The steel industry is a prominent consumer of iron ore pellets. Manufacturers provide pellets to the steel industry through supply agreements. Growth of the steel industry acts as a primary driving factor for the progress of the global iron ore pellets market.
According to the World Steel Association, global crude steel production reached 1,869.9 million tons in 2019, up by 3.4% as compared to 2018. Despite the market slowdown in the recent past, the steel industry and the demand for steel from several industries has been recovering since 2015. Global steel demand witnessed 20% year-on-year growth in 2019, and is estimated to grow steadily over the forecast period.
Rising building and construction industry coupled with rapid industrialization is expected to propel the demand for steel across the globe. The growth of the steel industry is expected to further drive the growth of the iron ore pellets market across the world.
Find Out More about the Report Coverage
- Vale SA
- Arya Group
- Essar Steel
- Jindal SAW Ltd.
- Cleveland-Cliffs Inc.
- Simec Group
- Metalloinvest MC LLC
- Iron Ore Company of Canada
- ArcelorMittal S.A.
- KIOCL Ltd.
- Bahrain Steel
Growing Economies to Represent High Growth Opportunities, Due to Increasing Steel Production Capacity
China is the leading steel producer and largest consumer of iron ore, as well as leading iron ore pellets importer. China’s steel production witnessed 6.6% growth in 2018 in comparison with 2017. In India, the government has set a target of 300 million tons of steel making capacity with the approval of National Steel Policy (NSP) 2017, as it seeks to create a globally competitive steel industry in India.
Further, SAIL has planned to enhance the country’s crude steel capacity to 50 million tons by 2031. Iran has planned to hit more than 50 million tons of iron ore pellet production capacity by 2025, owing to growing steel production. Iran’s steel production increased by 3.5 million tons in 2018 in comparison with 2017.
Such growth activities are estimated to drive the iron ore pellets market in the years to come.
Customize this Report
Explore Intelligence Tailored to Your Business Goals.
Limited Availability of High-grade Lump Ore Boosting Demand for Iron Ore Pellets
Earlier, lump ores were the primary source used in the iron making process. However, over the years, high-grade lump ore reserves have been gradually depleting, attributable to excessive mining activities by multiple companies.
This limited availability of high-grade lump ore is becoming a cause of concern for the iron & steel industry, as it is becoming increasingly difficult to find suitable lump ore for direct use in blast furnaces.
Moreover, the sintering process that is used when utilizing lump ore causes more pollution as compared to the pelletizing process, owing to which, prominent steel producers are preferring the use of iron ore pellets as blast furnace feed over lump ore.
Thus, the limited availability of as well as the environmental drawbacks of high-quality lump ores is leading to the increasing demand for iron ore pellets.
Market Research Methodology - Perfected through Years of Diligence
A key factor for our unrivaled market research accuracy is our expert- and data-driven research methodologies. We combine an eclectic mix of experience, analytics, machine learning, and data science to develop research methodologies that result in a multi-dimensional, yet realistic analysis of a market.
Global Iron Ore Pellets Market: Competition Overview
The global iron ore pellets market is moderately fragmented, and tier one market players account for more than one-fourth of total market share. Some of the key players operating in this market are FERREXPO Plc., Vale S.A., Cleveland-Cliffs Inc., and Luossavaara-Kiirunavaara AB, among others.
Explore Persistence Market Research’s expertise in promulgation of the business !
The iron ore pellets market is expected to grow substantially in the coming years. This growth is anticipated to be supported by the increasing number of environmental regulations on sinter feed, shifting technological trends in the steel industry, and depletion in high quality lump ores, besides other factors. China is expected to hold a prominent share in the global iron ore pellets market. Players in the iron ore pellets market can focus on the signing of supply agreements for the development of a strong customer base.
Iron Ore Pellets Market: Segmentation
PMR’s report has segmented the iron ore pellets market into grade and region. This report offers comprehensive data and information about the important market dynamics and growth parameters related to these categories.
Key Questions Answered in PMR’s Iron Ore Pellets Market Report
- Which region is anticipated to hold a prominent share in the global iron ore pellets market over the forecast period?
- What will be the key driving factors contributing to the demand for iron ore pellets during the forecast period?
- How will the current trends impact the iron ore pellets market?
- Who are the key players in the iron ore pellets market?
- What are the crucial strategies used by leading players in the iron ore pellets market to improve their market positions?
- What are the potential barriers for new entrants?