U.S. Steel Rebar Market Size, Share & Trends Analysis Report By Application (Construction, Infrastructure, Industrial), By Region (Northeast, Midwest, West)- Industry Analysis, Share, Growth, Regional Outlook and Forecasts, 2022-2030

The U.S. Steel Rebar market size was valued at US$ 5.9 billion in 2021 and is expected to hit US$ 10.4 billion by 2030, growing at a compound annual growth rate (CAGR) of 6.2% from 2022 to 2030.

Key Takeaways:

• In terms of application, the infrastructure segment is projected to witness the fastest CAGR of 9.2% from 2022 to 2030. Recently, Biden Administration signed USD 1.2 trillion infrastructure bill and it will deliver USD 551 billion of new federal investments over the next five years
• The construction segment dominated the market and accounted for the largest revenue share of 42.7% in 2021. Post-pandemic boost to residential construction and rise in construction activities is projected to benefit market growth
• West U.S. was the largest regional segment in 2021 and is projected to maintain its position during the forecast period. The rising cost of materials and increase in prices of a new home is likely to affect the market demand over the short term
• The market faces stiff competition from local as well as international players; low prices of steel rebar from Asian companies further intensify this competition. The market players are using organic as well as inorganic growth strategies to improve their market share in the U.S. industry

Growth Factors:

Poor health of infrastructure facilities is anticipated to attract growing investments in the U.S., and thus likely to drive the market.

As per Henry Petroski, an American civil engineer, delays due to traffic cost the U.S. economy over USD 120 billion annually. Similarly, delays and cancellations of flights at various airports can cost over USD 35 billion to the country yearly. As per the study by the American Society of Civil Engineers, the country’s infrastructure has received a ‘D+’ grade in 2021, which implies that infrastructure is mostly below standards.

As per the same study, the infrastructure gap is projected to reach USD 2.59 trillion over the next 10 years. Also, as per estimates of the U.S. Department of Transportation, there is a need for USD 800 billion to upgrade roads and bridges in the country by 2025. Thus, investments in infrastructure are projected to assist the industry growth in the long run.

Fiber-reinforced Polymers (FRP) bars have the potential to replace the steel rebar and thus represent a small threat to steel rebar products. FRP bars are light in weight and exhibit high tensile strength. These products can be substituted with FRP bars owing to their higher lifespan and increasing metal processing costs over the coming years.

Compared to FRP bars, steel rebars have some clear advantages, hence they cannot be replaced fully. FRP bars find applications in repair projects, wherein their initial cost is low. However, in new projects, the steel rebar is the first choice due to its lower cost. Also, FRP bars have less fire resistance and cannot be bent.

Expansion into the manufacturing of merchant bars can provide opportunities to the market players. Some of the rebar companies are not into the business of merchant bars. Rebar companies have existing infrastructure and raw material resources; thus, it is easy for them to enter into the steel merchant rebar business.

Report Scope of the U.S. Steel Rebar Market

Application Insights

The infrastructure segment dominated the U.S. steel rebar market and is anticipated to witness the highest CAGR of 9.0% in 2021. In order to reduce the infrastructure gap, the U.S. government is introducing various investment plans. For instance, in the 2020 budget, USD 100.8 billion as incentives were provided to prioritize infrastructure maintenance, generation of revenue streams, and modernization of procurement practices.

Recently in March 2021, Biden Administration proposed a plan to invest USD 2.9 trillion for the infrastructure of the country. This will develop over 20,000 miles of roads, highways, and main streets. This will also help to fix 10 economically significant bridges in the country and will repair 10,000 smaller bridges. Thus, long-term investment in infrastructure development is projected to boost the demand for steel rebars over the coming years.

The growth of the construction sector is anticipated to remain the key driver for the long-term growth of the market. The construction segment dominated the market and accounted for the largest revenue share of 42.1% in 2021. Rebar products are widely utilized in commercial and residential buildings owing to their high strength and low weight, which reduces the load on the building foundations and improves economic savings.

Regional Insights

The Midwest U.S. segment accounted for over 21.0% share in 2021, in terms of revenue. New proposed infrastructural projects are projected to push the demand for steel rebar in the region. Commissioning of new transportation projects including the brentspence bridge, I-35 trade corridor, Fargo-Moorehead metro, and many more are likely to produce strong demand for rebar products.

The southwest region accounted for a share of 19.8% in 2021, in terms of revenue. States including New Mexico and Texas are likely to witness strong demand from the construction of production facilities. Texas is likely to witness nearly USD 1 billion refinery work investments over the long run. Also, as per the New Mexico Oil & Gas Association, New Mexico is projected to observe infrastructure investments of USD 175.0 billion by 2030 in the oil and gas sector.

Northeast U.S. is expected to observe the fastest growth rate over the forecast period. The demand in this region is primarily driven by the new infrastructural projects. Some of the key projects of the region include the long island tunnel project, Baltimore Washington rapid rail project, phase 3 of the New York second avenue project, and many more. The aforementioned projects are valued at around nearly USD 84 billion.

Key Companies & Market Share Insights

The market is highly competitive and characterized by the presence of local as well as multinational companies. The presence of key multinational players in the U.S. and low prices of steel products from developing countries have kept the competitive rivalry high in the market. The rising number of steel mills in the recent past has also increased the competition level. The competitors in the market are using various organic and inorganic growth strategies to expand their businesses. For instance, in July 2021, CMC Steel acquired the rebar business of AZZ, which manufactures galvanized rebar. This product is known as ‘Galvabar’ and is manufactured using galvanization of zinc coating on rebar. The addition of GalvaBar's value-added goods to the company's offering allows it to better serve and support the demand of its clients. Furthermore, the global footprint and distribution network will considerably expand the ‘GalvaBar’ product line's reach. Some of the prominent players in the U.S. steel rebar market include:

• ArcelorMittal
• Nucor Corporation
• Schnitzer Steel Industries, Inc.
• Acerinox S.A.
• Outokumpu
• EVRAZ North America, Inc.
• Liberty Steel USA

Segments Covered in the Report

This research report offers market revenue, sales volume, production assessment and prognoses by classifying it on the basis of various aspects. Further, this research study investigates market size, production, consumption and its development trends at U.S. for the period of 2017 to 2030

• By Application 

• Construction
• Infrastructure
• Industrial
• By Regional
• Northeast U.S.
• Midwest U.S.
• West U.S.
• Southeast U.S.
• Southwest U.S.

Key Points Covered in U.S. Steel Rebar Market Study:

• Growth of U.S. Steel Rebar in 2022
• Market Estimates and Forecasts (2017-2030)
• Brand Share and Market Share Analysis
• Key Drivers and Restraints Shaping Market Growth
• Segment-wise
• Competition Mapping and Benchmarking
• Recommendation on Key Winning Strategies
• COVID-19 Impact on Demand for U.S. Steel Rebar and How to Navigate
• Key Product Innovations and Regulatory Climate
• U.S. Steel Rebar Consumption Analysis
• U.S. Steel Rebar Production Analysis
• U.S. Steel Rebar and Management