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US Carbon Steel Market

ID: MRFR/CnM/18990-HCR
111 Pages
Chitranshi Jaiswal
October 2025

US Carbon Steel Market Research Report: By Type (Low carbon steel, Medium carbon steel, High carbon steel, Others), By End User (Building and construction, Automotive, Shipbuilding, Others) and By Product (Carbon steel, Alloy steel, Stainless steel) - Forecast to 2035

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US Carbon Steel Market Infographic
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US Carbon Steel Market Summary

As per analysis, the US carbon steel market is projected to grow from USD 149.19 Billion in 2024 to USD 155.46 Billion in 2025, exhibiting a compound annual growth rate (CAGR) of 4.2% during the forecast period (2025 - 2035).

Key Market Trends & Highlights

The US carbon steel market is currently experiencing robust growth driven by diverse sector demands and technological advancements.

  • The construction sector remains the largest consumer of carbon steel, significantly influencing market dynamics.
  • The automotive segment is the fastest-growing area, reflecting a shift towards innovative manufacturing processes.
  • Sustainability initiatives in production are becoming increasingly prevalent, aligning with broader environmental goals.
  • Increased infrastructure investment and regulatory support for domestic production are key drivers propelling market expansion.

Market Size & Forecast

2024 Market Size 149.19 (USD Billion)
2035 Market Size 234.63 (USD Billion)
CAGR (2025 - 2035) 4.2%

Major Players

Nucor Corporation (US), United States Steel Corporation (US), Steel Dynamics, Inc. (US), AK Steel Holding Corporation (US), Commercial Metals Company (US), Cleveland-Cliffs Inc. (US), TimkenSteel Corporation (US), Gerdau Ameristeel Corporation (US)

US Carbon Steel Market Trends

The US carbon steel market is currently experiencing a dynamic phase characterized by evolving demand patterns and shifting supply dynamics. The construction and automotive sectors are primary drivers of this market, as they increasingly rely on carbon steel for structural integrity and durability. Additionally, the ongoing emphasis on infrastructure development across the United States appears to bolster the demand for carbon steel products. This trend is likely to continue as government initiatives aim to enhance transportation networks and public facilities, thereby creating a robust environment for carbon steel consumption. Moreover, the US carbon steel market is witnessing a gradual transition towards sustainability. Manufacturers are exploring innovative production techniques that reduce environmental impact while maintaining product quality. This shift may be influenced by regulatory frameworks and consumer preferences that favor eco-friendly practices. As a result, companies are investing in research and development to enhance the efficiency of carbon steel production processes, which could lead to a more sustainable future for the industry. Overall, the US carbon steel market seems poised for growth, driven by both traditional demand and emerging sustainability trends.

Increased Demand from Construction Sector

The construction industry in the United States is a significant contributor to the demand for carbon steel. As infrastructure projects expand, the need for durable materials becomes paramount. This trend indicates a sustained growth trajectory for carbon steel, as it is essential for various applications, including beams, rebar, and other structural components.

Sustainability Initiatives in Production

There is a noticeable shift towards sustainable practices within the US carbon steel market. Manufacturers are increasingly adopting eco-friendly production methods to minimize their carbon footprint. This trend suggests that companies are responding to both regulatory pressures and consumer expectations for greener products, potentially reshaping the industry's operational landscape.

Technological Advancements in Manufacturing

Technological innovation is playing a crucial role in the US carbon steel market. Advances in manufacturing processes, such as automation and improved quality control, are enhancing production efficiency. This trend may lead to cost reductions and improved product quality, positioning manufacturers to better meet the evolving needs of various sectors.

Market Segment Insights

By Application: Construction (Largest) vs. Automotive (Fastest-Growing)

In the US carbon steel market, the application segment showcases a diverse distribution among its key areas. Construction leads as the dominant sector, significantly contributing to the overall demand for carbon steel due to increased infrastructural projects and residential developments. Following closely, the automotive industry reflects a robust growth trajectory, emphasizing innovation and sustainability in vehicle manufacturing. This shift toward electric vehicles and advanced lightweight materials paves the way for greater carbon steel utilization. Growth trends in the US carbon steel market are propelled by various factors, especially in construction and automotive applications. The recovery in infrastructure spending and ongoing investments in public and private projects are making construction a stronghold for carbon steel consumption. Meanwhile, the automotive sector is evolving, focusing on energy efficiency and sustainability, thus driving an increasing need for high-strength and lightweight carbon steel variants to improve vehicle performance.

Automotive: Steel Frames (Dominant) vs. Electric Vehicles (Emerging)

The automotive segment within the US carbon steel market is led by the use of steel frames, which remain crucial for traditional vehicle construction due to their durability and strength. This dominant position is augmented by the continued demand for conventional cars, where cost-effectiveness and safety standards necessitate steel usage. In contrast, electric vehicles represent an emerging market trend reflecting a shift towards more sustainable transportation solutions. Though currently smaller in market size, electric vehicles are driving innovation in carbon steel applications, focusing on lighter materials and advanced high-strength steels to enhance battery efficiency and overall vehicle range. This duality highlights the ongoing transition within the automotive landscape, balancing long-standing practices with emerging technologies.

By End Use: Structural Steel (Largest) vs. Machinery (Fastest-Growing)

In the US carbon steel market, the 'End Use' segment showcases a diverse distribution of applications, with Structural Steel holding the largest market share. It is primarily utilized in construction and infrastructure projects, thereby driving demand due to ongoing urbanization and industrialization. Machinery is also a significant player, particularly owing to its application in manufacturing processes. However, its market share is rapidly evolving as manufacturers seek advanced materials that offer enhanced performance. In terms of growth trends, the Machinery sector is emerging as the fastest-growing segment, propelled by technological advancements and increased demand for automation in manufacturing. The emphasis on sustainable practices is influencing choices, leading to innovations in carbon steel products that cater to eco-friendly requirements. This trend is expected to further accelerate the adoption of carbon steel in emerging machinery applications, boosting overall market dynamics.

Structural Steel (Dominant) vs. Automotive Components (Emerging)

Structural Steel is the cornerstone of the US carbon steel market, serving critical functions in construction, infrastructure, and building projects. Its inherent strength and versatility make it the preferred choice for structural applications. In contrast, Automotive Components represent an emerging segment that is gaining traction due to the growing automotive industry focusing on lightweight and efficient materials. Automotive applications are evolving as manufacturers drive innovation to enhance vehicle performance and fuel efficiency, ultimately leading to increased use of advanced carbon steel grades. As these segments evolve, Structural Steel remains dominant in terms of volume, while Automotive Components are carving out a significant niche by incorporating advanced designs and materials, thereby contributing to expanding market opportunities.

By Product Type: Hot Rolled Steel (Largest) vs. Cold Rolled Steel (Fastest-Growing)

In the US carbon steel market, hot rolled steel constitutes the largest share due to its widespread use in various applications, particularly in construction and manufacturing. Cold rolled steel, while not the largest, is gaining traction due to its superior surface finish and strength, catering primarily to the automotive and appliance industries. The segment distribution clearly shows a preference for hot rolled steel's versatility and cost-effectiveness, while cold rolled steel continues to carve out a significant niche.

Carbon Steel Plates (Dominant) vs. Carbon Steel Bars (Emerging)

Carbon steel plates are currently the dominant force in the US carbon steel market, primarily due to their applications in heavy manufacturing, shipbuilding, and structural components. Their durability and flexibility make them indispensable across various sectors. On the other hand, carbon steel bars represent an emerging segment, experiencing growth driven by increased demand in construction and infrastructure projects. Although bars are smaller in market share, their robust properties and rising use in fabrication processes position them as a valuable player with potential for significant expansion.

Get more detailed insights about US Carbon Steel Market

Key Players and Competitive Insights

The carbon steel market is currently characterized by a competitive landscape that is both dynamic and multifaceted. Key growth drivers include increasing demand from the construction and automotive sectors, alongside a push towards sustainability and innovation. Major players such as Nucor Corporation (US), United States Steel Corporation (US), and Steel Dynamics, Inc. (US) are strategically positioned to leverage these trends. Nucor Corporation (US) focuses on sustainable steel production through electric arc furnaces, while United States Steel Corporation (US) emphasizes digital transformation and operational efficiency. Steel Dynamics, Inc. (US) is expanding its footprint through strategic acquisitions and investments in advanced manufacturing technologies, collectively shaping a competitive environment that prioritizes innovation and sustainability.

In terms of business tactics, companies are increasingly localizing manufacturing to reduce lead times and enhance supply chain resilience. The market structure appears moderately fragmented, with several key players exerting considerable influence. This fragmentation allows for a variety of competitive strategies, as companies seek to differentiate themselves through unique value propositions and operational efficiencies.

In November 2025, Nucor Corporation (US) announced a significant investment in a new electric arc furnace facility in Texas, aimed at increasing its production capacity by 1 million tons annually. This strategic move not only enhances Nucor's operational capabilities but also aligns with its commitment to sustainability by reducing carbon emissions associated with traditional steelmaking processes. The investment is expected to bolster Nucor's competitive edge in the market, particularly as demand for green steel continues to rise.

In October 2025, United States Steel Corporation (US) unveiled a partnership with a leading technology firm to implement AI-driven analytics across its production facilities. This initiative is designed to optimize manufacturing processes and improve product quality. By integrating advanced technologies, United States Steel Corporation (US) aims to enhance its operational efficiency and reduce costs, positioning itself favorably against competitors in an increasingly tech-driven market.

In September 2025, Steel Dynamics, Inc. (US) completed the acquisition of a regional steel mill, which is expected to expand its market share and enhance its production capabilities. This acquisition reflects Steel Dynamics' strategy to consolidate its position in the market while also diversifying its product offerings. The move is likely to provide the company with a competitive advantage as it seeks to meet the growing demand for carbon steel in various sectors.

As of December 2025, current competitive trends in the carbon steel market are heavily influenced by digitalization, sustainability initiatives, and the integration of AI technologies. Strategic alliances are becoming increasingly important, as companies collaborate to enhance their technological capabilities and market reach. Looking ahead, competitive differentiation is expected to evolve, with a notable shift from price-based competition towards innovation, technology adoption, and supply chain reliability. This transition underscores the importance of adaptability and forward-thinking strategies in navigating the complexities of the carbon steel market.

Key Companies in the US Carbon Steel Market market include

Industry Developments

Recent developments in the US Carbon Steel Market have shown significant growth, with companies like Nucor Corporation and Steel Dynamics Inc leading the charge in production efficiency and innovation. The market valuation for these companies has been positively impacted by rising infrastructure expenditures and increased demand for carbon steel products. In October 2023, ClevelandCliffs Inc announced the acquisition of a steel manufacturing facility aimed at expanding its production capabilities, enhancing its competitiveness in the market. Earlier, in June 2023, AK Steel Holding Corporation leveraged joint ventures to bolster its market stance amid increasing tariffs on imports.

A notable event in 2022 was the merger between United States Steel Corporation and a key player in the industry to expand operational footprint and resource accessibility. Meanwhile, Carpenter Technology Corporation and Commercial Metals Company continue to invest heavily in Research and Development to innovate their processes and products. These strategic initiatives are essential as the US government pushes for sustainable manufacturing practices and increased domestic production to meet both current and future steel demands. The market dynamics are shifting towards eco-friendly and efficient manufacturing methods, necessitating adaptation from all key players in the sector.

Future Outlook

US Carbon Steel Market Future Outlook

The US carbon steel market is projected to grow at a 4.2% CAGR from 2024 to 2035, driven by infrastructure investments, automotive demand, and energy sector expansion.

New opportunities lie in:

  • Investment in advanced manufacturing technologies for efficiency gains.
  • Development of sustainable carbon steel products to meet regulatory demands.
  • Expansion into emerging markets to capture new customer bases.

By 2035, the US carbon steel market is expected to be robust, driven by innovation and strategic investments.

Market Segmentation

US Carbon Steel Market End Use Outlook

  • Structural Steel
  • Machinery
  • Pipelines
  • Automotive Components
  • Railway

US Carbon Steel Market Application Outlook

  • Construction
  • Automotive
  • Manufacturing
  • Energy
  • Shipbuilding

US Carbon Steel Market Product Type Outlook

  • Hot Rolled Steel
  • Cold Rolled Steel
  • Carbon Steel Plates
  • Carbon Steel Bars
  • Carbon Steel Wire

Report Scope

MARKET SIZE 2024149.19(USD Billion)
MARKET SIZE 2025155.46(USD Billion)
MARKET SIZE 2035234.63(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)4.2% (2024 - 2035)
REPORT COVERAGERevenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR2024
Market Forecast Period2025 - 2035
Historical Data2019 - 2024
Market Forecast UnitsUSD Billion
Key Companies ProfiledNucor Corporation (US), United States Steel Corporation (US), Steel Dynamics, Inc. (US), AK Steel Holding Corporation (US), Commercial Metals Company (US), Cleveland-Cliffs Inc. (US), TimkenSteel Corporation (US), Gerdau Ameristeel Corporation (US)
Segments CoveredApplication, End Use, Product Type
Key Market OpportunitiesAdoption of advanced manufacturing technologies enhances efficiency in the US carbon steel market.
Key Market DynamicsRising demand for sustainable practices drives innovation and competition in the US carbon steel market.
Countries CoveredUS

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FAQs

What is the projected market size of the US Carbon Steel Market in 2024?

The US Carbon Steel Market is expected to be valued at approximately 149.19 billion USD in 2024.

How much is the US Carbon Steel Market expected to grow by 2035?

By 2035, the US Carbon Steel Market is anticipated to reach a valuation of around 234.63 billion USD.

What is the expected CAGR for the US Carbon Steel Market from 2025 to 2035?

The expected compound annual growth rate (CAGR) for the US Carbon Steel Market from 2025 to 2035 is 4.202%.

Which type of carbon steel is projected to have the highest value in 2035?

In 2035, low carbon steel is projected to have the highest value in the US Carbon Steel Market, reaching approximately 106.5 billion USD.

What are the main applications driving the growth of the US Carbon Steel Market?

The growth of the US Carbon Steel Market is driven by applications in construction, automotive, and manufacturing industries.

Who are the key players in the US Carbon Steel Market?

Major players in the US Carbon Steel Market include Steel Dynamics Inc., Nucor Corporation, and United States Steel Corporation, among others.

What is the estimated market size for medium carbon steel in 2024?

The estimated market size for medium carbon steel in 2024 is around 40.0 billion USD.

What challenges does the US Carbon Steel Market face in the coming years?

Challenges in the US Carbon Steel Market include fluctuating raw material prices and increasing competition from alternative materials.

What is the projected market size for high carbon steel by 2035?

The projected market size for high carbon steel by 2035 is expected to be approximately 48.0 billion USD.

How has the global economic scenario affected the US Carbon Steel Market?

The global economic scenario has created uncertainties affecting demand and pricing dynamics in the US Carbon Steel Market.

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