Australia’s steel sector is being shaped by sustained manufacturing demand alongside infrastructure expansion, with a new report from IMARC Group indicating moderate but steady growth through to 2034.
According to the firm’s “Australia Steel Market Size, Share, Trends and Forecast 2026–2034” report, the market was valued at about USD 20.1 billion in 2025 and is projected to reach roughly USD 26.6 billion by 2034, reflecting a compound annual growth rate of 3.03%.
IMARC said the outlook is underpinned by continued activity across construction, infrastructure, and manufacturing sectors, as well as government investment in transport networks, renewable energy and defence.
The report noted that these factors are reinforcing demand for steel products used in large-scale projects and industrial applications.
The report highlighted that manufacturing remains a key end-use segment, particularly in automotive production and renewable energy systems, where flat steel products are widely used due to their strength and versatility. Flat steel accounted for more than half of the market in 2025, reflecting its broad industrial applications.
Structural steel was identified as the leading product category, supported by ongoing building and civil infrastructure development across urban and regional areas.
IMARC noted that construction continues to represent the largest application segment, accounting for over 40% of demand.
The firm also pointed to shifts within the manufacturing base, including the adoption of lower-emission production technologies such as electric arc furnaces and hydrogen-based methods, as the industry responds to decarbonisation pressures.
At the same time, the report acknowledged challenges facing the sector, including competition from lower-cost imports, global price volatility, supply chain disruptions and labour shortages affecting fabrication and construction capacity.
IMARC said the market remains competitive, with domestic producers and international players differentiating through efficiency, sustainability and proximity to end markets, particularly in construction and manufacturing supply chains.
