Southeast Asia Galvanized Steel Market Worth $24.21 Billion by 2028 - Exclusive Report by Meticulous Research®

According to a new market research report titled "Southeast Asia Galvanized Steel Market by Product Type (Hot-dipped Galvanized Steel, Electro-galvanized Steel); Application (Building and Construction, Automotive, White Goods, Shipbuilding, Other Applications); and Country - Forecast to 2028," published by Meticulous Research®, the Southeast Asia galvanized steel market is expected to grow at a CAGR of 13% from 2021 to 2028 to reach $24.21 billion by 2028. By volume, this market is expected to grow at a CAGR of 12.4% from 2021 to reach 25.89 million tons by 2028.

Download Free Sample Report Now @ https://www.meticulousresearch.com/download-sample-report/cp_id=5019

Galvanized steel is steel coated with a protective layer of zinc to prevent rusting and increase the durability of steel structures. Galvanizing is done primarily through two methods, hot-dipped galvanizing and electro-galvanizing. In hot-dipped galvanizing, steel sheets are dipped in a bath of molten zinc at 460⁰C. A zinc oxide layer is formed on the steel, which prevents the steel from corrosion. In the electro-galvanizing method, steel sheets are dipped in a zinc ion solution, and current is passed through it so that zinc ions get uniformly spread over the steel sheets. Hot-dipped galvanizing is the most commonly used technique for galvanizing steel due to its low cost compared to electro-galvanizing.

The major factors driving the Southeast Asia galvanized steel market include increasing infrastructure investments in the Southeast Asian region and rising GDPs in the region. Moreover, rapid urbanization in the region, growing automotive markets, and establishment of the ASEAN economic community provide attractive growth opportunities for players operating in this market.

The Impact of COVID-19 on the Southeast Asia Galvanized Steel Market

The COVID-19 pandemic severely impacted several sectors in Southeast Asia, including construction, automotive, shipbuilding, and white goods. Infrastructure development and construction activities in the region came to a standstill due to the lockdowns imposed by governments across the region to contain the spread of the virus. The steel industry, a major raw material supplier for the automotive, construction, shipbuilding, and white goods industries, was severely affected due to the slowdown in these sectors during the peak of the COVID-19 pandemic in 2020. Steelmakers across the region reported that the demand for steel products during the COVID-19 pandemic had decreased by 90% compared to pre-COVID times. This crisis caused structural shifts with significant implications for the market.

In Southeast Asia, halted construction projects severely impacted the steel market, with the demand for steel recording a decline of 11.9% in 2020. The production and supply of galvanized steel, one of the most important raw materials for the construction, automotive, shipbuilding, and electrical appliances industries, were also severely impacted. The steel markets in Malaysia and the Philippines were the most severely impacted, while Vietnam and Indonesia saw only a modest decline in demand. According to the Indonesia Iron and Steel Industry Association (IISIA), in Indonesia, the pandemic had reduced the demand for steel products by 50%. The pandemic severely disrupted the cash flow of steelmakers in the country as major clients closed businesses. Some of the steelmakers in the country also faced business continuity challenges. Recovery is expected to be driven by a gradual resumption of construction activities, which will accelerate by 2022.

Speak to our Analysts to Understand the Impact of COVID-19 on Your Business: https://www.meticulousresearch.com/speak-to-analyst/cp_id=5019

Thailand is Asia's fourth-largest auto assembly and export hub. The automotive industry in Thailand recorded a significant sales decline of 21% by the end of 2020. In Thailand, recent restrictions imposed by the government in June 2021 to contain the spread of the delta variant caused a decline of 30-40% in demand for steel in the building & construction sector. Tata Steel Thailand (TSTH) reported a 20-30% sales decline due to the shutdown. In July 2021, Toyota Motors Thailand temporarily suspended vehicle production at its Ban Pho, Samrong, and Gateway plants due to a shortage of parts caused by the pandemic. Various automotive parts such as car skeleton structures, body panels, bumpers, etc., are manufactured using galvanized steel. Hence, the suspension of automotive production significantly affected the galvanized steel market in Thailand.

The COVID-19 pandemic has also significantly affected the building & construction sector in Southeast Asia. For instance, in April 2020, The Public Works and Public Housing Ministry of Indonesia suspended several housing development projects across the country and announced the reallocation of budget funds towards efforts to mitigate the impacts of the COVID-19 pandemic. This budget diversion affected various public infrastructure projects in Indonesia, such as the development of Way Sekampung Dam in Lampung, the Jragung Dam in Central Java, the Temef Dam in East Nusa Tenggara, the Kuningan East Ring Road in West Java, and the construction of the Brebes Ring Road in Central Java. The COVID-19 crisis also affected other infrastructure projects in Indonesia, including the Jakarta-Bandung high-speed railway project. Galvanized steel is one of the major raw materials used in the building & construction sector for various applications such as frames, roofs, and interior & exterior walls. Thus, the slowdown in the building & construction sector significantly affected the galvanized steel market in Southeast Asia.

The shipbuilding and ship repair industry in Southeast Asia has been greatly affected by the restrictions imposed due to the COVID-19 pandemic. In Singapore, two major shipyards-Sembawang Shipyard and Keppel, which were kept open as essential services, felt the impact as several laborers tested positive for COVID-19, raising concerns about the safety of workers. Shipyard orders in Southeast Asian countries declined by approximately 38.8% in 2020 compared to 2019, with only 2.7 million deadweight tons (dwt) worth of new orders placed. Shipyard orders in the Philippines decreased by approximately 17%, with only 30 new orders placed (weighing 2 million dwt). New orders for shipyards in Vietnam decreased by approximately 44% to 0.7 million dwt (16 new orders). Shipyards in Singapore, Indonesia, etc., did not receive any new orders in 2020. The slowdown in the shipbuilding industry has had significant effects on the galvanized steel market in these countries since galvanized steel is used for various components such as the hull, stern frame, rudder pintles, deck plating, etc.

Southeast Asia Galvanized Steel Market Overview

The Southeast Asia galvanized steel market is segmented based on product type, application, and country. The study also evaluates industry competitors and analyzes the market at the country level.

Based on product type, the Southeast Asia galvanized steel market is mainly segmented into hot-dipped galvanized steel and electro-galvanized steel. In 2021, the hot-dipped galvanized steel segment accounted for the largest share of the Southeast Asia galvanized steel market. The large share of this segment is mainly attributed to their lower cost, extremely long life, low maintenance cost, tougher coating, and its compatibility with all types of adhesives. Hot-dipped galvanized coatings are considered highly ductile since they can maintain their full corrosion protection even after being heavily formed. Moreover, hot-dipped galvanized steel can be welded using various welding methods, including resistance, laser, and arc welding.

To gain more insights into the market with a detailed table of content and figures, click here: https://www.meticulousresearch.com/product/southeast-asia-galvanized-steel-market-5019

Based on application, the Southeast Asia galvanized steel market is mainly segmented into building and construction, automotive, white goods, shipbuilding, and other applications. In 2021, the building and construction segment accounted for the largest share of the Southeast Asia galvanized steel market. The large share of this segment is mainly attributed to numerous and measurable benefits such as low cost, low maintenance, and anti-corrosive nature. Galvanized steel is used for roofs, trusses, frames, purlins, pipes and ducts, interior walls, and many others. However, the white goods segment is expected to record the highest CAGR during the forecast period. White goods include stoves, refrigerators, freezers, washing machines, tumble driers, dishwashers, and air conditioners. In such appliances, galvanized steel is mainly used due to its corrosion-free and highly ductile properties.
Geographically, Vietnam accounted for the largest share of the Southeast Asia galvanized steel market in 2021. The large share of this market is mainly attributed to growing manufacturing facilities in the country, such as industrial parks, warehouses, and logistics facilities, and the growing purchasing power of the population leads to increasing demand for automobiles in the country. To tap the growing consumer interest in electric vehicles, in 2021, Vietnamese electric vehicle maker VinFast began the construction of a battery manufacturing plant in the province of Ha Tinh with a planned investment of USD 173.7 million in the first phase. However, Indonesia accounted for the second-largest share of the Southeast Asia galvanized steel market in 2021. The large share of this country is mainly attributed to the growing steel industry and government initiatives for the infrastructure development of Indonesia. The government of Indonesia has plans to become the top ten biggest economies in the world by 2030. The development of the manufacturing sector in Indonesia is at the center of this goal.

The key players operating in the Southeast Asia galvanized steel market are Nippon Steel Corporation (Japan), POSCO (South Korea), JFE Holdings, Inc. (Japan), JTL Infra Ltd. (India), NS BlueScope steel limited (Singapore), Hoa Sen Group (Vietnam), Hoa Phat Group (Vietnam), DONGKUK Steel Group (South Korea), Nam Kim Steel Joint Stock Company (Vietnam), Chinh Dai Industrial Co., Ltd (Vietnam), FIW Steel Sdn. Bhd. (Malaysia), and Galvaco Industries Sdn. Bhd. (Malaysia) among others.

Top 10 Companies in Southeast Asia Galvanized Steel Market : https://meticulousblog.org/top-10-companies-in-southeast-asia-galvanized-steel-market/

Contact:
Mr. Khushal Bombe
Meticulous Market Research Inc.
1267 Willis St, Ste 200 Redding,
California, 96001, U.S.
USA: +1-646-781-8004
Europe : +44-203-868-8738
APAC: +91 744-7780008
Email- sales@meticulousresearch.com
Visit Our Website: https://www.meticulousresearch.com/
Connect with us on LinkedIn- https://www.linkedin.com/company/meticulous-research

ABOUT / Portrait of the company - We are the trusted research partners for leading businesses around the world, providing market intelligence focused towards building revenue transformation strategies. Our research is used by Fortune 500 organizations to attain success by scouting next generation revenue opportunities well ahead of their competition.

This release was published on openPR.