Global Tool Steel Market – Industry Trends and Forecast to 2029

Global Tool steel Market, By Material (Tungsten, Chromium, Vanadium, Molybdenum), Application (Injection Molding, Die Work, Forging), Product Type (Water-Hardening, Cold-Work, Shock-Resisting, High Speed, Hot-Working, Special Purpose), End-Use (General Manufacturing, Automotive, Defence and Aerospace, Electronic and Electrical, Ship Building, Others), Format Type (Round Format, Square Format, Other Format), Process (Forged, Rolled) - Industry Trends and Forecast to 2029.

Tool Steel Market Analysis and Size

The growth of the global tool steel market is due to the manufacturing sector which is set to drive the demand for tool steel to manufacture several tools, such as saw blades, dies, milling cutters, punches, drills, tool bits, taps, cutters and others. Furthermore, the growth in the building and construction sector is expected to dominate tool steel globally over the forecast period. Therefore, rising building and construction sector is one of the major factors expected to drive the global tool steel market growth during the forecast period of 2022-2029.

Data Bridge Market Research analyses that the tool steel market was valued at USD 5.91 billion in 2021 and is expected to reach USD 11.18 billion by 2029, registering a CAGR of 8.30% during the forecast period of 2022 to 2029. In addition to the insights on market scenarios such as market value, growth rate, segmentation, geographical coverage, and major players, the market reports curated by the Data Bridge Market Research also include in-depth expert analysis, geographically represented company-wise production and capacity, network layouts of distributors and partners, detailed and updated price trend analysis and deficit analysis of supply chain and demand.

Tool Steel Market Scope and Segmentation

Market Definition

Tool steel is any type of alloy and carbon steel that are especially well-suited to be made into tooling and tools, such as cutting tools, knives, dies, hand tools and others. Their appropriateness comes from their distinctive properties such as hardness, resistance to deformation and abrasion, and their ability to hold a cutting edge at high temperatures. These tool steels are suitable for shaping other materials, for instance, stamping, cutting, machining, or forging.

Global Tool Steel Market Dynamics

Drivers

• High demand of tool steel from the plastics industry

Increasing demand of tool steel from the plastic industry is anticipated to drive the tool steel market forward globally. Tool steel is used for several purposes in plastic industry such as cutting, stamping, Forging, slitting, and plastic extrusion. As a result, this product is important for shaping materials such plastics and other sheets into the appropriate components required by the end-use industries.

• Rising usage demand of forged metals in multiple industries

Growing demand for forged metals from the several end user industries such as automotive, defence, industrial automation, and aerospace industries is expected to boost the demand of the tool steel and drive the market growth rate.

• Rise in demand due to their property

The tool steel provides immense strength which makes it more suitable for constructing buildings. Also the tool steel is stronger than other options it possesses unique characteristics, such as flexible, tensile, ductile and cost-effective and create desirable demand prospects for tool steels in the global market. These factors are projected to drive the growth of the tool steel market globally.

Opportunities

• Growing demand of injection molding in healthcare and medical industry

Tool steel is widely used for the manufacture of injection molding, in healthcare and medical industry has robust demand of injection molding. This injection molding is used to improve medical equipment such as implants, tubes, sensors, catheter tips, and micro-optics. Furthermore, the increasing demand for miniature constituents in manufacturing medical micro parts across the healthcare industry is again expected to drive the demand for micro injection molding and will create immense opportunities for the growth rate of the tool steel market.

Restraints/ Challenges

• Fluctuating prices of steel

Volatility in the prices of steel which is used for the manufacture of tool steel is posing a major issue to the growth of the tool steel market.

• Increasing demand for carbide based alternatives

Increasing preferences towards the carbide based alternatives is demeaning the growth of the tool steel market and acting as major restraint for the market growth.

This tool steel market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the tool steel market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

Impact and Current Market Scenario of Raw Material Shortage and Shipping Delays

Data Bridge Market Research offers a high-level analysis of the market and delivers information by keeping in account the impact and current market environment of raw material shortage and shipping delays. This translates into assessing strategic possibilities, creating effective action plans, and assisting businesses in making important decisions.

Apart from the standard report, we also offer in-depth analysis of the procurement level from forecasted shipping delays, distributor mapping by region, commodity analysis, production analysis, price mapping trends, sourcing, category performance analysis, supply chain risk management solutions, advanced benchmarking, and other services for procurement and strategic support.

COVID-19 Impact on Tool steel Market

The COVID-19 had a negative impact on the global economy. It has affected several industrial sectors such as tool steel by hindering their supply chain. The lockdown and shutdown has changed the behavior of retail business shuttered, international supply chains and purchase significantly across various sectors mainly automotive sector. However, by the end of this pandemic, it is expected that automotive sector will recover from this downfall. The market trends suggest a growing the usage of high-speed steel for lightweight vehicles and better fuel efficiency will increase the market growth in the automotive industry.

Expected Impact of Economic Slowdown on the Pricing and Availability of Products

When economic activity slows, industries begin to suffer. The forecasted effects of the economic downturn on the pricing and accessibility of the products are taken into account in the market insight reports and intelligence services provided by DBMR. With this, our clients can typically keep one step ahead of their competitors, project their sales and revenue, and estimate their profit and loss expenditures.

Recent Development

• In January 2021, Hitachi Metals, Ltd. has announced an acquisition with Teikuro Inc company for the technical provision of high-performance surface treatment of dies. Company entered into this agreement to improve its tool steel solution which is offerings in the North America market. This project is anticipated to accelerate revenue growth and grow the company’s brand value.

Global Tool Steel Market Scope

The tool steel market is segmented on the basis of material, application, product type, end-use, format type and process. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Material

• Tungsten
• Chromium
• Vanadium
• Molybdenum

Application

• Injection Molding
• Die Work
• Forging

Product Type

• Water-Hardening
• Cold-Work
• Shock-Resisting
• High Speed
• Hot-Working
• Special Purpose

End-Use

• General Manufacturing
• Automotive
• Defence and Aerospace
• Electronic and Electrical
• Ship Building
• Others

Format Type

• Round Format
• Square Format
• Other Format

Process

• Forged
• Rolled

Tool Steel Market Regional Analysis/Insights

The tool steel market is analysed and market size insights and trends are provided by country, material, application, product type, end-use, format type and process, as referenced above.

The countries covered in the tool steel market report are U.S., Canada, Mexico, Germany, France, U.K., Italy, Spain, Switzerland, Netherlands, Russia, Turkey, Belgium, Rest of Europe, Japan, China, South Korea, India, Australia and New Zealand, Singapore, Thailand, Malaysia, Indonesia, Philippines, Rest of Asia-Pacific, South Africa, Israel, U.A.E., Saudi Arabia, Egypt, Rest of Middle East and Africa, Brazil, Argentina and Rest of South America.

North America dominates the tool steel market in terms of market share revenue. This is due to the increasing demand of tool steel from the manufacturing and automotive industries in this region.

Europe will expect to fastest growing region during the forecast period of 2022-2029 due to the rising demand from the cutting tool manufacturer to retain their tool with hardness and high strength.

The country section of the report also provides individual market impacting factors and changes in market regulation that impact the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.

Competitive Landscape and Tool Steel Market Share Analysis

The tool steel market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to tool steel market.

Some of the major players operating in the tool steel market are:

• NACHI-FUJIKOSHI CORP. (Japan)
• Daido Steel (Japan)
• voestalpine High Performance Metals GmbH (Austria)
• Sandvik AB (Sweden)
• Kennametal Inc. (U.S.)
• Hudson Tool Steel Corporation (U.S.)
• ERASTEEL (France)
• ArcelorMittal (Luxembourg)
• Baosteel Group Corporation (China)
• POSCO (South Korea)
• Nippon Steel and Sumitomo Metal Corporation (Japan)
• JFE Holdings, Inc. (Japan)
• TATA Steel Ltd.(India)
• United States Steel (U.S.)
• Angang Steel Company Limited (China)
• Gerdau S.A. (Brazil)
• Maanshan Iron and Steel Company Limited (China)