Steel Railway Material Market

The global steel railway material market is expected to see a positive consumption trend with a forecasted CAGR of +1.9% from 2022 to 2030, reaching 17M tons by 2030. In terms of value, the market is projected to grow with an anticipated CAGR of +4.2% during the same period, reaching $21.3B by 2030. China leads in consumption with 40% of the total volume, while Austria and China are the largest exporters. The market also saw growth in production and exports, with iron or steel railway or tramway track construction material dominating both imports and exports.

Market Forecast

Driven by increasing demand for railway or tramway track construction material of iron or steel worldwide, the market is expected to continue an upward consumption trend over the next eight years. Market performance is forecast to retain its current trend pattern, expanding with an anticipated CAGR of +1.9% for the period from 2022 to 2030, which is projected to bring the market volume to 17M tons by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +4.2% for the period from 2022 to 2030, which is projected to bring the market value to $21.3B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Railway or Tramway Track Construction Material of Iron or Steel

In 2022, approx. 14M tons of railway or tramway track construction material of iron or steel were consumed worldwide; increasing by 2.3% on 2021. The total consumption volume increased at an average annual rate of +1.3% over the period from 2012 to 2022; the trend pattern remained consistent, with only minor fluctuations being observed in certain years. The most prominent rate of growth was recorded in 2016 when the consumption volume increased by 9.1% against the previous year. Over the period under review, global consumption hit record highs at 15M tons in 2020; however, from 2021 to 2022, consumption remained at a lower figure.

The global steel railway material market size expanded to $15.4B in 2022, rising by 2.4% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Over the period under review, consumption showed a relatively flat trend pattern. Global consumption peaked at $15.7B in 2013; however, from 2014 to 2022, consumption failed to regain momentum.

Consumption By Country

China (5.8M tons) constituted the country with the largest volume of steel railway material consumption, accounting for 40% of total volume. Moreover, steel railway material consumption in China exceeded the figures recorded by the second-largest consumer, the United States (1.2M tons), fivefold. Russia (1.1M tons) ranked third in terms of total consumption with a 7.8% share.

From 2012 to 2022, the average annual growth rate of volume in China stood at +2.0%. The remaining consuming countries recorded the following average annual rates of consumption growth: the United States (+0.2% per year) and Russia (+2.5% per year).

In value terms, China ($5.2B) led the market, alone. The second position in the ranking was held by the United States ($1.6B). It was followed by Russia.

In China, the steel railway material market increased at an average annual rate of +1.4% over the period from 2012-2022. In the other countries, the average annual rates were as follows: the United States (+0.5% per year) and Russia (+5.1% per year).

The countries with the highest levels of steel railway material per capita consumption in 2022 were Russia (7.8 kg per person), Poland (6.9 kg per person) and Canada (6 kg per person).

From 2012 to 2022, the most notable rate of growth in terms of consumption, amongst the key consuming countries, was attained by Italy (with a CAGR of +14.7%), while consumption for the other global leaders experienced more modest paces of growth.

Production

World Production of Railway or Tramway Track Construction Material of Iron or Steel

In 2022, global steel railway material production was estimated at 14M tons, with an increase of 2.3% compared with the previous year. The total output volume increased at an average annual rate of +1.2% from 2012 to 2022; the trend pattern remained consistent, with only minor fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2013 when the production volume increased by 7.3%. Global production peaked at 15M tons in 2020; however, from 2021 to 2022, production failed to regain momentum.

In value terms, steel railway material production rose to $15.3B in 2022 estimated in export price. In general, production saw modest growth. The pace of growth was the most pronounced in 2018 with an increase of 14% against the previous year. Global production peaked in 2022 and is expected to retain growth in the near future.

Production By Country

China (6.2M tons) constituted the country with the largest volume of steel railway material production, accounting for 43% of total volume. Moreover, steel railway material production in China exceeded the figures recorded by the second-largest producer, the United States (1.3M tons), fivefold. The third position in this ranking was taken by Russia (1.2M tons), with an 8.3% share.

In China, steel railway material production increased at an average annual rate of +1.9% over the period from 2012-2022. The remaining producing countries recorded the following average annual rates of production growth: the United States (+2.2% per year) and Russia (+3.3% per year).

Imports

World Imports of Railway or Tramway Track Construction Material of Iron or Steel

In 2022, approx. 2.9M tons of railway or tramway track construction material of iron or steel were imported worldwide; reducing by -1.9% compared with the year before. In general, imports showed a slight decline. The most prominent rate of growth was recorded in 2015 when imports increased by 10%. As a result, imports attained the peak of 4.1M tons. From 2016 to 2022, the growth of global imports remained at a somewhat lower figure.

In value terms, steel railway material imports rose notably to $3.9B in 2022. Over the period under review, imports recorded a mild descent. Over the period under review, global imports hit record highs at $4.8B in 2013; however, from 2014 to 2022, imports stood at a somewhat lower figure.

Imports By Country

In 2022, Germany (423K tons), followed by Canada (251K tons) and the United States (149K tons) represented the largest importers of railway or tramway track construction material of iron or steel, together generating 28% of total imports. Italy (127K tons), France (124K tons), Brazil (122K tons), Mexico (105K tons), Switzerland (76K tons), Belgium (72K tons), Sweden (71K tons), Taiwan (Chinese) (68K tons), Poland (62K tons) and Australia (58K tons) followed a long way behind the leaders.

From 2012 to 2022, the biggest increases were recorded for Italy (with a CAGR of +19.2%), while purchases for the other global leaders experienced more modest paces of growth.

In value terms, Germany ($443M), Canada ($306M) and the United States ($189M) constituted the countries with the highest levels of imports in 2022, with a combined 24% share of global imports. Italy, Brazil, Switzerland, Mexico, Sweden, Belgium, France, Poland, Australia and Taiwan (Chinese) lagged somewhat behind, together comprising a further 29%.

In terms of the main importing countries, Italy, with a CAGR of +14.3%, saw the highest growth rate of the value of imports, over the period under review, while purchases for the other global leaders experienced more modest paces of growth.

Imports By Type

In 2022, iron or steel, railway or tramway track construction material; rails (2.3M tons) represented the main type of railway or tramway track construction material of iron or steel, generating 79% of total imports. It was distantly followed by iron or steel, railway or tramway track construction material; n.e.s. in heading no. 7302 (373K tons), committing a 13% share of total imports. The following types - iron or steel, railway or tramway track construction material; switch blades, crossing frogs, point rods and other crossing pieces (127K tons) and iron or steel, railway or tramway track construction material; fish-plates and sole plates (118K tons) - each finished at an 8.4% share of total imports.

From 2012 to 2022, average annual rates of growth with regard to iron or steel, railway or tramway track construction material; rails imports of stood at -2.2%. At the same time, iron or steel, railway or tramway track construction material; switch blades, crossing frogs, point rods and other crossing pieces (+1.1%) displayed positive paces of growth. Moreover, iron or steel, railway or tramway track construction material; switch blades, crossing frogs, point rods and other crossing pieces emerged as the fastest-growing type imported in the world, with a CAGR of +1.1% from 2012-2022. Iron or steel, railway or tramway track construction material; n.e.s. in heading no. 7302 experienced a relatively flat trend pattern. By contrast, iron or steel, railway or tramway track construction material; fish-plates and sole plates (-3.3%) illustrated a downward trend over the same period. Iron or steel, railway or tramway track construction material; n.e.s. in heading no. 7302 (+2.8 p.p.) significantly strengthened its position in terms of the global imports, while iron or steel, railway or tramway track construction material; rails saw its share reduced by -3.2% from 2012 to 2022, respectively. The shares of the other products remained relatively stable throughout the analyzed period.

In value terms, iron or steel, railway or tramway track construction material; rails ($2.5B) constitutes the largest type of railway or tramway track construction material of iron or steel imported worldwide, comprising 63% of global imports. The second position in the ranking was held by iron or steel, railway or tramway track construction material; n.e.s. in heading no. 7302 ($643M), with a 16% share of global imports. It was followed by iron or steel, railway or tramway track construction material; switch blades, crossing frogs, point rods and other crossing pieces, with a 14% share.

From 2012 to 2022, the average annual growth rate of the value of iron or steel, railway or tramway track construction material; rails imports amounted to -2.5%. For the other products, the average annual rates were as follows: iron or steel, railway or tramway track construction material; n.e.s. in heading no. 7302 (-0.6% per year) and iron or steel, railway or tramway track construction material; switch blades, crossing frogs, point rods and other crossing pieces (+0.6% per year).

Import Prices By Type

The average steel railway material import price stood at $1,356 per ton in 2022, picking up by 12% against the previous year. In general, the import price saw a relatively flat trend pattern. As a result, import price attained the peak level and is likely to continue growth in the immediate term.

There were significant differences in the average prices amongst the major imported products. In 2022, the product with the highest price was iron or steel, railway or tramway track construction material; switch blades, crossing frogs, point rods and other crossing pieces ($4,410 per ton), while the price for iron or steel, railway or tramway track construction material; rails ($1,094 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by iron or steel, railway or tramway track construction material; fish-plates and sole plates (+3.1%), while the other products experienced a decline in the import price figures.

Import Prices By Country

The average steel railway material import price stood at $1,356 per ton in 2022, with an increase of 12% against the previous year. In general, the import price recorded a relatively flat trend pattern. As a result, import price reached the peak level and is likely to continue growth in the immediate term.

There were significant differences in the average prices amongst the major importing countries. In 2022, amid the top importers, the country with the highest price was Switzerland ($1,666 per ton), while France ($866 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Poland (+3.2%), while the other global leaders experienced more modest paces of growth.

Exports

World Exports of Railway or Tramway Track Construction Material of Iron or Steel

Global steel railway material exports dropped to 2.8M tons in 2022, waning by -1.9% against the previous year. Overall, exports showed a pronounced decrease. The growth pace was the most rapid in 2021 when exports increased by 8.5%. Over the period under review, the global exports reached the peak figure at 3.8M tons in 2015; however, from 2016 to 2022, the exports stood at a somewhat lower figure.

In value terms, steel railway material exports stood at $3.9B in 2022. In general, exports saw a mild slump. The pace of growth was the most pronounced in 2021 with an increase of 18%. The global exports peaked at $4.4B in 2012; however, from 2013 to 2022, the exports stood at a somewhat lower figure.

Exports By Country

Austria (538K tons) and China (476K tons) represented the largest exporters of railway or tramway track construction material of iron or steel in 2022, reaching near 19% and 17% of total exports, respectively. Japan (275K tons) took the next position in the ranking, followed by the Czech Republic (235K tons), Spain (230K tons), the United States (211K tons), Poland (194K tons) and France (128K tons). All these countries together held near 45% share of total exports.

From 2012 to 2022, the biggest increases were recorded for France (with a CAGR of +33.4%), while shipments for the other global leaders experienced more modest paces of growth.

In value terms, the largest steel railway material supplying countries worldwide were Austria ($642M), China ($558M) and the United States ($326M), with a combined 39% share of global exports. Japan, Spain, Poland, the Czech Republic and France lagged somewhat behind, together accounting for a further 32%.

Among the main exporting countries, France, with a CAGR of +16.8%, recorded the highest rates of growth with regard to the value of exports, over the period under review, while shipments for the other global leaders experienced more modest paces of growth.

Exports By Type

Iron or steel, railway or tramway track construction material; rails dominates exports structure, accounting for 2.4M tons, which was near 85% of total exports in 2022. Iron or steel, railway or tramway track construction material; n.e.s. in heading no. 7302 (192K tons) ranks second in terms of the total exports with a 6.8% share, followed by iron or steel, railway or tramway track construction material; switch blades, crossing frogs, point rods and other crossing pieces (5%). Iron or steel, railway or tramway track construction material; fish-plates and sole plates (101K tons) followed a long way behind the leaders.

Exports of iron or steel, railway or tramway track construction material; rails decreased at an average annual rate of -2.2% from 2012 to 2022. At the same time, iron or steel, railway or tramway track construction material; switch blades, crossing frogs, point rods and other crossing pieces (+2.6%) displayed positive paces of growth. Moreover, iron or steel, railway or tramway track construction material; switch blades, crossing frogs, point rods and other crossing pieces emerged as the fastest-growing type exported in the world, with a CAGR of +2.6% from 2012-2022. By contrast, iron or steel, railway or tramway track construction material; fish-plates and sole plates (-1.4%) and iron or steel, railway or tramway track construction material; n.e.s. in heading no. 7302 (-3.2%) illustrated a downward trend over the same period. From 2012 to 2022, the share of iron or steel, railway or tramway track construction material; switch blades, crossing frogs, point rods and other crossing pieces increased by +1.9 percentage points, while the shares of the other products remained relatively stable throughout the analyzed period.

In value terms, iron or steel, railway or tramway track construction material; rails ($2.6B) remains the largest type of railway or tramway track construction material of iron or steel supplied worldwide, comprising 66% of global exports. The second position in the ranking was held by iron or steel, railway or tramway track construction material; switch blades, crossing frogs, point rods and other crossing pieces ($606M), with a 16% share of global exports. It was followed by iron or steel, railway or tramway track construction material; n.e.s. in heading no. 7302, with a 13% share.

For iron or steel, railway or tramway track construction material; rails, exports declined by an average annual rate of -2.0% over the period from 2012-2022. With regard to the other exported products, the following average annual rates of growth were recorded: iron or steel, railway or tramway track construction material; switch blades, crossing frogs, point rods and other crossing pieces (+1.8% per year) and iron or steel, railway or tramway track construction material; n.e.s. in heading no. 7302 (-0.8% per year).

Export Prices By Type

In 2022, the average steel railway material export price amounted to $1,363 per ton, surging by 14% against the previous year. In general, the export price showed a relatively flat trend pattern. As a result, the export price reached the peak level and is likely to continue growth in the immediate term.

Prices varied noticeably by the product type; the product with the highest price was iron or steel, railway or tramway track construction material; switch blades, crossing frogs, point rods and other crossing pieces ($4,259 per ton), while the average price for exports of iron or steel, railway or tramway track construction material; rails ($1,065 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by iron or steel, railway or tramway track construction material; fish-plates and sole plates (+2.8%), while the other products experienced more modest paces of growth.

Export Prices By Country

The average steel railway material export price stood at $1,363 per ton in 2022, growing by 14% against the previous year. In general, the export price recorded a relatively flat trend pattern. As a result, the export price attained the peak level and is likely to continue growth in the immediate term.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was the United States ($1,547 per ton), while the Czech Republic ($889 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by China (+2.0%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform