Welding Materials Market Size, Share, Industry, Forecast and Outlook (2024-2031)

Global Welding Materials Market is segmented By Type (Electrodes & Filler Materials, Fluxes & Wires, Gases) By Technology (Arc Welding, Oxy-Fuel Welding, Resistance Welding, Others) By End-User (Transportation, Construction & Building, Heavy Industries, Others) and By Region (North America, Europe, South America, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2024-2031

Report Overview

Global Welding Material Market reached US$ 13.5 billion in 2022 and is expected to reach US$ 17.3 billion by 2031 growing with a CAGR of 4.6% during the forecast period 2024-2030.

Industrial fabrication and manufacturing operations rely heavily on welding. Welding is a critical component of several industries, including shipbuilding, metalworking, aircraft and equipment. During the forecast period, the expansion of the global welding materials market is expected to be boosted by the rising demand from the aerospace industry and the development of novel filler metals to increase purity.

During the forecast period, the construction and building sector will hold more than one-fourth of the global welding materials market. In methods like gas metal arc welding (GMAW) or metal inert gas (MIG) welding, welding wires are utilised. Depending on the materials being linked, the wires are usually made of carbon steel, stainless steel or aluminum. To enhance the welding process and meet the needs of structural construction, welding wires can be found in a variety of sizes and compositions.

Market Summary

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Market Dynamics

Rising Demand for Lightweight Automotives

Blending metal and plastic to create vehicle structures could make vehicles significantly lighter, stronger, safer and more environmentally friendly. By combining metals and plastics, computer models can make the frames of vehicles and light trucks up to 40% lighter. Among the many benefits of lighter weight is greater effectiveness.

Welding is utilised to combine metals and plastic for lightweight vehicle structures, which is driving the market for welding materials. Automobiles contain multilayer structures that are often held together with adhesives and mechanical fasteners and can be difficult to disassemble for recycling or repair. While welded components, like as battery packs, may be dismantled and reassembled considerably more simply, as well as being lighter, more affordable to produce and simpler to maintain cool.

The Harmful Impact on Environment due to Welding

Shielding gases like carbon dioxide and argon are often used as welding materials during the welding process, which causes a significant amount of greenhouse gases to be generated. As a result, the environment is seriously affected by the release of greenhouse gases. Additionally, a lot of electricity is needed for the cryogenic process that is required to liquefy carbon dioxide and argon. The International Energy Agency estimates that in 2022, global carbon dioxide (CO2) emissions from industrial processes and energy combustion increased by 0.9% or 321 Mt, to reach a new record-high of 36.8 Gt. 

Therefore, a number of governing organizations and entities are enforcing rigorous laws and regulations to reduce petrol emissions in order to limit this rising emission. For instance, the U.S. Environmental Protection Agency (EPA) is implementing regulations under the Clean Air Act to cut down on carbon dioxide emissions and other greenhouse gases entering the atmosphere.

Segment Analysis

The global welding materials market is segmented based on type, technology, end-user and region.

The High Heat Concentration in Arc Welding

During the forecast period, arc welding is anticipated to account for approximately 29.2% of the global welding materials market. It advantages from the application of high heat concentration across a large surface area during the welding process, resulting in deeper penetration and faster welding. It is also the most popular welding process and may be used on a large variety of metal surfaces due to its inexpensive cost.

With good flexibility, the method is utilised to weld metals in a variety of thicknesses. The top market players' ongoing advancements in arc welding technology, including robotic arc welding, are a major driver of the segment's growth. For instance, Han's Robot launched collaborative robots in 2022 to increase arc welding productivity. The expanding adoption of the technology across a variety of applications is anticipated to fuel the global welding materials market.

Source: DataM Intelligence Analysis (2023)

Geographical Share

The Rising Infrastructure Investments in Asia-Pacific

Asia-Pacific is expected to account for more than 1/3rd of the global welding materials market in 2022. The demand for welding materials in Asia-Pacific is driven by an increase in the number of new housing units and large investments in the infrastructure sector. Over 2.2 billion people will live in large cities in Asia-Pacific by 2022, representing roughly two thirds of the world's population, according to Euromonitor International. 

Six out of ten dwellings will be located in urban regions by 2040, owing to a 21% increase in urban households. The Asian Development Bank (ADB) estimates that until 2030, developing nations in the region must invest US$ 1.7 trillion annually in infrastructure in order to sustain their current rate of economic growth, end poverty and combat climate change.

Source: DataM Intelligence Analysis (2023)

Market Keyplayers

The major global players include ESAB, Colfax Corporation, Air Liquide S.A., Air Products & Chemicals, Illinois Tool Works, Linde PLC, Lincoln Electric Holdings, Tianjin Bridge Welding Materials Group, Kobe Steel and HYUNDAI WELDING CO., LTD.

COVID Impact

While many businesses are using remote and hybrid setups to adapt to the constantly shifting economy and COVID-19 regulations, the welding materials industry has encountered difficulties unparalleled by any other sector because their job is mostly site-specific. Since less people were considering buying vehicles at the start of the epidemic and fewer construction projects were underway, consumer demand dropped significantly.

Many welders changed occupations since the pandemic prompted many people to work from home. The lack of workers caused building to stop as a result of COVID-19 regulations. By 2024, there will be a shortage of almost 400,000 welders, according to the American Welding Society, which is only one example of the pandemic's long-term repercussions. 

AI Impact 

Automating machines is one way of addressing the labour deficit in the market for welding supplies. Automated metal manufacturing systems, compared to conventional welding methods, let welders use robots to accelerate their operations. For example, collaborative robots (cobots) can take the place of people in repetitive welding tasks. 

Automated welding systems can boost productivity, reduce labour costs and improve weld quality. It enables greater consistency and precision while saving time and resources. Additionally, it creates safer working environments because workers are safeguarded from dangers like arc flashing and weld heat. In order to increase productivity in the robotic steel welding process used to create heavy machinery and products, John Deere will pilot Intel's AI and machine vision technology in 2021.

Russia-Ukraine War Impact

As tensions between Russia and Ukraine grow, several countries have implemented trade restrictions and export bans. The conflict is having a substantial impact on the supply chain, slowing down the transportation of goods, generating abrupt price increases and product shortages and resulting in acute food shortages in both countries. However, the Russian market for welded pipes has grown as a result of the country's growing oil and gas sector. 

The government's future plans to build new plants and the expansion have combined to positively impact the Russian market for welding materials. The import proportion of welding equipment is rapidly rising in Russia. Nearly all of the equipment and raw materials needed to produce welding equipment in Russia must be imported.

Key Developments

• For US$ 5.55 million in August 2021, Advance Welding, a UK-based company that designs and produces electrofusion welding equipment for utility customers, was acquired by Indutrade AB, a Swedish company that manufactures industrial valves. The acquisition enhances Indutrade and enables its further expansion in the utilities market and wastewaster sector. 
• In July 2021, ESAB, a market leader in welding and cutting consumables, announced the launch of Exaton 19.9.Nb HF, a 300 series austenitic steel SAW (submerged arc welding) wire with niobium and high ferrite content to further improve weld deposit mechanical properties at high temperatures.
• The ESAB announced in June 2021 that it had released updated B3 SCelectrode and flux series. It was primarily carried out as part of the business's strategy to broaden its selection of filler metals for pressure vessel, petrochemical, refinery and power generating applications.

Why Purchase the Report?

• To visualize the global welding materials market segmentation based on type, technology, end-user and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development. 
• Excel data sheet with numerous data points of welding materials market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global welding materials market report would provide approximately 61 tables, 59 figures and 201 pages.

Target Audience 2024

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies