Ferrochrome Market

Global Ferrochrome Market Report: By Product (High Carbon Ferrochrome, Medium Carbon Ferrochrome, and Low Carbon Ferrochrome), By Application (Stainless Steel, and Other Steel), and Region (North America, Europe, Asia-Pacific, Latin America, Middle-East and Africa) Global Industry Analysis, Size, Share, Growth, Trends, Regional Analysis, Competitor Analysis and Forecast 2024-2032.

Chemical & Material | January 2024 | Report ID: EMR00500 | Pages: 301

Global Ferrochrome market is predicted to reach approximately USD 26.04 billion by 2032, at a CAGR of 6.05% from 2024 to 2032.

Ferrochrome, an iron and chromium alloy, is necessary for the manufacturing of stainless steel because of its exceptional strength and resistance to corrosion. The rising demand for stainless steel from a variety of industries, such as the aerospace, construction, and automotive sectors, is the main factor propelling the market's expansion. This demand is further heightened by the rapid urbanisation and infrastructure development occurring in emerging economies. The market for ferrochrome is expected to grow steadily as stainless steel becomes more and more essential in contemporary applications. But obstacles like shifting raw material costs, environmental worries, and geopolitical issues could affect the market's course.

 

 

Global Ferrochrome report scope and segmentation.

Report Attribute

Details

Estimated Market Value (2023)

USD 15.35 billion

Projected Market Value (2032)

USD 26.04 billion

Base Year

2023

Forecast Years

2024 – 2032

Scope of the Report

Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment- Based on By Product, application & Region.

Segments Covered

By Product, application & By Region.

Forecast Units

Value (USD Billion or Million), and Volume (Units)

Quantitative Units

Revenue in USD million/billion and CAGR from 2024 to 2032.

Regions Covered

North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.

Countries Covered

U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Argentina, GCC Countries, and South Africa, among others.

Report Coverage

Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PEST analysis, value chain analysis, regulatory landscape, market attractiveness analysis by segments and region, company market share analysis.

Delivery Format

Delivered as an attached PDF and Excel through email, according to the purchase option.

 

Global Ferrochrome dynamics

The main factor driving this trend is the rising demand from a variety of industries, including aerospace, automotive, and construction, for stainless steel, a crucial ferrochrome end-use product. This demand is further fuelled by ongoing urbanisation and infrastructure development, especially in emerging economies, which establishes ferrochrome as a crucial component of the steel manufacturing landscape.

The production costs and profitability of ferrochrome manufacturers are affected by fluctuations in the prices of raw materials, especially those of chromite ore and electricity. Geopolitical variables are also important because they can alter market dynamics and cause supply chain disruptions due to trade tensions and export restrictions. An additional challenge is environmental concerns, which have led to heightened scrutiny of the industry's sustainability practices. Consequently, there is an increasing focus on implementing greener and cleaner production techniques in compliance with international environmental standards.

 

Global Ferrochrome drivers

  • Rising Demand for Stainless Steel

The market for ferrochrome is being driven primarily by the rising demand for stainless steel. Stainless steel is widely used in the automotive, aerospace, and construction industries. It is a corrosion-resistant alloy primarily made of ferrochrome. The demand for ferrochrome keeps rising as a result of continuous urbanisation, infrastructure development, and the growing preference for stainless steel in a variety of applications due to its strength and visual appeal. This ongoing demand is especially noticeable in developing nations, which fuels the market's growth.

  • Technological Advancements

Technological advancements have a major role in ferrochrome production processes by improving sustainability and efficiency. The goal of ongoing research and development is to minimise the impact on the environment and energy consumption by refining alloy formulations and smelting technologies. Adopting cutting-edge technologies supports the worldwide trend towards environmentally friendly industrial practices while also increasing the ferrochrome production process' overall cost-effectiveness. Businesses that adopt and invest in these innovations gain a competitive advantage and better position themselves to satisfy the changing demands of the market.

 

Restraints:

  • Raw Material Price Volatility

One major obstacle to the ferrochrome market is price fluctuations in essential raw materials like electricity and chromite ore. Because chromite ore is the industry's primary source of chromium, fluctuations in its price have a direct effect on production costs. Furthermore, a vital component of the energy-intensive smelting process is electricity. Unpredictable changes in these input costs can put pressure on profit margins, making it difficult for market players to keep prices competitive and stable.

 

Opportunities:

  • Green and Sustainable Practices

The ferrochrome market has an opportunity to implement sustainable and environmentally friendly practices due to the growing emphasis on environmental sustainability. In the steel industry, there's a growing demand for environmentally friendly production methods as regulatory pressures increase and consumer awareness grows. Businesses can position themselves favourably, meeting market expectations and gaining a competitive advantage, by investing in cleaner technologies, cutting carbon emissions, and implementing sustainable mining practices.

 

Segment Overview

  • By Product Type

The ferrochrome market is segmented based on product types, with high carbon ferrochrome, medium carbon ferrochrome, and low carbon ferrochrome being the primary categories. High carbon ferrochrome is characterized by a higher chromium content and is widely used in stainless steel production due to its corrosion resistance and hardness. Medium carbon ferrochrome, with a moderate chromium content, finds application in both stainless and carbon steel manufacturing, offering a balance between hardness and formability. Low carbon ferrochrome, featuring a lower chromium content, is particularly suited for applications where carbon levels need to be minimized, making it essential in certain specialized steel alloys.

  • By Application  

The production of stainless steel is the primary application that further divides the ferrochrome market. Ferrochrome is a crucial component of stainless steel, an iron, chromium, and other element-based alloy that resists corrosion. The need for different grades of ferrochrome is being driven by the ongoing surge in demand for stainless steel across a variety of industries, including aerospace, automotive, and construction. To further add to the ferrochrome's overall versatility in the steel industry, it is also used in the production of steels other than stainless steel. These applications could involve formulations of carbon and alloy steel, where ferrochrome gives the finished goods particular qualities like strength and durability.

 

Global Ferrochrome Overview by Region

Asia-Pacific stands out as a dominant force, led by China, which not only serves as the world's largest consumer of ferrochrome but also boasts significant production capacities. The rapid industrialization, urbanization, and infrastructural development in China contribute to the substantial demand for stainless steel, consequently driving the need for ferrochrome. The Asia-Pacific region, including India and South Korea, further bolsters the market growth, with robust steel manufacturing activities.

The European ferrochrome market is influenced by the robust stainless steel sector, especially in Germany and Finland. Tight environmental laws throughout Europe have pushed technological development and promoted the use of greener, more sustainable ferrochrome production methods. North America, which includes the United States as a major player, exhibits a consistent demand for ferrochrome, fuelled by the region's thriving construction and automotive industries.

 

 

Global Ferrochrome market competitive landscape

Major players such as Glencore International, Eurasian Resources Group, and Samancor Chrome dominate the market, leveraging extensive production capacities and global distribution networks. These industry giants often engage in strategic initiatives, including mergers, acquisitions, and partnerships, to consolidate their market presence and enhance technological capabilities. Additionally, their focus on sustainable practices and compliance with environmental regulations underscores the increasing importance of eco-friendly approaches in ferrochrome production.

Given the sizeable reserves of chrome ore in South Africa, regional players—especially those based there—play a crucial role. Key participants in the global ferrochrome supply chain are businesses like Hernic Ferrochrome and Merafe Resources, highlighting the critical role that raw material access plays strategically in this sector. In Europe, companies such as Outokumpu and Afarak Group bolster the competitiveness of the market by prioritising innovation and sustainable practices that conform to the region's strict environmental regulations.

 

Global Ferrochrome Recent Developments

  • Sept 2023, SAL STEEL LTD. revealed the initiation of a three-year supply arrangement with AIA Engineering (AIA) to provide ferrochrome. This agreement permits the non-exclusive supply of ferrochrome to AIA. SAL STEEL is active in the manufacturing sector, focusing on the production of sponge iron, ferro alloys, and power. The company markets its products both domestically and internationally. AIA Engineering specializes in manufacturing high chrome mill internals.
  • Jan 2024, Metso and Ferro Alloys Corporation Limited (FACOR), a subsidiary of Vedanta, have reached an agreement for the planning and supply of a ferrochrome plant as part of FACOR's expansion initiative in Bhadrak, Odisha, India. The contract, with an estimated value of around EUR 80 million, has been recorded in the Minerals segment's order intake for the fourth quarter of 2023.

 

Scope of global Ferrochrome report

Global Ferrochrome report segmentation

ATTRIBUTE

DETAILS

By Product

  • High Carbon Ferrochrome
  • Medium Carbon Ferrochrome
  • Low Carbon Ferrochrome

By Application

  • Stainless Steel
  • Other Steel

By Geography

  • North America (USA, and Canada)
  • Europe (UK, Germany, France, Italy, Spain, Russia and Rest of Europe)
  • Asia Pacific (Japan, China, India, Australia, Southeast Asia and Rest of Asia Pacific)
  • Latin America (Brazil, Mexico, and Rest of Latin America)
  • Middle East & Africa (South Africa, GCC, and Rest of Middle East & Africa)

Customization Scope

  • Available upon request

Pricing

  • Available upon request

 

Objectives of the Study

The objectives of the study are summarized in 5 stages. They are as mentioned below:

  • Global Ferrochrome size and forecast: To identify and estimate the market size for global Ferrochrome market segmented by Product, application and by region. Also, to understand the consumption/ demand created by consumers between 2024 and 2032.
  • Market Landscape and Trends: To identify and infer the drivers, restraints, opportunities, and challenges for global Ferrochrome
  • Market Influencing Factors: To find out the factors which are affecting the market of global Ferrochrome among consumers.
  • Company Profiling:  To provide a detailed insight into the major companies operating in the market. The profiling will include the financial health of the company's past 2-3 years with segmental and regional revenue breakup, product offering, recent developments, SWOT analysis, and key strategies.

Research Methodology

Our research methodology has always been the key differentiating reason which sets us apart in comparison from the competing organizations in the industry. Our organization believes in consistency along with quality and establishing a new level with every new report we generate; our methods are acclaimed and the data/information inside the report is coveted. Our research methodology involves a combination of primary and secondary research methods. Data procurement is one of the most extensive stages in our research process. Our organization helps in assisting the clients to find the opportunities by examining the market across the globe coupled with providing economic statistics for each and every region.  The reports generated and published are based on primary & secondary research. In secondary research, we gather data for global Market through white papers, case studies, blogs, reference customers, news, articles, press releases, white papers, and research studies. We also have our paid data applications which includes hoovers, Bloomberg business week, Avention, and others.

Data Collection

Data collection is the process of gathering, measuring, and analyzing accurate and relevant data from a variety of sources to analyze market and forecast trends. Raw market data is obtained on a broad front. Data is continuously extracted and filtered to ensure only validated and authenticated sources are considered. Data is mined from a varied host of sources including secondary and primary sources.

Primary Research

After the secondary research process, we initiate the primary research phase in which we interact with companies operating within the market space. We interact with related industries to understand the factors that can drive or hamper a market. Exhaustive primary interviews are conducted. Various sources from both the supply and demand sides are interviewed to obtain qualitative and quantitative information for a report which includes suppliers, product providers, domain experts, CEOs, vice presidents, marketing & sales directors, Type & innovation directors, and related key executives from various key companies to ensure a holistic and unbiased picture of the market. 

Secondary Research

A secondary research process is conducted to identify and collect information useful for the extensive, technical, market-oriented, and comprehensive study of the market. Secondary sources include published market studies, competitive information, white papers, analyst reports, government agencies, industry and trade associations, media sources, chambers of commerce, newsletters, trade publications, magazines, Bloomberg BusinessWeek, Factiva, D&B, annual reports, company house documents, investor presentations, articles, journals, blogs, and SEC filings of companies, newspapers, and so on. We have assigned weights to these parameters and quantified their market impacts using the weighted average analysis to derive the expected market growth rate.

Top-Down Approach & Bottom-Up Approach

In the top – down approach, the Global Batteries for Solar Energy Storage Market was further divided into various segments on the basis of the percentage share of each segment. This approach helped in arriving at the market size of each segment globally. The segments market size was further broken down in the regional market size of each segment and sub-segments. The sub-segments were further broken down to country level market. The market size arrived using this approach was then crosschecked with the market size arrived by using bottom-up approach.

In the bottom-up approach, we arrived at the country market size by identifying the revenues and market shares of the key market players. The country market sizes then were added up to arrive at regional market size of the decorated apparel, which eventually added up to arrive at global market size.

This is one of the most reliable methods as the information is directly obtained from the key players in the market and is based on the primary interviews from the key opinion leaders associated with the firms considered in the research. Furthermore, the data obtained from the company sources and the primary respondents was validated through secondary sources including government publications and Bloomberg.

Market Analysis & size Estimation

Post the data mining stage, we gather our findings and analyze them, filtering out relevant insights. These are evaluated across research teams and industry experts. All this data is collected and evaluated by our analysts. The key players in the industry or markets are identified through extensive primary and secondary research. All percentage share splits, and breakdowns have been determined using secondary sources and verified through primary sources. The market size, in terms of value and volume, is determined through primary and secondary research processes, and forecasting models including the time series model, econometric model, judgmental forecasting model, the Delphi method, among Flywheel Energy Storage. Gathered information for market analysis, competitive landscape, growth trends, product development, and pricing trends is fed into the model and analyzed simultaneously.

Quality Checking & Final Review

The analysis done by the research team is further reviewed to check for the accuracy of the data provided to ensure the clients’ requirements. This approach provides essential checks and balances which facilitate the production of quality data. This Type of revision was done in two phases for the authenticity of the data and negligible errors in the report. After quality checking, the report is reviewed to look after the presentation, Type and to recheck if all the requirements of the clients were addressed.

Frequently Asked Questions

Global Ferrochrome forecast period is 2024 - 2032.
According to global Ferrochrome research, the market is expected to grow at a CAGR of ~ 6.05% over the next eight years.
The possible segments in global Ferrochrome are based on by Product, application & by region.
The expected market size for Global Ferrochrome is USD 15.35 billion in 2023.
The major players in the market are ALBCHROME, Balasore Alloys Limited, Eurasian Resources Group, Ferbasa, Ferro Alloys Corporation Ltd, Glencore, Hernic, IMFA, Jindal Steel & Power Limited and Outokumpu