Non-Grain Oriented Electrical Steel Market Size, Trends

Non-Grain Oriented Electrical Steel Market Overview

The Non-Grain Oriented Electrical Steel Market size was valued at USD 12611.4 million in 2024 and is expected to reach USD 16106.31 million by 2033, growing at a CAGR of 2.4% from 2025 to 2033.

Non-Grain Oriented Electrical Steel (NGOES) is a type of electrical steel characterized by its uniform magnetic properties in all directions, making it ideal for applications where the direction of magnetic flux varies. As of 2024, the global NGOES market was estimated at USD 21.10 billion. The Asia Pacific region dominated the market, accounting for over 50% of the global share in 2023. The 0.5 mm thickness segment held a significant share due to its widespread use in large power generators and transformers. The market's growth is driven by increasing demand for energy-efficient electrical equipment and the expansion of the power generation and distribution sector.

Key Findings

Top Driver Reason: Rising demand for energy-efficient electrical devices and renewable energy expansion.

Top Country/Region: Asia Pacific, accounting for over 50% of the global market share in 2023.

Top Segment: The 0.5 mm thickness segment, driven by its use in large power generators and transformers.

Non-Grain Oriented Electrical Steel Market Trends

The NGOES market is witnessing several notable trends. The 0.5 mm segment dominated due to its application in large power generators and transformers. Other segments include 0.35 mm, 0.65 mm, and others. The Asia Pacific region led the market in 2023, with over 50% share, driven by increasing demand for energy-efficient electrical equipment and growth in the power generation and distribution sector. Manufacturers are focusing on developing high-efficiency NGOES to meet the evolving demands of electric motors and transformers used in renewable energy applications. Companies are investing in sustainable steel production, with U.S. Steel's Big River Steel Works setting up new production processes for advanced NGOES.

Non-Grain Oriented Electrical Steel Market Dynamics

DRIVER

Rising demand for energy-efficient electrical devices

The global push towards energy efficiency has led to increased demand for NGOES, essential in manufacturing electric motors, transformers, and other energy-efficient equipment. As industries aim to reduce carbon footprints, the need for efficient electrical machines has surged.

RESTRAINT

Raw material costs and availability

Fluctuating prices and availability of raw materials pose challenges to the NGOES market. Economic volatility and uncertainty can impact production costs and supply chains, hindering market growth.

OPPORTUNITY

Expansion in renewable energy sectors

The growth of renewable energy sources like wind and solar power necessitates efficient electrical components. NGOES plays a crucial role in manufacturing components for renewable energy applications, presenting significant market opportunities.

CHALLENGE

Technological advancements and competition

Rapid technological changes require continuous innovation. Manufacturers must invest in research and development to stay competitive, which can be resource-intensive and challenging.

Non-Grain Oriented Electrical Steel Market Segmentation

By Type

Motor: NGOES is extensively used in electric motors due to its uniform magnetic properties. The increasing adoption of electric vehicles and industrial automation has boosted demand in this segment.
Household Appliances: Appliances like refrigerators, washing machines, and air conditioners utilize NGOES for efficient operation. The growing consumer electronics market contributes to this segment's growth.
Power Generator: NGOES is vital in power generators, ensuring efficient energy conversion. The expansion of power infrastructure globally has led to increased demand in this segment.
Automotive: The automotive sector uses NGOES in various components, including electric power steering and hybrid vehicle motors. The shift towards electric mobility has amplified this demand.
Others: This includes applications in industrial machinery and specialized equipment, where NGOES's properties are beneficial.

By Application

Fully Processed: These steels are ready for use without additional processing, suitable for specific applications requiring precise magnetic properties.
Semi-processed: These require further processing to achieve desired properties, offering flexibility for manufacturers to tailor the steel to specific needs.

Non-Grain Oriented Electrical Steel Market Regional Outlook

The Non-Grain Oriented Electrical Steel (NGOES) market demonstrates varied performance across different regions due to differences in industrialization levels, energy infrastructure, and government policy frameworks. The global demand for energy-efficient electrical components is pushing manufacturers to optimize production capacities and cater to regional market needs effectively.

North America

The North American NGOES market continues to grow steadily, driven by strong demand for electric vehicles (EVs), renewable energy projects, and modernization of grid infrastructure. The United States has ramped up investments in wind energy and smart grid systems, which rely heavily on efficient transformers and electric motors manufactured using NGOES. In 2023, over 12 million metric tons of electrical steel were consumed in North America, with more than 60% attributed to NGOES used in motor applications and home appliances. The shift toward electric mobility has led U.S.-based manufacturers to invest in local NGOES production, reducing dependency on imported steel. The Biden administration’s Inflation Reduction Act has also promoted the domestic production of green energy systems, further boosting NGOES demand.

Europe

Europe is a mature market for NGOES, driven by stringent energy efficiency regulations and a strong presence of automotive manufacturers. Countries like Germany, France, and the UK are rapidly transitioning to clean energy solutions. In 2023, Germany accounted for over 30% of Europe's NGOES consumption, driven by the expansion of its electric vehicle and industrial automation sectors. The region also emphasizes high-frequency NGOES used in fast-charging EV infrastructure and next-generation power transformers. Additionally, the European Union’s Green Deal has spurred public and private investments in decarbonized manufacturing processes, leading to the development of ultra-thin NGOES with reduced core losses. More than 8,500 SMEs across Europe are engaged in applications requiring NGOES, including robotics, data centers, and HVAC systems.

Asia-Pacific

Asia-Pacific dominates the global NGOES market with over 50% share in 2023, led by China, Japan, South Korea, and India. China alone contributed more than 30 million metric tons of NGOES production, making it the largest global supplier. Rapid urbanization, electrification, and the proliferation of electric mobility are major contributors to this region's growth. India’s power sector has seen massive investments in distribution infrastructure, increasing demand for transformer-grade NGOES. Japan, with its advanced consumer electronics and electric vehicle industries, maintains high consumption of precision NGOES grades with low magnetic losses. South Korea continues to lead in R&D, with POSCO and Hyundai Steel developing thinner and more efficient electrical steels for high-speed motors. In 2024, the Asia-Pacific market added over 5,000 new end-use projects utilizing NGOES.

Middle East & Africa

The NGOES market in the Middle East & Africa is emerging, fueled by increasing investments in electricity access and renewable energy infrastructure. According to 2024 data, the region consumed approximately 1.4 million metric tons of NGOES, with key demand coming from the UAE, Saudi Arabia, and South Africa. Iran, which is rapidly upgrading its power grid and industrial capacity, is forecasted to witness substantial growth in NGOES demand. The development of solar and wind farms across the region requires efficient generators and transformers using NGOES, particularly in fully processed formats. The African Development Bank has supported electrification projects in over 15 sub-Saharan nations, leading to increased adoption of durable and low-loss NGOES materials in rural electrification programs. Moreover, multinational companies are setting up localized manufacturing units to reduce import reliance and comply with local content requirements.

List of Top Non-Grain Oriented Electrical Steel Market Companies

Baowu
Shougang Group
TISCO
Nippon Steel
Ansteel
Posco
JFE Steel
Thyssen Krupp
Voestalpine
ArcelorMittal
NLMK
CSC
AK Steel
TATA Steel
BX Steel

Top Two Companies with Highest Market Shares

Baowu: A leading global manufacturer, Baowu has a significant presence in the NGOES market, contributing to over 68% of China's market share.
Shougang Group: Another major player, Shougang Group, is instrumental in supplying NGOES, especially in the Asia-Pacific region.

Investment Analysis and Opportunities

Investments in the NGOES market are focusing on capacity expansion, technological advancements, and sustainability. For instance, Tata Steel announced the expansion of its production capacity for NGOES in 2024, aiming to meet the increasing demand from renewable energy and power transmission sectors. Similarly, POSCO introduced a new range of high-efficiency NGOES to enhance the performance of electric motors and transformers used in renewable energy applications. The Asia-Pacific region, with its rapid industrialization and urbanization, presents significant investment opportunities. The demand for energy-efficient appliances and electric vehicles is driving the need for advanced NGOES. Moreover, government initiatives promoting renewable energy sources further bolster market prospects. In North America and Europe, investments are directed towards research and development to innovate and improve NGOES properties, ensuring competitiveness in the global market. The focus on reducing carbon emissions and enhancing energy efficiency aligns with the increased adoption of NGOES in various applications.

New Product Development

Innovation in NGOES is centered around improving magnetic properties, reducing energy losses, and enhancing performance in high-frequency applications. In 2024, POSCO introduced a new range of high-efficiency NGOES aimed at enhancing the performance of electric motors and transformers used in renewable energy applications. These developments cater to the growing demand for efficient and compact electrical components in sectors like automotive, renewable energy, and consumer electronics. Manufacturers are also exploring the use of advanced manufacturing techniques and materials to produce NGOES with superior properties. The integration of AI and machine learning in production processes is being investigated to optimize product quality and performance.

Five Recent Developments

Tata Steel's Capacity Expansion: In 2024, Tata Steel announced the expansion of its NGOES production capacity to meet the rising demand from renewable energy and power transmission sectors.
POSCO's New Product Launch: POSCO introduced a new range of high-efficiency NGOES in 2024, targeting enhanced performance in electric motors and transformers for renewable energy applications.
S. Steel's Sustainable Production: U.S. Steel's Big River Steel Works set up new production processes for advanced NGOES, focusing on sustainability and efficiency.
Asia-Pacific Market Growth: The Asia-Pacific region accounted for over 50% of the global NGOES market share in 2023, driven by increased demand for energy-efficient electrical equipment.
Middle East & Africa Market Projection: The NGOES market in the Middle East & Africa is expected to reach USD 1,347.2 million by 2030, with Iran projected to register the highest CAGR from 2025 to 2030.

Report Coverage of Non-Grain Oriented Electrical Steel Market

The report on the Non-Grain Oriented Electrical Steel (NGOES) market provides a comprehensive analysis of the industry’s current state, technological developments, regional dynamics, and competitive landscape. It covers key metrics and segmental breakdowns based on type, application, and region, enabling a detailed understanding of market performance. The scope includes an in-depth examination of five major regions—North America, Europe, Asia-Pacific, the Middle East, and Africa—highlighting market trends and performance across these geographies. For instance, the Asia-Pacific region held more than 50% of the global market share in 2023, with China alone accounting for over 30 million metric tons of NGOES production. The report also details regional consumption patterns, such as Germany’s 30% share in Europe and North America’s consumption exceeding 12 million metric tons annually. The coverage includes technological innovations, product development strategies, and the adoption of NGOES across key sectors like automotive, household appliances, power generation, and industrial motors. Fully processed and semi-processed variants are separately examined to evaluate their growing relevance in applications that demand different levels of magnetic performance. The type segmentation is assessed based on consumption volumes across motor applications, home appliances, automotive systems, and industrial power generators. For instance, in 2023, electric motors accounted for a dominant share in total NGOES usage globally due to rapid electrification trends and increased demand for energy-efficient motor systems. Furthermore, the report outlines current investment activities, including capacity expansion projects, facility modernization, and sustainability initiatives by global steel manufacturers. Leading companies such as Baowu, Shougang Group, TISCO, and POSCO are profiled with emphasis on their strategic approaches, production capabilities, and contribution to regional supply chains. The report tracks five recent developments from 2023–2024 involving product launches, technological upgrades, and regional expansions that have reshaped the market’s competitive environment. It also presents insights into opportunities for growth through advancements in electric mobility, renewable energy systems, and high-frequency power equipment. Overall, the report offers stakeholders—ranging from manufacturers to policy-makers—a data-backed roadmap for navigating the NGOES market, identifying profitable avenues, and adapting to technological and regulatory shifts shaping the global landscape.