Report

The South Korea steel market was volumed at 50.40 MMT in 2024. The industry is expected to grow at a CAGR of 1.90% during the forecast period of 2025-2034. The trend towards smart buildings and green construction processes encourages the use of different innovative products including steel products, thereby?providing an avenue for South Korean manufacturers to venture into such advanced sectors. In turn, all these factors have resulted in the market attaining a volume of 60.84 MMT by 2034.

South Korea Steel Market Report Summary

Description

Value

Base Year

MMT

2024

Historical Period

MMT

2018-2024

Forecast Period

MMT

2025-2034

Market Size 2024

MMT

50.40

Market Size 2034

MMT

60.84

CAGR 2018-2024

Percentage

XX%

CAGR 2025-2034

Percentage

1.90%

CAGR 2025-2034 - Market by Product

Flat Steel

2.1%

CAGR 2025-2034 - Market by Genre

Stainless Steel

2.3%

South Korea Steel Market Overview

The South Korea steel market is industrial based as it?is widely used in automotive, shipbuilding, and construction. Market leaders, including POSCO and Hyundai?Steel, provide economies of scale and leading-edge technologies to meet domestic and worldwide demand. Motivated by emerging production techniques and a growing focus on sustainability,?there is a increasing trend toward higher-value products, including high-strength and specialty steels. Moreover, South Korea is a stronghold for smart manufacturing and digitization, which are boosting?production efficiency. South Korea is a world leader in steel innovating and supply chain integration?with a comprehensive export strategy.

South Korea Steel Market Growth

One particular niche that has been leading the way for demand for steel?in South Korea is the automotive industry, with car companies endeavoring to develop lighter, but high-strength steel to be utilized in cars with a view to maximize fuel efficiency and safety. To add to this, electric vehicles (EVs) are increasing, which also lifts demand for higher, more sophisticated steel grades since manufacturers require materials that create longer-lasting cars that are also energy-efficient. POSCO and Hyundai Steel are at?the forefront, producing special steels geared toward these changing needs. Moreover, South Korea's robust shipbuilding industry, which demands advanced?steel, especially for massive vessels, liquefied natural gas (LNG) carriers, and other specialty ships are also driving demand growth. Steel demand for shipbuilding is on the rise, as global maritime trade expands, and South Korean companies are at the forefront of?engineering corrosion-resistant, high-performance steel solutions.

South Korea Current Market Status & Future Expansion in Ferrous and Non-Ferrous Segment

Ferrous and nonferrous segments of?South Korea steel market exhibit solid balance and are still growing. The aluminum market is benefiting from increasing demand for more lightweight?materials used in the automotive and aerospace industries. Growing demand in the market is focused on electronics, renewable?energy, and construction sectors; all of which will be covered through the copper market. Segment-wise, innovations in flat products including high-strength?steels for automobiles, building, and long products are fundamental?to infrastructure, while the forging (press and extrusion) segment provides high value-added components for sectors such as aerospace and automotive. All segments are undergoing innovation and sustainability in South Korea in order to grow in?the future.

Key Trends and Recent Developments

The key trends of the South Korea steel market include green steel, high-strength materials,?digitalization, and expanding into emerging market.

March 2025

Hyundai Motor Group of South Korea is scheduled to make a US$20 billion investment announcement at the White House. President Donald Trump, Hyundai chairman Euisun Chung, and Louisiana Governor Jeff Landry were slated to announce the project, which would include a US$5 billion new steel facility in Louisiana.

January 2025

Almonty Industries Inc. announced that it has signed an exclusive offtake agreement with SeAH M&S, the world's second-largest smelter of molybdenum oxide and the largest processor of molybdenum products in South Korea. Under the terms of the agreement, SeAH will buy all of the material produced from Almonty's Sangdong Molybdenum Project (the "Sangdong Molybdenum Project") for the duration of the mine.

October 2024

The agreement between JSW Group and POSCO was announced, marking the South Korean steelmaker's fourth attempt to join the lucrative Indian market in the past 15 years, calls for cooperation on steelmaking, electric vehicle (EV) batteries, and renewable energy projects.

September 2024

An anti-dumping inquiry into Chinese-imported stainless-steel plates that meet minimum dimensions of 4.75 mm in thickness and 600 mm in width was initiated, according to the Korea Trade Commission. A request from domestic steelmaker DK Corporation prompted the start of this study.

Shift to Green Steel Production

Consumers are increasingly shifting their preferences towards green steel production, aiming for innovations like hydrogen-based steelmaking, thereby boosting the South Korea steel market dynamics. POSCO, for example, launched a project to produce steel using hydrogen, which emits no?carbon, rather than coal. The trend toward ecological practices is aimed towards reaching the country's climate targets, with companies increasingly investing in technology to reduce the environmental impact without decreasing production efficiency.

Increased Use High-Strength and Lightweight Steel

The South Korea steel market has been moving towards high-strength, lightweight steel to meet demand from sectors such as automotive and aerospace. Hyundai Steel and POSCO are working to develop next-generation steel grades that meet automakers'?needs for new EVs and fuel-efficient cars that are lighter but stronger. These include steels that help lighten vehicles while also improving safety and?meeting ever-increasing regulatory requirements for fuel efficiency and pollution emissions.

Growth of Smart Manufacturing?& Digitalization

Digital technologies, including AI and IoT, are being increasingly applied in steel manufacturing, thereby redefining South Korea steel market growth story. One such example is POSCO, that has incorporated AI into their operations to bring innovations. These technologies provide greater efficiency,?cost savings, and enhanced consistency in steel products, allowing businesses to address the constantly evolving customer needs in the automotive, construction, and shipbuilding industries.

Growing Focus on Emerging Markets

Steel makers in the country have been increasingly shifting their focus to emerging and developing markets, mainly?Southeast Asia and Africa. With growing infrastructure demand in these regions, POSCO and Hyundai Steel are investing majorly in?local steel production facilities to cater to the rising demand in the South Korea steel market. They intend to take the lead in new markets and provide more of what was?in great demand in all of the countries collectively.

South Korea Steel Market Opportunities

Companies in the South Korea steel market have an opportunity to supply materials for the growing renewable energy sector, particularly wind and solar power infrastructure. With the country's?government increasingly prioritizing green energy transition, steel producers can benefit from additional steel need for renewable energy plants, turbines, and equipment. Furthermore, the growth of electric vehicles (EVs) bolsters the capacity of South Korean steel companies?to provide specialized lightweight steel amid burgeoning automotive sector growth. Steel companies can also meet demand for advanced materials,?designed to enhance efficiency and performance of vehicles, by entering supply agreements with local EV producers or prospective global automakers.

South Korea Steel Market Trends

The region has massive ongoing infrastructure projects, including urban development, transportation?networks, and smart cities, which result in a consistent steel demand in South Korea. With government spending in these areas and a boom in residential and commercial construction, there is?a huge market for high quality steel products. Moreover, the ongoing adoption?of Industry 4.0 technologies, such as automation, the IoT and 3D printing, allows South Korean steel companies to boost productivity, minimize waste and increment product quality. This?technological advantage fosters growth by serving the changing demands of a range of sectors such as automotive, shipbuilding, and construction.

South Korea Steel Market Restraints

� A drop in the price of steel due to overproduction, a recession, or trade tensions could lower the profits for steelmakers, cutting into their capability to reinvest and maintain market share. This factor poses a serious challenge for the South Korea steel market growth.
� Regulatory requirements such as stringent policies and the need for green steel production will most likely drive operating expenses higher which will be a daunting experience for the producers, especially with the adoption of green technologies to ensure regulatory compliance and lower carbon emissions.

South Korea Steel Industry Segmentation

The EMR's report titled �South Korea Steel Market Report and Forecast 2025-2034� offers a detailed analysis of the market based on the following segments:

Market Breakup by Product

� Long Steel_x000D_ _x000D_ Breakup by Type_x000D_ _x000D_ Wire Rod _x000D_ Rebars _x000D_ Merchant Bars _x000D_ Heavy Sections _x000D_ Others _x000D_ _x000D_ _x000D_ _x000D_
� Long Steel_x000D_ _x000D_ Breakup by Type_x000D_ _x000D_ Wire Rod _x000D_ Rebars _x000D_ Merchant Bars _x000D_ Heavy Sections _x000D_ Others _x000D_ _x000D_ _x000D_ _x000D_
� Flat Steel_x000D_ _x000D_ Breakup by Type_x000D_ _x000D_ Hot Rolled Wide Strip _x000D_ CR Coil / Strip _x000D_ Plate _x000D_ Color Coated Steel _x000D_ Electrical Steel _x000D_ Others _x000D_ _x000D_ _x000D_ _x000D_
� Forged Steel

� Flat Steel_x000D_ _x000D_ Breakup by Type_x000D_ _x000D_ Hot Rolled Wide Strip _x000D_ CR Coil / Strip _x000D_ Plate _x000D_ Color Coated Steel _x000D_ Electrical Steel _x000D_ Others _x000D_ _x000D_ _x000D_ _x000D_
� Long Steel_x000D_ _x000D_ Breakup by Type_x000D_ _x000D_ Wire Rod _x000D_ Rebars _x000D_ Merchant Bars _x000D_ Heavy Sections _x000D_ Others _x000D_ _x000D_ _x000D_ _x000D_
� Flat Steel_x000D_ _x000D_ Breakup by Type_x000D_ _x000D_ Hot Rolled Wide Strip _x000D_ CR Coil / Strip _x000D_ Plate _x000D_ Color Coated Steel _x000D_ Electrical Steel _x000D_ Others _x000D_ _x000D_ _x000D_ _x000D_
� Forged Steel

� Forged Steel

Market Breakup by Genre

� Carbon Steel
� Stainless Steel
� Others

South Korea Steel Market Share

Market Insights by Product

Long steel is getting popular in the market because of its critical application in the construction and infrastructure sectors. Demand for?flat steel products, led by the automotive, shipbuilding and home appliance sectors, is also adding to the South Korea steel market value. The flat steel segment is expected to grow at a CAGR of 2.1% over the forecast period. With high durability and performance, forged steel is?increasingly preferred for precision applications such as aerospace, automotive, and industrial machinery. The rise within these segments stems from?technological progress, quality improvement, and the concentration of South Korea on high-value, specialized merchandise.

Market Analysis by Genre

As per the South Korea steel market analysis, carbon steel is picking up pace owing to its versatility and affordability, commonly utilized in construction, auto, and machinery sectors. The segment of stainless steel is witnessing brisk growth, with it being utilized in premium industries such as aerospace, food processing and medical equipment, where corrosion resistance and strength are imperative parameters. This particular segment is projected to grow at a CAGR of 2.3% over the forecast period. The other segment, which comprises special steels, including alloy and tool steels, is expanding since South Korea is targeting high-performance materials in order to cater to demand for energy, automobile and electronics products. All these segments are also being boosted by technology and innovation.

Competitive Landscape

Along with addressing product quality improvements and the ongoing demand for sustainable operating processes, South Korea steel market players also engage in product expansion in?developing economy markets as well. Majority of the South Korea steel companies are focused on manufacturing ultra-high-strength, specialty steel for the automotive, construction, and energy industries and integrates digital technologies for greater efficiency with lower?environmental impact.

POSCO Holdings

POSCO Holdings established in 1968, with its headquarters located in Pohang, South Korea, is a global steel giant with state-of-the-art?technologies and sustainable steelmaking, and a leading player in the automotive, construction, and energy sectors, boasting top-level innovation and production scale.

Hyundai Steel

Hyundai Steel, founded in 1953 and based in Incheon, South Korea, offers various kinds of good quality steel products, that cater mainly to the automotive,?construction, and energy industries. Focusing on technological advancements and sustainable quality, Hyundai Steel strengthens?its competitiveness both domestic and abroad markets.

KOSTEEL Co., Ltd.

Established in 2007, and located in Seoul, South Korea, KOSTEEL Co., Ltd., is a high-strength carbon steel and specialty alloys manufacturing company with customers from automotive, construction and shipbuilding industries. Its production techniques and specifications of steel in world?markets are also appreciated.

Hwanyoung Steel Ind. Co., Ltd.

Hwanyoung Steel?Ind. Co., Ltd., that was founded in 1977, produces cold-rolled and hot-rolled steel for the automotive, machinery and?construction industries. The company mainly focuses on?precision, quality and sustainability, serving the increasing requirement for steel in multiple applications worldwide.

Other key players in the South Korea steel market report are Dongil Ind. Co., Ltd, Korea Iron & Steel Co., Ltd, SeAH Besteel Corporation, SeAH CSS Corp., KG Steel Co., Ltd., and TCC Steel.co., among others.