by Market Overview:
Welding consumables are critical materials used in various industrial welding processes to join similar as well as dissimilar metal surfaces. Welding consumables include stick electrodes, solid wires, flux-cored wires, and specialty welding products used in arc welding, resistance welding, andother allied processes. Theyfind wide usein manufacturing, automotive, shipbuilding, oil & gas, construction, and other metal fabrication industries. Growing automotive production and ongoing infrastructure projects are expected to drive demand for welding consumables over the forecast period.
Market Dynamics:
The Welding Consumables Market Share is expected to witness significant growth owing to rising automotive production around the world. According to International Organization of Motor Vehicle Manufacturers, global passenger car production reached over 73.5 million units in 2018. Growing demand for vehicles to cater to rising transportation needs is benefiting the automotive sector. Since welding consumables are extensively used during vehicle assembly, their demand is projected to grow in tandem with automobile manufacturing activities. Furthermore, ongoing infrastructure development projects in both developed and developing countries are creating opportunities for usage of welding consumables in construction applications such as bridges, roads, railways, and buildings. Major Asian countries such as China and India are heavily investing in expanding and modernizing infrastructure, thereby propelling the welding consumables market growth. In addition, increasing maintenance and repair work of aging infrastructure and industrial equipment also contribute to steady demand for welding consumables.
Segment Analysis
The welding consumables market consists of two key segments – stick electrodes and solid wires. Stick electrodes dominate the market, accounting for over 40% of total sales. This is because stick electrodes are easier to use for manual welding processes which are common in various end-use industries such as construction, shipbuilding and automotive. Stick electrodes do not require external shielding gas and can be used in all positions. However, solid wires are gaining popularity due to better weld quality and growing adoption of advanced semi-automatic and automatic welding technologies.
PEST Analysis
Political: Trade policies influencing export-import of welding consumables between nations. For example, the ongoing US-China trade war.
Economic: Growth of end-use industries driving demand for welding consumables. A global economic slowdown can impact the market negatively.
Social: Occupational health and safety regulations related to welding. Development of new welding technologies and techniques enhancing quality and productivity.
Technological: Continuous advancement in welding technologies like MIG/MAG, TIG and laser welding replacing traditional welding. Adoption of automation, robotics and IIoT solutions.
Key Takeaways
The global Welding Consumables market is expected to witness high growth, exhibiting CAGR of 5.8% over the forecast period, due to increasing investments in infrastructure and growing automotive production. Asia Pacific dominates the market, accounting for over 40% of the global demand in 2023. This is driven by China which accounts for over 30% consumption owing to the country’s large industrial and construction sectors.
North America is another major welding consumables market led by the US. Mandates regarding pipeline infrastructure development and boom in shale oil and gas sectors are driving regional growth. Furthermore, recovery in the manufacturing industry is positively impacting demand.
Key players operating in the welding consumables market are Voestalpine AG, Arcon Welding Equipment, Colfax Corporation, Kemppi Oy, The Lincoln Electric Company, Tianjin Bridge Welding Materials Co., Ltd., Air Liquide, Fronius International GmbH, Hyundai Welding Co., Ltd., Denyo Co., Ltd., Obara Corporation, Illinois Tool Works Inc., Panasonic Corporation, and others. Stick electrodes continue to be the major revenue generator for these companies. However, growing complexity of welds is driving demand for advanced consumables like solid wires and fluxes. Key players are focused on developing innovative welding solutions to capitalize on this opportunity and expand market share.
Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
