Projections show an increase from US$ 17.45 billion in 2024 to US$ 31.91 billion by 2034 at a 6.2 per cent CAGR for the Indian stainless steel market
The India stainless steel market is projected for substantial growth, fuelled by rapid industrialisation, urbanisation and government initiatives such as Make in India, aiming to elevate domestic manufacturing and infrastructure development. Forecasts indicate a significant increase from US$ 17.45 billion in 2024 to US$ 31.91 billion by 2034, achieving a compound annual growth rate (CAGR) of 6.2 per cent over the next decade. This analysis is presented by Future Market Insights (FMI), and published on Access Wire.
“Indian stainless steel market is set to witness robust growth with a projected CAGR of 6.2 per cent, driven by urbanisation, infrastructure expansion and a thriving automotive industry. Government initiatives like ‘Make in India’ are further stimulating demand, positioning stainless steel as a key material across construction and industrial sectors,” says Nikhil Kaitwade, Associate Vice President at FMI.
Key growth drivers
1. Construction industry: The construction sector remains a primary consumer, employing stainless steel for structural components, roofing, and cladding, thanks to its durability and resistance to corrosion.
2. Automotive industry: Increased vehicle production, driven by rising incomes and a growing middle class, has escalated demand for stainless steel, essential in exhaust systems, fuel tanks and various engine components.
3. Industrial Expansion: Rising demand across sectors such as chemical processing, oil and gas and power generation has led to higher consumption of stainless steel for machinery and equipment.
4. Government initiatives: Supportive policies, including investments in infrastructure and domestic manufacturing, are further stimulating demand for stainless steel.
Market composition
Austenitic stainless steel, valued for its versatility, dominates the market with approximately 72.7 per cent of volume share in 2024. Western India is set to maintain regional dominance, projected to hold about 43 per cent of the market by 2034, attributed to its strong industrial infrastructure and proximity to raw materials. Segmentation by type includes austenitic, ferritic, duplex, martensitic and precipitation-hardening stainless steels.
Competitive landscape
The competitive landscape in India’s stainless steel market features key players focusing on product innovation, capacity expansion, and strategic collaborations. Major companies like Jindal Stainless Limited, Tata Steel Limited and Steel Authority of India Limited are expanding their production capacities and adopting advanced manufacturing technologies to meet rising demand. Investments in sustainable practices, such as energy-efficient processes and recycling, are increasingly prioritised across the industry.
Regional analysis and future outlook
While Western India leads with an estimated CAGR of 6.2 per cent, Northern, Southern and Eastern regions are also poised for growth, each contributing significantly to the overall market expansion. The construction, automotive, and consumer goods sectors are likely to remain the largest end-users.
Industry experts project the market’s growth trajectory to continue, supported by urbanisation, automotive industry expansion and a rise in industrial machinery demand.
