Ferrovanadium Alloy Market Size Report, Industry Share, Analysis, Growth, Forecasts 2023 - 2030

Ferrovanadium Alloy Industry Prospective:

The global ferrovanadium alloy market size was evaluated at $4 billion in 2022 and is slated to hit $8 billion by the end of 2030 with a CAGR of nearly 5.7% between 2023 and 2030.

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Ferrovanadium Alloy Market: Overview

Ferrovanadium is an alloy combining vanadium and iron with vanadium content ranging from 35% to 85%. The production of alloy can result in a grayish silver crystalline solid which can be crushed into powdered form referred to as ferrovanadium dust. Reportedly, ferrovanadium is a hardener, anticorrosive, and strengthening additive used for steels such as tool sheets, ferrous-based items, and high-strength low–alloy steel. Moreover, ferrovanadium is utilized as an additive for improving the ferrous alloy qualities.   

Key Insights

• As per the analysis shared by our research analyst, the global ferrovanadium alloy market is projected to expand annually at the annual growth rate of around 5.7% over the forecast timespan (2023-2030)
• In terms of revenue, the global ferrovanadium alloy market size was evaluated at nearly $4 billion in 2022 and is expected to reach $8 billion by 2030.
• The global ferrovanadium alloy market is anticipated to grow rapidly over the forecast timeline owing to surging corrosion resistance to alkaline reagents and hydrochloric and sulphuric acids has translated into huge demand for ferrovanadium alloy.
• In terms of type, the vanadium content: 35%-48% segment is slated to register the highest CAGR over the forecast period.
• Based on application, the automotive & transportation segment is expected to dominate the segmental growth in the upcoming years.
• Region-wise, the European ferrovanadium alloy industry is projected to register the fastest CAGR during the assessment timeline.

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Ferrovanadium Alloy Market: Growth Factors

Escalating product penetration in steel & automotive sectors to boost the global market trends 

Surging corrosion resistance to alkaline reagents and hydrochloric & sulfuric acids has translated into huge demand for ferrovanadium alloy, thereby driving the global ferrovanadium alloy market trends. Furthermore, massive product use in enhancing the tensile strength-to-weight ratio of any substance will embellish the growth of the market across the globe. A prominent surge in the use of the product in hand tools such as ratchets, spanners, and screwdrivers will steer the expansion of the market globally.

The large-scale use of ferrovanadium alloy in chemical processing activities will create a huge scope of growth for the global market. In addition to this, escalating demand for processing, drilling, production, transportation, and storage of the oil & gas sector will scale the expansion of the global market. A rise in the demand for pipes for cross-country pipelines and a thriving city gas distribution sector will spearhead the growth of the global market. Product innovations and the establishment of new units are anticipated to contribute majorly to the size of the global market. Citing an instance, in March 2021, Vision Blue Resources, a battery metal investment firm, introduced a $300 million blank check firm in the U.S.  

Ferrovanadium Alloy Market: Restraints

Rise in the costs of raw components to inhibit the global industry expansion over 2023-2030

The growing environmental concerns along with fluctuations in the raw material costs are anticipated to hinder the growth of the global ferrovanadium alloy industry during the forecast timeline. According to the World Steel Association AISBL, in 2020, each ton of steel produced led to the emission of nearly 1.90 tons of carbon dioxide into the atmosphere. Furthermore, nearly 1,870 million tons of steel were produced resulting in total direct emissions of 2.6 billion tons containing about 8% to 10% of anthropogenic carbon dioxide emissions.  

Ferrovanadium Alloy Market: Opportunities

High government focus on strengthening the infrastructure of roadways and highways to generate new growth avenues for the global market 

The huge focus of the government on improving the infrastructure of highways, dams, and bridges is steering the demand for steel, which in turn, is predicted to propel the expansion of the global ferrovanadium alloy market. Ferrovanadium is a key alloy that is mainly used in steel production for enhancing the strength, abrasion resistance, hardness, and ductility of material. For the record, HRIDAY which is an abbreviation of Heritage City Development and Augmentation Yojana and Smart City Mission aiming to launch cutting-edge construction activities in India makes use of ferrovanadium for manufacturing high-strength steel. In addition to this, schemes such as the Boston Harbor Dredging venture and California High-Speed Rail project have helped in enhancing the steel demand, thereby increasing new growth avenues for the global market.    

Ferrovanadium Alloy Market: Challenges

A surge in the import duties of steel products by the EU can pose a huge challenge to the global industry expansion by 2030

The European Union’s CABM (Carbon Border Adjustment Mechanism) has decided to levy nearly 25% to 35% tax on the import of high-carbon products such as iron ore, steel, and cement. Moreover, countries such as India export nearly 27% of iron ore pellets, aluminum products, and steel products to EU countries. Moreover, the tax imposition is likely to come into force for India from 1st January 2026. Hence, such moves can prove to be detrimental to the expansion of the global ferrovanadium alloy industry.  

Ferrovanadium Alloy Market: Segmentation

The ferrovanadium alloy market is sectored into type, application, and region.                               

In type terms, the ferrovanadium alloy market across the globe is segregated into vanadium content: 35%-48%, vanadium content: 48% -60%, and vanadium content: 70%-85% segments. Furthermore, the vanadium content: 35%-48% segment, which acquired nearly half of the global market revenue in 2022, is anticipated to accrue the highest gains over the forecast timeline. The expansion of the segment during 2023-2030 can be due to massive demand for vanadium content: 35%-48% in various end-use sectors.  

Based on the application, the global ferrovanadium alloy industry is sectored into automotive & transportation, aerospace, construction, oil & gas, and others segments. Additionally, the automotive & transportation segment, which acquired a key share of the global industry share in 2022, is predicted to lead the industry growth in the next eight years. The segmental expansion over 2023-2030 can be subject to the escalating demand for the product in hybrid and electric vehicles along with a growing need for hard steel in axle construction. Apart from this, the thriving vehicle manufacturing sector in Germany, Italy, the UK, India, Malaysia, China, Japan, and Thailand will contribute majorly to the product demand in the coming years.  

Furthermore, thriving construction activities have enhanced the penetration of ferrovanadium alloys in the construction segment, thereby assisting the latter in registering the fastest CAGR in 2022. Moreover, the product is used extensively in structural plates and concrete reinforcing bars. In addition to this, ferrovanadium alloy is used in columns and beams for providing structural support to constructions.

Ferrovanadium Alloy Market: Report Scope

Ferrovanadium Alloy Market: Regional Insights

Asia-Pacific is predicted to retain its leading position in the global ferrovanadium alloy market over the forecast timespan

Asia-Pacific, which contributed about 50% of the global ferrovanadium alloy market revenue in 2022, will be a leading region over the forecast timeline. Moreover, the regional market elevation over the coming eight years can be subject to thriving industrial growth and an increase in construction activities owing to a surging population of Asian countries such as India and China. Thriving residential activities in emerging economies are likely to proliferate the expansion of the market in the sub-continent. In addition to this, rise in the crude steel production has translated into a huge demand for ferrovanadium alloy in the sub-continent.

According to the World Steel Association, in August 2023, the crude steel production in Asia & Oceania was 115.7 million tons and a cumulative of 944.8 million tons in the first eight months of 2023. Apart from this, China is a leading producer of crude steel across the globe and produced nearly 77.9 million metric tons of crude steel in December 2022. Furthermore, India, Japan, and Thailand follow China in the manufacture of crude steel as well as steel products.

The European ferrovanadium alloy industry is set to record the fastest CAGR in the next couple of years subject to the presence of giant players in countries such as Russia, the UK, Finland, Switzerland, Denmark, Sweden, Estonia, and France. Moreover, the establishment of new production units of steel manufacturing firms in the continent will contribute significantly towards the regional industry revenue in the forecasting years. For instance, in the first half of 2020, EVRAZ Vanadium, a Russia-based firm, launched an R&D unit in Zug, Switzerland, at group subsidiary East Metals AG. Such moves will contribute lucratively towards the growth of the industry in Europe.  

Ferrovanadium Alloy Market: Competitive Space

The ferrovanadium alloy market profiles key players such as:

• Bear Metallurgical Company
• Hickman
• Atlantic Ltd.
• EVRAZ Vanadium
• AMG Advanced Metallurgical Group N.V.
• Core Metals Group LLC
• Gulf Chemical and Metallurgical Corporation
• Taiyo Koko Co. Ltd.
• Williams & Company
• Jinzhou Guangda Ferroalloy Co. Ltd
• Tremond Metals Corp.
• Woojin Industry Co. Ltd.

The global ferrovanadium alloy market is segmented as follows:

By Type

• Vanadium Content: 35%-48%
• Vanadium Content: 48% -60%
•  Vanadium Content: 70%-85%

By Application

• Automotive & Transportation
• Aerospace
• Construction
• Oil & Gas
• Others

By Region

• North America

  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa