Acid Pickling Roll Market Set to Witness High Growth Owing to Increasing Steel Production

 

The global acid pickling roll market is highly dependent on the steel manufacturing industry. Acid pickling rolls are used in the pickling process in steel mills to descale or clean hot rolled steel sheets or coils by removing rust and scale formed during steel production. Rising steel production, capacity additions at steel mills, and growing spending on manufacturing equipment in developing nations are anticipated to boost demand for acid pickling rolls.

The Global Acid Pickling Roll Market is estimated to be valued at US$ 1,167 Mn in 2024 and is expected to exhibit a CAGR of 3.5% over the forecast period 2023 to 2030.

Key Takeaways

Key players operating in the acid pickling roll market are Sandvik AB, Jindal Stainless Ltd., ArcelorMittal, Outokumpu Oyj, AK Steel Holding Corporation, Tata Steel Limited, POSCO, ThyssenKrupp AG, Tenova S.p.A., Andritz AG, CMI Industry Metals Inc., Fives Group, Unison Rolling Technology, Voestalpine AG, Nippon Steel & Sumitomo Metal Corporation. These players are focusing on capacity expansions and new product launches to consolidate their market position.

The growing steel production and capacity additions at steel mills globally present significant opportunities for acid pickling roll manufacturers. Steel production increased from 1,867 million tons in 2019 to 1,950 million tons in 2021. The global steel production capacity is projected to grow by 50% and reach over 2.3 billion tons by 2050.

Manufacturers are focusing on expanding their presence in key markets through collaborations with steel producers. For instance, Voestalpine doubled its acid pickling roll capacity at its plant in Donawitz, Austria in 2020. Andritz also undertakes turnkey projects for steel processing equipment including pickling lines globally. The rising steel demand from Asia Pacific and Middle East & Africa is expected to drive the global expansion of key acid pickling roll manufacturers over the forecast period.

Market drivers:

Rising steel production driven by capacity additions at steel mills across major economies such as China, India, USA is a major factor driving the demand for acid pickling rolls. Growing manufacturing sector and investments in infrastructure will further fuel the global steel production.

Market restraints:

Volatility in steel prices affects the capital expenditure plans of steel producers which can negatively impact the acid pickling roll market. Additionally, the high maintenance and replacement costs of acid pickling rolls remain a key challenge for end-use industries.

Segment Analysis

The acid pickling roll market is dominated by the stainless steel segment. Stainless steel accounts for over 60% of the total acid pickling roll market owing to increasing demand from industries like oil & gas, chemical processing, and food processing. Stainless steel requires an acid pickling process to remove scaling and surface impurities formed during hot rolling. This drives the need for specialized acid pickling rolls used in pickling lines that process stainless steel. The carbon steel segment is another major segment and growing steadily attributed to urbanization and construction activity worldwide.

Global Analysis

Asia Pacific region currently dominates the global acid pickling roll market with over 45% share. China, India, Japan, and South Korea are major countries contributing to the region's large size. Low manufacturing costs and presence of a sizeable stainless steel industry have supported market growth in Asia Pacific. Europe is the second largest regional market led by Germany, Italy, and UK. Presence of large process industry players dependent on stainless steel and structural steel has fueled demand. North America is likely to witness higher adoption over the forecast period with the region moving towards self-reliance in steel production.