Metal products are growing fast, but the metal industry and market growth have been complicated. Over the past couple of years, we've seen metal growth being artificially held back through international tariffs and shortages. This has led to the metal industry consolidating somewhat and slowing down in a few areas.
Market growth for metal products is set to be spectacular within the next few years, particularly in the areas of manufacturing and production. Delays in areas such as the automotive industry are hoped to start resolving as tariffs ease up and metal supply is freed. At the same time, production will need to ramp up slowly, and there are other complications looming on the horizon that are tangential (such as micro circuitry shortages).
Let's take a look at market growth for a few areas of metal products.
The global metal fabrication equipment industry was estimated at $68 billion in 2017 and has been swiftly growing. Throughout much of 2020 and 2021, metal prices have risen dramatically and artificially depressed the industry. Container shipping prices skyrocketed not only because of a lack of shipping services but because physical metal containers were unavailable. The next few years will likely see sharp increases in metal manufacturing and production as metal becomes more available again.
It's not a surprise that manufacturing/production in metal, particularly steel, is an area where many investors hedge their bets. Manufacturing/production will always go up in the metal industry long-term, even if there are short-term dips.
Wall decor growth was $8.19 billion in 2020 due to increased home decorations and home purchasing. Home purchasing has been booming, pushing a drive toward decor — and small businesses and large enterprises also purchase metal-based art. New "metal prints" have become extremely popular, as have cut metal designs.
This is an area of growth that many small businesses can dive into, as it has become more affordable and more feasible to pursue metal cutting.
Global advertising spend is always on the rise, with advertising growing 14 percent in 2021. Much of metal products are involved in advertising, due to large signage. This is another area poised for small business growth, due to the proliferation of systems that small businesses can invest in — such as fiber laser cutters.
Rapid prototyping is becoming a fast-growing field, as laser cutting and 3D printing services become more viable. The global prototyping market is expected to grow 30.9 percent from 2019 to 2025, much of this involving metal goods, and quite a few involving technologies such as metal cutting and 3D prints.
In short, the market growth for metal products is on the rise. Even more excitingly, new technologies are making it more feasible for companies to engage in metal production on their own. For more information about the metal industry and the market, continue to follow us.
Watch Matthew and his crew tune in a 6kw Fiber Laser with Exchange table, and deliver it to it's new home at the end of the video:
Matthew @ Hytek: