North America rebar steel market is anticipated to grow robustly during the forecast period 2024-2028 due to the rapid growth in the demand for rebar
steel from the construction sector and increasing government programs in the region.
Additionally, global
urbanization reached a 57 percent level in 2022. With more than 45 percent of
the population living in cities, North America had the highest rate of urbanization.
Rebar (short for reinforcing bar), frequently
referred to as reinforcing steel or reinforcement steel when grouped together,
is a steel bar used as a tension device in reinforced concrete and reinforced
masonry constructions to aid and strengthen the concrete when it is under
tension. While having a low tensile strength, concrete is robust in
compression. The structure's tensile strength is greatly increased by rebar. To
improve its bond with the concrete and lessen the chance of slippage, rebar has
a continuous series of ribs, lugs, or indentations on its surface. The most used
rebar material is carbon steel, which is normally made of hot-rolled round bars
with embossed deformation patterns. A concrete structural part reinforced with
steel will experience little differential stress when the temperature changes
because steel and concrete have similar coefficients of thermal expansion. Moreover,
using data from the IMF, it was estimated that the nominal GDP of the 24
economies that make up the North American region in 2021 was roughly USD 26.8
trillion, or USD 2.7 trillion more than in 2020. The nominal GDP of North
America, which ranks as the second-largest continent, is 28% of the global GDP.
Expanding Investments in Infrastructure
Development
Rising investments in infrastructure
development and building projects are expected to drive the market. The demand
for rebar steel is likely to rise in the region as a result of numerous
infrastructure development projects that have been planned in North American
nations with the aim of fostering economic growth. For instance, under its investing
in Canada plan, the Canadian government has promised to invest more than USD
180.0 billion in infrastructure development in the nation over the next twelve
years. Considering the growing spending on the development of residential and
non-residential areas, the US is one of the primary markets for rebar steel.
US Government Investment Act and Growing
infrastructure Spending
The US government passed the Infrastructure
and Investment Jobs Act 2021, which focuses on rebuilding the nation by funding
infrastructure projects such as roads, railroads, bridges, ports, communication
networks, and water supply systems. Over the course of the projected period, it
is anticipated that the US's initiatives to restore its infrastructure and
rising construction spending will increase product demand. According to the
government, major highways and roads as well as 45,000 bridges require to be
fixed in the US. The Act allows USD 110.0 billion for the reconstruction of
roads and bridges. The government further intends to spend USD 25.0 billion on
airports and USD 17.0 billion on waterways and port facilities. It is projected
that these investments will increase product demand in the US during the
forecast period.
In addition, spending on both residential and
non-residential buildings has greatly increased during the previous years. Corresponding
to the US Census Bureau, spending on single-family residential spaces climbed
by 19.3% year over year, from USD 400.5 billion in April 2021 to USD 477.6
billion in April 2022. As of April 2022, construction spending on
non-residential areas went from USD 456.9 billion to USD 503.2 billion. However,
the rising mortgage rates in the US are likely to limit construction spending,
which is anticipated to have an impact on product demand during the forecast
period. For instance, the agreed-upon rate for a 30-year fixed-rate mortgage
climbed from 3.3% in January 2022 to 5.4% in April 2022.
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Acceptance
of Technological Advancements Propelling the Market Growth
A deeper exploration of the sectoral system of
production and innovation is likely to be encouraged by the advancement of
innovations, the proliferation of new processes and technology, and the greater
collaboration between suppliers, producers, and users in the steel industry.
With increased innovation and advancement in the rebar steel industry, there
will be considerable commercial opportunities for both established and emerging
market players. Technological advancements and high-end applications promote rebar
steel innovation. Corrosion-resistant, epoxy-coated, and earthquake-resistant
applications use modern rebar steel. In addition, technologies such as
microalloying, and thermos mechanical treatment are widely used during the
production of rebar steel to increase the material's bendability, weldability,
ductility, and corrosion resistance. Hence, the market is expected to register
a high CAGR during the forecast period.
Development of Wire Rod Usage in Various Application
Areas is Driving the Market
To create wire rods, a form of steel product, steel
billets are typically hot rolled into a cross-section that is circular. Before
the final products are made, wire rods undergo extensive further processing in
secondary and tertiary processing facilities. Additionally, a range of
industrial enterprises commonly utilize the finished goods as crucial parts.
Thus, it is expected that increased use of wire rods in a variety of
application areas will create a commercial opportunity for North America wire
rod manufacturers and distributors. As a result of growing user demand for higher-quality
wire rods for a range of applications, including the production of steel cords
for reinforcing automobile tyres, high strength cables, galvanized wire for
suspension bridges and roadways, railway switches, spring wire, reinforcement
strands, fasteners, welding rods, and rods for the reinforcement of buildings,
the production of wire rods has also undergone technological development in
recent years. Therefore, the expanding use of wire rods in numerous application
areas is likely to support the growth of the North America rebar steel market
during the forecast period.
Recent
Development
- Building
construction investment grew to USD 20.0 billion in February 2022 from USD 16.8
billion in February 2021, according to Statistics Canada. Thus, it is
anticipated that the infrastructure segment will have the fastest CAGR in terms
of revenue during the forecast period.
- To
promote economic growth and advance the construction industry, the Mexican
government and the private sector drafted a third infrastructure package in
March 2022 for a total cost of USD 3.5 billion. Prior to that, the government
unveiled two infrastructure packages in 2020 totaling USD 26.4 billion, which
included 68 construction projects for roads, ports, railroads, and airports.
- To
build two manufacturing plants in Tennessee and Kentucky, the US, Ford Motor
Company agreed to invest USD 11.4 billion in September 2021. Batteries for Ford
and Lincoln's next electric automobiles will also be produced at the
facilities, along with electric F-Series trucks. 2025 is the anticipated start
date for these plants' output.
- According
to the US Census Bureau, Texas single-family home permits acquired in February
2022 increased by 16.5% when compared to permits obtained in February 2021. The
state authorities predict that this tendency will persist in the coming years
as well. Numerous building initiatives are being started in Canada with the
goals of assuring long-term economic growth, transforming to a clean economy,
and enhancing social inclusion.
- The
USD 20 trillion US economy depends on an extensive network of
infrastructure, including highways, bridges, freight rail, ports, electricity
grids, and internet access. However, the mechanisms in place were created many
years ago, and economists claim that delays and increasing maintenance costs
are slowing down economic performance.
- To
strengthen its manufacturing capacity and assure long-term success, the Mexican
government announced a plan to invest about USD 44 million in new and
improved infrastructure in 2019. This investment serves as an innovative
strategy for energy projects, IT infrastructure, transit projects, and private
investment in many other fields. It aims to support Mexico's economic expansion
and raise its level of international competitiveness. Due to its advantageous
location, cost-effectiveness, and trained workforce, Mexico is now more
attractive than ever for manufacturing.
- With
a GDP of USD 1.3 trillion, Mexico has the second-largest economy in Latin
America and ranks 15th globally. Any American engineering or construction
supply company should therefore carefully assess its infrastructure plans.
Market Segmentation
The North America rebar steel
market is divided into type, end use, process, finishing
type, and country. Based on type, the market is divided into deformed and mild.
Based on end use, the market is segmented into residential, commercial,
industrial, and public. Based on process, the market is divided into basic
oxygen steelmaking and electric arc furnace. Based on finishing type, the
market is segmented by epoxy-coated rebar, carbon steel rebar, and others.
Based on country, the market is divided into the US, Canada,
and Mexico.
Market player
Major
players operating in the North America rebar steel market are Gerdau S.A, Commercial
Metals Company, Steel Dynamics, Inc, Schnitzer Steel Industries, Inc, Acerinox
S.A, EVRAZ North America, Inc, Pacific Steel Group, ArcelorMittal, Nucor
Corporation, and Ternium S.A.
|
Attribute
|
Details
|
|
Base Year
|
2022
|
|
Historic Data
|
2018–
2021
|
|
Estimated Year
|
2023
|
|
Forecast Period
|
2024
– 2028
|
|
Quantitative Units
|
Revenue in USD Million, value, and CAGR for 2018 -2022 and 2023
– 2028
|
|
Report coverage
|
Revenue
forecast, Company Share, growth factors, and trends
|
|
Segments covered
|
Type
End Use
Process
Finishing Type
Country
|
|
Regional scope
|
North
America
|
|
Country scope
|
United States, Canada, Mexico
|
|
Key companies profiled
|
Gerdau S.A, Commercial Metals Company,
Steel Dynamics, Inc, Schnitzer Steel Industries, Inc, Acerinox S.A, EVRAZ
North America, Inc, Pacific Steel Group, ArcelorMittal, Nucor Corporation, and
Ternium S.A.
|
|
Customization scope
|
10% free report customization with
purchase. Addition or alteration to country, regional & segment scope.
|
|
Pricing and purchase options
|
Avail customized
purchase options to meet your exact research needs. Explore purchase options
|
|
Delivery Format
|
PDF and Excel through Email (We can also provide
the editable version of the report in PPT/Word format on special request)
|
Report Scope:
In this report, the
North America rebar steel market has
been segmented into the following categories, in addition to the industry
trends which have also been detailed below:
·
North America Rebar Steel Market, By
Type:
o Deformed
o Mild
·
North America Rebar Steel Market, By
End Use:
o Residential
o Commercial
o Industrial
o Public
·
North America Rebar Steel Market, By
Process:
o
Basic Oxygen
Steelmaking
o
Electric Arc
Furnace
·
North America Rebar Steel Market, By Finishing Type:
o
Epoxy-Coated Rebar
o
Carbon Steel Rebar
o
Others
·
North America Rebar Steel Market, By Country:
o United States
o Canada
o Mexico
Competitive Landscape
Company Profiles: Detailed analysis of the
major companies present in the North America rebar steel market.
Available Customizations:
North America Rebar Steel Market report with the given market data,
Tech Sci Research offers customizations according to a company's specific
needs. The following customization options are available for the report:
Company Information
- Detailed analysis and profiling of
additional market players (up to five).
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