government allocated USD 573 billion in special-purpose bonds (SPBs) to its local governments to revitalize the nation’s infrastructure. Of these funds, 50% were earmarked for the development of industrial parks and transport infrastructure, driving demand for steel rebars in these projects.
In the U.S., steel rebar demand is also expected to remain robust, largely due to increased investments in infrastructure rebuilding projects. The passing of the Infrastructure Investment and Jobs Act in 2021 signifies a substantial commitment by the U.S. government to boost the economy through infrastructure development. This initiative targets key areas like bridges, roads, railways, ports, and communications infrastructure, all of which rely heavily on steel rebars. As a result, infrastructure revamping efforts in the U.S. are likely to significantly contribute to the market's growth over the coming years.
Gather more insights about the market drivers, restrains and growth of the Steel Rebar Market
Application Segmentation Insights
In 2021, the construction segment dominated the steel rebar market, accounting for over 55.0% of the global revenue share, and this trend is expected to continue throughout the forecast period. Significant investments in the construction industry, particularly in residential and commercial projects, are anticipated to further drive the demand for steel rebars. For instance, in April 2022, Alliance Group, a prominent real estate developer, announced plans to invest USD 1.12 billion in residential construction projects in major Indian cities such as Hyderabad, Chennai, and Bengaluru. This investment reflects the increasing demand for steel rebars in the construction of new buildings and urban developments.
The infrastructure segment is expected to witness the fastest revenue growth, with a projected CAGR of 5.1% over the forecast period. The rise in government expenditure on infrastructure is largely aimed at economic recovery following the pandemic-induced downturn, and this is anticipated to fuel growth in the segment. For example, in July 2021, the Canadian federal government, in collaboration with the provincial government of Quebec, committed to investing in water treatment infrastructure. Both governments have pledged USD 16.1 million each for the project, showcasing the growing demand for steel rebars in large-scale infrastructure projects.
Another key driver of market growth is the increasing demand for steel rebars in the construction of production facilities. For instance, in July 2022, Skeleton Technologies, an Estonian energy storage technology company, announced an investment of USD 225.4 million for the construction of a fully automated production facility in Leipzig, Germany, dedicated to manufacturing supercapacitors. Projects like these highlight the rising importance of steel rebars in the development of manufacturing and production facilities, further boosting the market's growth prospects.
Overall, the steel rebar market is expected to experience steady growth, driven by large-scale infrastructure projects, increasing construction activities, and rising investments in industrial production facilities across the globe.
Order a free sample PDF of the Market Intelligence Study, published by Grand View Research.
