Canadian Steel Market - Forecast(2025 - 2031)
Canadian Steel Market Overview:
The Canadian Steel Market size is estimated to reach $15.6 Billion by 2031, growing at a CAGR of 2.0% during the forecast period 2025-2031. The Canadian Steel market has been influenced by factors such as technological advancements, sustainability initiatives, and trade policies, including tariffs and import regulations. The shift toward electric arc furnace (EAF) steelmaking and green steel production is shaping the future of the industry, aligning with global efforts to reduce carbon emissions. Massive government investments in infrastructure construction, such as roads, bridges, and railways, are heavily propelling the demand for steel in Canada. Concurrently, the automotive sector is also experiencing a revolution with the transition to electric vehicles (EVs), which is boosting the demand for lightweight, high-strength steel to improve vehicle efficiency and performance.
Moreover, the sector is adopting sustainability and green steel concepts, with increased attention to low-carbon production technologies, including electric arc furnace (EAF) technology, in order to decrease emissions and keep pace with global environmental targets. Another trend shaping the industry is Tariffs and trade wars for instance, in response to the recent U.S. imposition of 25% tariffs on Canadian steel and aluminum, Industry Minister François-Philippe Champagne has directed his department to prioritize investments in projects that predominantly utilize Canadian steel and aluminum. This measure aims to support domestic industries and mitigate the impact of these "unfair and unjustified" tariffs.
Market Snapshot:
Canadian Steel Market - Report Coverage:
The “Canadian Steel Market Report - Forecast (2025-2031)” by IndustryARC, covers an in-depth analysis of the following segments in the Canadian Steel Market.
Key Takeaways:
Carbon Steel is the Largest Segment
Carbon steel holds the largest share in Canada steel industry fueled by its cost-effectiveness, high strength and wide range of applications. It is commonly used in construction, automotive manufacturing, pipelines and heavy machinery and it offers versatility in both structural and functional roles. With ongoing infrastructure projects and energy pipeline expansions, the need for carbon steel in beams, rebar, and tubes is on the rise. In March 2025, the Canadian government introduced new immigration pathways to address labor shortages, securing a steady workforce for ongoing and future projects. Additionally, in April 2025, a $20 million net-zero science center was announced in Thunder Bay, highlighting the continuous investment in infrastructure. The automotive sector, especially with the push toward lighter yet stronger vehicle components, is also embracing high-strength low-alloy carbon steel.
Bar the Largest Segment
Steel bars represent the largest product form in the Canadian steel industry, primarily driven by their extensive use in various industries. Steel bars also known as rebars are essential in construction for reinforcing concrete structures. Steel bars typically range from 6mm to 40mm in diameter, depending on structural requirements. Rebars, round bars, and flat bars are essential in reinforcing concrete structures, bridges, highways and large-scale commercial buildings. In November 2024, the federal government has committed more than $30 million annually over the next 25 years for the rehabilitation of the Québec Bridge. The work will include detailed inspections, structural repairs, steel reinforcement and corrosion protection. The high tensile strength, flexibility in design and cost-efficiency makes the bar form a staple in Canada’s growing infrastructure investments. In addition to construction, bars are widely used in machinery, automotive parts, tools, and mining equipment manufacturing.
Building & Construction is the Largest Segment
The building and construction sector is the largest end-use segment for steel in Canada, supported by the country's expanding infrastructure, residential, and commercial development projects. Steel is integral in framing, roofing, and structural components due to its strength, recyclability, and design flexibility. The Canadian government’s consistent investment in public infrastructure including bridges, transit systems, and green buildings drives robust demand. Energy-efficient building mandates further enhance steel’s appeal in construction. Stainless, carbon and structural steel variants are widely used for their durability and ability to meet LEED and sustainability standards. In March 2025, the Government of Canada unveiled a major housing plan to double the pace of home construction to nearly 500,000 units annually. This initiative will lead to higher demand for steel.
Focus On Infrastructure Drives the Market
This surge is propelled by substantial investments in public infrastructure projects, including the development of transportation networks, energy facilities, and public buildings. These initiatives are significantly boosting the demand for structural steel products. The Investing in Canada Plan, a $180 billion initiative, is funding large-scale developments across transportation, energy, and public services. Notable projects include the Ontario Line Subway, a $10.9 billion transit expansion in Toronto, and the Réseau express métropolitain (REM), a $7 billion automated light rail system in Montreal. In Western Canada, the Trans Mountain Pipeline Expansion aims to enhance energy exports, while the Gordie Howe International Bridge will improve trade between Canada and the U.S. These projects are boosting steel demand, particularly in structural steel and reinforcing bars, essential for durable and sustainable infrastructure
Key Market Players:
Product/Service launches, approvals, patents and events, acquisitions, partnerships, and collaborations are key strategies adopted by players in the Canadian Steel Market. The top 10 companies in this industry are listed below:
1. ArcelorMittal Canada Inc.
2. Nucor Corporation
3. Tata Steel Minerals Canada (TSMC)
4. Algoma Steel Inc.
5. Cleveland-Cliffs Inc.
6. AltaSteel
7. Finkl Steel
8. EVRAZ
9. Samuel, Son & Co.
10. JFE Shoji Power Canada Inc.
Scope of the Report:
Comments
Post a Comment