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Basic Steel Processing in Germany - Market Research Report (2015-2030)

Ashkan Salim Ashkan Salim Frankfurt, Germany Last Updated: December 2025 WZ C24.30DE

Revenue

€7.4bn

2025

€7.4bn

Past 5-Year Growth

Profit

€XX.Xm

Employees

18,005

Businesses

188

Wages

€X.Xbn

Basic Steel Processing in Germany industry analysis

Industry turnover increased by an average of 1.7% per year between 2020 and 2025 to €7.4 billion. This is due in particular to the overall high demand for steel from the construction and automotive industries as well as the very high steel prices in 2021 and 2022. Since 2023, the German steel processing industry has been facing a structural weakness in demand in its core markets. A continuous decline in residential construction, driven by high interest rates and construction costs, as well as the substantial reduction in automotive production as a result of the switch to electromobility and increased competitive pressure from Chinese car manufacturers have led to a systematic erosion of the order situation. This manifested itself in order cancellations, underutilised production capacities and a significant decline in profits. At the same time, decarbonisation gained strategic importance, with the industry recognising the central role of domestic steel for stable value chains and identifying climate-neutral steel as a decisive factor in reducing its own carbon footprint.

In 2025, industry turnover is expected to fall by 2.8%. The current year is characterised by an escalation of external shocks that are massively increasing the pressure to transform. Massive US tariff increases on steel imports effectively exclude German producers from the American market and exacerbate price pressure in the European domestic market due to diverted global overcapacity. At the same time, the EU's newly proposed TRQ system is likely to have ambivalent effects. While it protects domestic crude steel production, it threatens to increase material costs for cold rolling mills and drawing mills. These cumulative burdens are accelerating a market consolidation in which financially strong players are gaining market share while smaller companies are being squeezed out. The industry is responding by diversifying its sales markets, intensifying partnerships and calling for political support.

In the next five years, industry turnover is expected to fall by an average of 0.4% and reach 7.3 billion euros in 2030. Two key developments are emerging for the next five years that will determine the future viability of the industry. On the one hand, the structural lightweight construction trend will further reduce demand as alternative materials such as aluminium and composites replace steel in key applications. On the other hand, digitalisation and sustainability will open up decisive competitive advantages. Strategic imperatives are therefore the development of ultra-high-strength steel grades as a cost-efficient lightweight construction alternative, specialisation in high-margin niche markets and the consistent use of artificial intelligence to increase efficiency and quality.

Trends and Insights

  • The slump in approved homes to the lowest level for over a decade is the result of high interest rates, increased material prices and stricter building regulations. Steel processors are experiencing order cancellations for cold profiles and sandwich panels as well as underutilised production capacity, which is directly affecting profitability and capacity utilisation.
  • The increase in US tariffs to 50% since June 2025 has made German steel exports practically unprofitable and increased price pressure in the European domestic market. Steel processors are pushing for cost optimisation, the development of green steel and diversified sales markets to compensate for the loss of sales.
  • The Central region has the highest proportion of companies in the industry. The industry players have generally established themselves in the vicinity of companies that are active in steel production.
  • There is strong price competition in the industry, which is partly responsible for the low profit margins. In order to keep up in this competitive environment, industry players are trying to achieve economies of scale by producing steel products in large quantities and thus reducing their unit costs.
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Industry Statistics and Trends

Market size and recent performance (2015-2030)

Industry revenue has grown at a CAGR of 1.7 % over the past five years, to reach an estimated €7.4bn in 2025.

Trends and Insights

Demand for steel suffers from lower construction activity

  • The construction industry is a key sales market for the steel processing industry. Cold-formed profiles are used in building construction, bridge construction and scaffolding, while sandwich panels are used as partition walls and roof elements. The Federal Statistical Office documents a 16.8% decline in the number of approved homes to 215,900 units in 2024, the lowest figure since 2010. Among other things, this is due to high construction interest rates, which significantly increase financing costs, as well as higher material prices, which affect the profitability of projects. Stricter building regulations are also prolonging approval procedures and dampening property developers' willingness to invest.
  • Additional trends and insights available with purchase
Basic Steel Processing in Germany
Revenue (2015-2030)
IBISWorld Logo Source: IBISWorld

Industry outlook (2025-2030)

Market size is projected to decline over the next five years.

Trends and Insights

High energy prices, high investment requirements and import pressure lead to market consolidation

  • The German steel industry is facing a profound structural change. High energy prices, stricter regulatory requirements and the considerable capital required for investments in modern production facilities, sustainable processes and research and development are putting a massive strain on the profitability of steel manufacturers. At the same time, competitive pressure is increasing due to cheaper imports from abroad. These factors are causing numerous industry players to leave the market - either through site closures or takeovers by financially stronger competitors. Staff cuts are becoming a necessity for many companies in order to adjust their cost base.

Biggest companies in the Basic Steel Processing in Germany

Company
Market Share (%)
2025
Revenue (€m)
2025
Thyssenkrupp Steel Europe AG
297.4
Saarstahl AG
239.6
Steeltec GmbH
128.6

To view the market share and analysis for all 4 top companies in this industry, view purchase options.

Products & Services Segmentation

Basic Steel Processing in Germany
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Cold belts with a width of less than 600 millimetres, Cold profiles and Cold-drawn wire. Cold belts with a width of less than 600 millimetres is the largest segment of the Basic Steel Processing in Germany.

Trends and Insights

The sales share of cold-rolled strip is declining due to the substitution pressure from aluminium

  • Cold rolled steel strips are elongated, flat products in the form of rolls.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

The industry players produce bright bars, cold-rolled strips, cold-formed sections and cold-drawn steels from crude steel products by cold drawing, cold rolling or other cold forming processes. The industry does not include the drawing of steel bars and solid profiles, the manufacture of processed wire products or the production of tubes and tube connectors.

What's included in this industry?

Products and services covered in the Basic Steel Processing industry in Germany include Cold belts with a width of less than 600 millimetres, Cold profiles, Cold-drawn wire and Bright steel.

Companies

Companies covered in the Basic Steel Processing industry in Germany include Thyssenkrupp Steel Europe AG, Saarstahl AG and Steeltec GmbH.

Purchase this report to view all 4 major companies in this industry.

Related Terms

Related terms covered in the Basic Steel Processing industry in Germany include anti-dumping duties, cad programme, alloying, cold rolling, corrosion and carbon leakage.

Industry Code

WZ 2008

WZ 24.3 - Basic Steel Processing in Germany

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

The slump in approved homes to the lowest level for over a decade is the result of high interest rates, increased material prices and stricter building regulations. Steel pro...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2015-2024) and forecast (2025-2030)
  • Employees, including historical (2015-2024) and forecast (2025-2030)
  • Businesses, including historical (2015-2024) and forecast (2025-2030)
  • Profit, including historical (2015-2025)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

The increase in US tariffs to 50% since June 2025 has made German steel exports practically unprofitable and increased price pressure in the European domestic market. Steel p...

In this chapter

  • Products & Services
  • Major Markets
  • International Trade

Key metrics

  • Largest market segment and value in 2025
  • Product innovation level
  • Total imports, level and trend
  • Total exports, level and trend
  • Trade Balance

Charts

  • Products & services segmentation in 2025
  • Major market segmentation in 2025
  • International trade, including imports by country and exports by country

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services
  • Recent trends in import and export volumes, country of origin or destination, and expected future trends

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

The Central region has the highest proportion of companies in the industry. The industry players have generally established themselves in the vicinity of companies that are a...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2025

Tables

  • Number and share of establishments in each region in 2025
  • Number and share of revenue each region accounts for in 2025
  • Number and share of wages each region accounts for in 2025
  • Number and share of employees in each region in 2025

Detailed analysis

  • Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

There is strong price competition in the industry, which is partly responsible for the low profit margins. In order to keep up in this competitive environment, industry playe...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2020-2025
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

Saarstahl has intensified its collaboration with customers and partners in recent years in order to achieve greater customer focus and flexibility. The company works closely ...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2021 through 2025
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2025
  • Overview of Thyssenkrupp Steel Europe AG's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of Saarstahl AG's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of Steeltec GmbH's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of revenue, market share and profit margin trend for one additional company

Detailed analysis

  • Description and key data for Thyssenkrupp Steel Europe AG, and factors influencing its performance in the industry
  • Description and key data for Saarstahl AG, and factors influencing its performance in the industry
  • Description and key data for Steeltec GmbH, and factors influencing its performance in the industry
  • Description, key data and performance trends for one additional company

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Companies in the steel industry often work with chemicals that can be hazardous. They must ensure that they comply with the Hazardous Substances Ordinance in order to protect...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2015-2030) 
  • Assistance historical data and forecast (2015-2030) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

The profit margin has been volatile over the past five years. This volatile development reflects a strong dependence on the economic situation in key customer industries such...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2015-2030)
  • Revenue per Employee (2015-2030)
  • Revenue per Enterprise (2015-2030)
  • Employees per Establishment (2015-2030)
  • Employees per Enterprise (2015-2030)
  • Average Wage (2015-2030)
  • Wages/Revenue (2015-2030)
  • Establishments per Enterprise (2015-2030)
  • IVA/Revenue (2015-2030)
  • Imports/Demand (2015-2030)
  • Exports/Revenue (2015-2030)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2015-2030)
  • IVA (2015-2030)
  • Establishments (2015-2030)
  • Enterprises (2015-2030)
  • Employment (2015-2030)
  • Exports (2015-2030)
  • Imports (2015-2030)
  • Wages (2015-2030)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Basic Steel Processing industry in Germany in 2025?

The market size of the Basic Steel Processing industry in Germany is €7.4bn in 2025.

How many businesses are there in the Basic Steel Processing industry in Germany in 2025?

There are 188 businesses in the Basic Steel Processing industry in Germany, which has declined at a CAGR of 4.6 % between 2020 and 2025.

How may import tariffs affect the Basic Steel Processing industry in Germany?

The Basic Steel Processing industry in Germany is likely to be significantly impacted by import tariffs with imports accounting for a high share of industry revenue.

How may export tariffs affect the Basic Steel Processing industry in Germany?

The Basic Steel Processing industry in Germany is likely to be significantly impacted by export tariffs with exports accounting for a high share of industry revenue.

Has the Basic Steel Processing industry in Germany grown or declined over the past 5 years?

The market size of the Basic Steel Processing industry in Germany has been growing at a CAGR of 1.7 % between 2020 and 2025.

What is the forecast growth of the Basic Steel Processing industry in Germany over the next 5 years?

Over the next five years, the Basic Steel Processing industry in Germany is expected to decline.

What are the biggest companies in the Basic Steel Processing industry in Germany?

The biggest companies operating in the Basic Steel Processing industry in Germany are Thyssenkrupp Steel Europe AG, Saarstahl AG and Steeltec GmbH

What does the Basic Steel Processing industry in Germany include?

Cold belts with a width of less than 600 millimetres and Cold profiles are part of the Basic Steel Processing industry in Germany.

Which companies have the highest market share in the Basic Steel Processing industry in Germany?

The company holding the most market share in the Basic Steel Processing industry in Germany is Thyssenkrupp Steel Europe AG.

How competitive is the Basic Steel Processing industry in Germany?

The level of competition is high and steady in the Basic Steel Processing industry in Germany.

Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in Germany include:

  • German Federal Statistics Office (Destatis)
  • European Statistics Office (Eurostat)
  • United Nations Comtrade

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

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