India Metal Fabrication Market Trends

Statistics for the 2023 & 2024 India Metal Fabrication market trends, created by Mordor Intelligence™ Industry Reports. India Metal Fabrication trend report includes a market forecast to 2029 and historical overview. Get a sample of this industry trends analysis as a free report PDF download.

Market Trends of India Metal Fabrication Industry

Increasing Number of Manufacturing Plants Are Propelling Market Growth

  • India's metal fabrication sector is expected to be driven by the rising demand for goods and services in many sectors, as well as the fact that global manufacturing companies are trying to diversify their production by setting up low-cost plants in countries like China and India. Additionally, the Indian manufacturing sector is expected to register a growth of more than six times its current value by 2025, to USD 1 trillion. This growth in the manufacturing sector in India is likely to lead to more manufacturing facilities in the country, which is expected to increase demand in the market studied.
  • For instance, the number of mobile manufacturing plants that were set up in India has increased by more than 60 times since 2017. This shows that the number of manufacturing units in the country is making the market more and more popular. The Reserve Bank of India measures capacity utilization in the manufacturing sector through its quarterly order books, inventories, and capacity utilization survey. It shows not only how much companies are making, but also how much they might be able to invest in the future. This shows that the Indian metal fabrication market has more potential.
India Metal Fabrication Market: Capacity utilization of metals and metal products in India, by quarter, in Percent, Q3 2019-Q1 2022

Infrastructure Development Activities in India are boosting the Market

  • The infrastructure development activities by the Government of India are likely to boost the Indian metal fabrication market over the next few years. The market studied is expected to grow because of government projects like building metro stations, new no-frills airports, international terminals, industry corridors, power plants, and ports, all of which need heavy steel structures. There is a huge infrastructure gap in the country. According to the government, infrastructure investment of USD 4.5 trillion may be required through 2040. Over the next few years, capital expenditure (CAPEX) is expected to remain high for Indian infrastructure players across sectors.
  • In addition, the construction and infrastructure sector is the largest end-user vertical consumer of steel in India. Larsen & Toubro (L&T), an infrastructure company, won a mega order from SJVN Thermal Pvt. Ltd. to set up an ultra-supercritical power plant in the Buxar district of Bihar. The mega project is estimated to cost more than INR 7,000 crore (USD 1 billion). Larsen & Toubro (L&T) is in charge of designing, engineering, making, buying, supplying, building, putting together, testing, and starting up the Buxar thermal power project (2x660 MW).
  • Further, as part of India's Sagarmala Program, more than 610 projects (worth INR 7.78 lakh crores, about USD 100 billion) have been identified for implementation across the areas of port modernization, new port development, port connectivity enhancement, port-linked industrialization, and coastal community development during 2015-2035. All the projects would require high-quality metal fabrication for infrastructure purposes, boosting the market's growth over the forecast period.
India Metal Fabrication Market: Investments in infrastructure in India, in USD Million, By sector, 2021

Metal Fabrication Industry in India Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)