The increased usage of slag in a variety of applications has led to growth in the market for processing iron and steel slag globally. The market is growing as a result of an uptick in construction work and infrastructure development. Slag is a byproduct of the steel and iron industries. It is created during the smelting process when the metal's impurities are separated. Slag is frequently employed as a raw material in the manufacture of metals or for engineering reasons. In concrete, mortar, or grout, it can be utilised as an aggregate.
Additionally, it can be utilised as fill material, railroad ballast, or for building roads. Slag is being utilized in an increasing number of applications, which is driving market growth. The demand for slag is being driven by a number of important causes, including the expansion of infrastructure and increasing construction activity. Throughout the forecast period, growing demand is also anticipated to be fueled by government initiatives to support a green economy.
The Iron and Steel Slag Recycling Market is essential to the global manufacturing sector. Slag generated during the production of iron and steel can be treated and recycled to create useful items like cement, building supplies, and even fertiliser. While giving producers a different source of income, this approach lessens waste and aids in resource conservation. Slag processing also lessens the environmental effects of traditional iron and steelmaking processes by reducing emissions of greenhouse gases and other pollutants. The requirement for slag processing is only anticipated to grow over time due to the growing industrial demand for resource efficiency.
The process of turning waste iron and steel slag into valuable materials that may be used in a number of applications is known as iron and steel slag processing. Slag is a by-product of the production of iron and steel. It is a non-metallic substance that floats on top of molten metal when steel is being made. It is typically made of oxides and silicates. Additionally, the slag can be further processed to create a variety of products, including aggregate, cement, and bricks. The procedure normally entails reducing the slag to an appropriate size, removing any iron that may be present, and filtering the mixture to get rid of any remaining impurities. The end result is material with numerous applications.
The market for processing iron and steel slag is expected to grow at a rate of roughly 5.5% between 2021 and 2031, from a projected value of USD 28.43 billion in 2021 to USD 44.90 billion in 2031.
The growing demand for slag service providers is driving the growth of the iron and steel slag process market. Slag is a by-product of the steel-making process that has a wide range of uses because, among other qualities, it can provide strength, wear resistance, heat insulation, and corrosion protection. The fast increase in global steel production is likely to drive the demand for slag processing during the projected timeframe. Moreover, governments all over the world have encouraged the manufacture of steel through a variety of government programmes and incentives, which will further spur the market's expansion between 2021 and 2031.
During the projected period, the market for processing iron and steel slag is anticipated to expand significantly. Strict environmental restrictions, expensive startup costs, and a lack of knowledge among small-scale businesses are the main market restraints. Strict environmental regulations are one of the key factors preventing the market for recovering iron and steel slag from expanding. To prevent emissions from these facilities, numerous countries throughout the world have enacted strict environmental laws.
During the anticipated period, this is anticipated to restrain the growth of the market for processing iron and steel slag. Another significant factor limiting the growth of the market for processing iron and steel slag is the high initial investment. These factories call for expensive machinery and equipment with a large upfront cost. This is anticipated to discourage small-scale businesses from establishing these facilities, which will impede the expansion of the market for processing iron and steel slag throughout the anticipated timeframe.
Another important reason that is limiting the growth of the market for processing iron and steel slag is the lack of awareness among small-scale producers. These tiny manufacturers are unaware of the advantages provided by these facilities, such as lower costs for waste disposal and metal recovery, etc. During the anticipated period, this is anticipated to restrain the growth of the market for processing iron and steel slag. The iron and steel slag manufacturing market is anticipated to expand significantly over the course of the forecast period, despite these restraints. Iron and steel slag treatment is a very fragmented industry.
The top manufacturers are focusing on strategies including mergers and acquisitions, expansions, new product launches, and joint ventures to increase their market share. Some of the top businesses in the iron and steel slag industry include POSCO (South Korea), ArcelorMittal (Luxembourg), Nippon Steel & Sumitomo Metal Corporation (Japan), JFE Holdings, Inc. (Japan), Baosteel Group Co., Ltd. (China), Shougang Group Co., Ltd. (China), Anshan Iron and Steel Group Corporation (China), Tata Steel Limited (India), and Rio Tinto plc (UK).
The Hot Splash Method emerged as the Most Lucrative Type
The Iron and Steel Slag Processing Market is segmented into Hot Splash, Hot Stuffy, Roller, and Others based on type. The Hot Splash Method segment is predicted to have the largest market share of these. The cost-effectiveness of this industry is also a major growth driver.
The Most Prominent Application is the Building Materials Engineering Segment
The market is segmented into Metallurgical Raw Materials, Engineering Materials, Building Materials Engineering, and Others on the basis of Application. Due to the rising demand for building activities worldwide, the Building Materials Engineering category is anticipated to hold the highest share of the market among these. Due to the rising usage of slag in products like cement and asphalt, another segment—metallurgical raw materials—is anticipated to experience the highest growth.
The Asia Pacific Region to render Ample Financing Opportunities
The Iron and Steel Slag Processing Market has been segmented into North America, Europe, Asia Pacific, and the Rest of the World based on the regional analysis. Due to the rising demand for iron and steel slag processing in nations like China and India, the Asia Pacific region is predicted to lead the worldwide iron and steel slag processing market. In addition, the region's expanding urbanisation has greatly boosted market expansion by spawning several civil engineering projects.
COVID-19 Impact and Market Status
The global production and demand for iron and steel slag have been impacted by the COVID-19 epidemic. The worldwide production of iron and steel has decreased as a result of the lockdown imposed by various governments around the world. Due to this, end-use industries including construction and the automotive industry have lessened their need for iron and steel slag, which has somewhat restrained market growth. Additionally, the overall production of iron and steel slag has been impacted by decreased industrial activity and the declining demand for construction activities. Nonetheless, the industry has received some support from the rising demand for iron and steel from sectors including infrastructure, automotive, and chemical. A few nations are also starting up again in order to address the rising demand for the processing of iron and steel slag. Over the forecast period, this is anticipated to give the market growth a boost. Furthermore, there is anticipated to be a rise in demand for iron and steel slag from these industries in the upcoming years due to the rising investments in healthcare projects across several nations as a result of COVID-19. Overall, it is projected that the iron and steel slag processing industry would experience solid development between 2021 and 2026, despite experiencing short-term setbacks as a result of the COVID-19 epidemic.
Recent Developments in the Iron and Steel Slag Processing Market
• Tata Steel set up the first steel slag processing facility ever in India in January 2021. Modern technology is used in this facility to process and recycle steel slag. It will assist Tata Steel in establishing a new source of high-grade iron ore that can be utilised to make steel.
• As part of its polysius® advanced steel slag processing business, USG Corporation declared in June 2021 that it had obtained NSA membership. With the acquisition, USG will be able to offer comprehensive services, including R&D, engineering, and operational support, for the recycling and reuse of steel slag.
• Additionally in June 2021, ArcelorMittal announced the introduction of a brand-new range of goods intended to meet the demands of clients wishing to recycle and reuse their steel slag waste. A variety of granulated blast furnace slags are included in this, which can be fed right into cement kilns or blast furnaces.
• JFE Steel Corporation and SINOMA signed a contract in July 2021 for SINOMA to provide modern steel slag processing facilities for JFE Steel's Kamaishi Works in Japan. Two cutting-edge steel slag processing lines, each capable of processing up to 8,000 tonnes of steel slag per month, will be installed at the location as part of the agreement. The new lines are anticipated to lower expenses and boost productivity for the business.
• The Nippon Steel Corporation finally disclosed its plans to invest in a new steel slag processing facility in Japan in October 2021. Steel slag from their local facilities will be processed and recycled at this facility. This investment is anticipated to increase Nippon Steel's resource efficiency while assisting it in reducing its environmental effect.
Iron and Steel Slag Processing Market Scope
|Revenue forecast in 2031
|USD 44.90 billion
|CAGR of 5.5 % during 2021-2031
|Type, Application, Regions
|North America, Europe, Asia Pacific, South America, Middle East and Africa
|Key Players Profiled
|POSCO (South Korea), ArcelorMittal (Luxembourg), Nippon Steel & Sumitomo Metal Corporation (Japan), JFE Holdings, Inc. (Japan), Baosteel Group Co., Ltd. (China), Shougang Group Co., Ltd. (China), Anshan Iron and Steel Group Corporation (China), Tata Steel Limited (India), and Rio Tinto plc (UK).
Key Segments of the Iron and Steel Slag Processing Market
Type Overview (USD Billion)
• Hot Splash Method
• Hot Stuffy Method
• Roller Method
Application Overview (USD Billion)
• Metallurgical Raw Materials
• Engineering Materials
• Building Materials Engineering
Regional Overview (USD Billion)
• Rest of Europe
• Rest of Asia Pacific
• Rest of South America
• Middle East and South Africa