Sintered Steel in India Trends and Forecast
The future of the sintered steel market in India looks promising with opportunities in the engine, transmission, body, chassis, drivetrain, and electrical appliance markets. The global sintered steel market is expected to reach an estimated $26.4 billion by 2031 with a CAGR of 3.6% from 2025 to 2031. The sintered steel market in India is also forecasted to witness strong growth over the forecast period. The major drivers for this market are the increasing demand for high-strength materials, the rising industrial and manufacturing sector, and the expanding usage of this steel in the automobile sector.
• Lucintel forecasts that, within the process category, the additive manufacturing segment is expected to witness the highest growth over the forecast period.
• Within the application category, the engine is expected to witness the highest growth over the forecast period.
Emerging Trends in the Sintered Steel Market in India
India’s sintered steel market is changing at a fast pace as indigenous industries look for cost-effective, long-lasting, and high-performance products in the automotive, industrial, and infrastructure sectors. With growing manufacturing activity, higher localization efforts, and awareness about energy efficiency, fresh trends are transforming the way sintered steel is manufactured and consumed. The industry is also witnessing a technology revolution, spurred by digital integration, novel material compositions, and strategic investments. The emerging trends are transforming competitiveness and defining new growth pockets in India’s vibrant industrial ecosystem.
• Localized Manufacturing and Raw Material Sourcing: India is turning to local sourcing of metal powders and sintering machines to cut down on imports. Local powder metallurgy companies are increasing capacities to match the growing demand. It enables lead times to come down, procurement expenses to decrease, and supply chain resilience to improve. The local content push enables sintered steel producers to have improved quality and logistics control. Make in India also provides a policy push, urging higher localization in the auto and engineering sectors.
• Implementation of Near-Net-Shape Technologies: Indian industries are embracing near-net-shape sintering processes to reduce the consumption of material and post-processing. The technologies reduce cost and production time, particularly in the manufacturing of small and medium series. Lightweight components and intricate geometries of parts can be produced with minimal machining. The process is in line with sustainable manufacturing and lowers energy consumption. With lean production being the focus of industries, near-net-shape sintered parts are finding increasing use in consumer goods, toolmaking, and mobility.
• Incorporation of Digital Quality Control Systems: Sintered steel factories are increasingly adopting sensor-based quality monitoring and digital inspection equipment. The technology provides real-time detection of defects and process optimization, resulting in better consistency and reduced rework rates. Indian companies are adopting digital twins, intelligent analytics, and AI-based quality models. This serves to bring the industry more in line with international quality standards and make Indian suppliers more competitive in overseas markets while minimizing operating losses.
• Increase in Off-Highway and Farm Machinery Demand: India’s growing construction and agricultural industries are generating new demand for long-life sintered parts in tractors, loaders, and earthmovers. Sintered steel components are found in gearboxes, transmission sets, and wear-resistant parts. The industries demand low-cost, long-life parts operating in tough conditions. With increasing mechanization, particularly rural mechanization, sintered steel presents a viable substitute for forged or cast parts. The volume production capability and low cost of sintering make it a suitable process for volume output in these markets.
• Emphasis on Hybrid and CNG Vehicle Components: India’s movement towards cleaner mobility is compelling demand for sintered components in hybrid and compressed natural gas (CNG) vehicles. These vehicles demand bespoke gear systems, valve components, and exhaust control components manufactured with precision and durability. Sintered steel provides lightweighting and heat resistance, which is essential for these types of engines. Suppliers are designing specialty solutions for OEMs looking at this segment with government incentives for green mobility. It is promoting innovation in sintering design and metallurgy.
New developments in India’s sintered steel industry indicate a trend towards localization, precise manufacturing, and promotion of alternative energy systems. Indian manufacturers, by adopting cutting-edge processes, digital quality software, and emerging mobility segments, are enhancing their competitive advantage in the domestic as well as international markets. This transformation is enhancing the role played by sintered steel in the country’s industrial revolution.
Recent Developments in the Sintered Steel Market in India
India’s sintered steel industry is witnessing strong developments led by policy initiatives, industrial diversification, and R&D efforts. India’s initiatives to develop its engineering base and boost component self-reliance have resulted in fresh investments and process developments. Automotive reforms, sustainability targets, and infrastructure development are also impacting sintered steel consumption. These new developments are paving the way for wider application and building India’s competence in powder metallurgy and component engineering.
• Establishment of Advanced Powder Metallurgy Clusters: New powder metallurgy clusters are emerging in industrial hubs such as Maharashtra and Tamil Nadu. Clusters of component manufacturers, R&D establishments, and training institutions have converged to facilitate collaboration and innovation. Government encouragement towards such hubs helps achieve standardization, export competitiveness, and skill development. The centers enhance access to raw material supply, testing facilities, and prototyping resources. The ecosystem enhances India’s ability to cater to industries such as aerospace, defense, and electronics with the help of sintered solutions.
• EV Platform partnerships with Automotive OEMs: Indian sintered steel players are forming strategic partnerships with electric vehicle makers to provide drivetrain parts, bushings, and structural lightweight parts. These collaborations enable the development of sintered parts tailored for electric drives, with emphasis on strength and thermal stability. Such collaborations ensure quicker time-to-market for EV models and spur innovation in sintered part design. These collaborations are indicative of India’s shift toward electric mobility and the central role of sintering in such a movement.
• Adoption of Environment-Friendly Sintering Methods: Companies are investing in low-emission sintering furnaces and other binding processes to comply with environmental regulations. The drive for greener production is in sync with the expectations of global buyers as well as national emissions regulations. Methodologies like vacuum sintering and energy saving heating systems are being implemented to minimize operating footprints. These developments assist Indian manufacturers in earning credibility in sustainability audits and opening market access in Europe and North America.
• Growth in Aerospace and Medical Applications: Indian sintered steel companies are diversifying to high-precision applications like aerospace parts and medical device components. Such industries require stable performance, dependability, and adherence to stringent standards. With government innovation grants and foreign investment assistance, businesses are improving R&D and optimizing production. This transition unveils new revenues while showcasing the flexibility of sintered steel to high-value, regulated segments.
• Export-Oriented Component Programs Launch: Export programs have been initiated to establish Indian sintered component makers as a supplier for international OEMs. These initiatives are aimed at providing cost-efficient, quality-approved parts throughout Europe, the Middle East, and Southeast Asia. Certification, packaging logistics, and process automation investments are being given priority. Targeting international supply chains, Indian manufacturers hope to increase volumes and stabilize revenues outside the local market.
India’s sintered steel industry is experiencing revolutionary changes through industrial agglomeration, green innovation, and export growth. Through strategic alliances, sector diversification, and policy synchronization, the market will be able to play an increasingly greater part in indigenous as well as international supply chains. These developments are catapulting India’s position as a leader in precision component production.
Strategic Growth Opportunities for Sintered Steel Market in India
India is experiencing strong growth in the application of sintered steel in various industrial areas. It is driven by growing demand for precision parts, growing incorporation of clean technologies, and the move towards localized production. The core sectors like automotive, electronics, medical, and heavy machinery are driving the need for high-end sintered parts. These opportunities are not only enhancing domestic consumption but also enhancing India’s global competitiveness in powder metallurgy and engineered materials.
• Engine and Transmission Components in the Automotive Industry: India’s large automotive industry is a key growth opportunity for sintered steel, specifically in engine and transmission units. The requirements of light weight, strength, and affordability make the sintering process ideal. Uses are gears, sprockets, valve seats, and bushings. With increased emphasis on fuel efficiency and emission regulations, sintered components facilitate achievement of performance goals while minimizing machining time. The segment is sustained by OEM investments and localization initiatives, thus rendering it a pillar for sintered steel demand.
• Electric Vehicle and Hybrid Platforms: The government push for electric mobility is opening opportunities in EV motor systems and battery assemblies. Sintered steel finds application in rotor cores, magnetic assemblies, and tight transmission units that must be heat-resistant and magnetic. Its use allows weight reduction and improved performance. As automobile manufacturers ramp up EV production, the demand for custom sintered parts is increasing. Specialized manufacturers are capitalizing on the trend to create high-value products that enable green transport and attract international collaborations.
• Industrial Tooling and Machinery: India’s growing infrastructure and construction industries are stimulating demand for industrial equipment and tools. Sintered steel parts find applications in hydraulic systems, bearings, gears, and wear parts. Such applications are facilitated by the efficiency of sintering to produce strong, reliable parts with complex geometries. Growing manufacturing automation also favors the use of sintered parts in robotic equipment and conveyor tools. Such an industrial base offers continuing growth and diversification opportunities for producers of sintered steel.
• Surgical Instruments and Medical Devices: Sintered steel provides biocompatibility, corrosion resistance, and accuracy needed in surgical instruments, dental implants, and orthopedic hardware. With the development of healthcare infrastructure and growth in medical exports in India, demand for high-tech metal components is expanding. Small-batch, high-precision production with the same quality is possible through the process. Sintered components find applications in drills, pins, implant bases, and connectors. Increased investment in healthcare manufacturing parks and regulatory backing further boost market potential for sintered use in this sector.
• Consumer Appliances and Electronics: Small parts utilized in fans, printers, kitchen appliances, and smartphones offer new opportunities for sintered steel. Thin, accurate, and heat-resistant parts supported by powder metallurgy are suitable for compact design. With more domestic electronics manufacture under India’s production plans, local component supply is increasing. Sintered gears, couplings, and magnetic cores are increasingly being used across a wider range. This segment will continue to increase steadily as consumer demand and device complexity grow, driving innovation in micro-sintering processes.
Strategic prospects in electric mobility, industrial equipment, healthcare, and consumer durables are making sintered steel a priority material in India’s manufacturing transformation. Each use case creates new growth opportunities through innovation, localization, and sustainability. These trends are turning sintered steel from a specialty material into a core driver of next-generation technologies.
Sintered Steel Market in India Driver and Challenges
The Indian sintered steel industry is influenced by a host of dynamic drivers like manufacturing technology advancements, favorable economic policies, and regulatory demands. Growth drivers like rising demand for locally manufactured parts, clean energy usage, and automotive sector reforms are propelling expansion. Adoption, however, is hampered by challenges like volatility in raw material prices, technological constraints, and shortages of skilled personnel. It is vital that stakeholders appreciate the thrusts behind these drivers to ride the wave of new opportunities while dealing with the intricacies of operations.
The factors responsible for driving the sintered steel market in India include:
• Increased Automotive Production and Component Localization: India’s efforts to de-impress and shift reliance on imports are generating robust demand for domestic sintered steel components. Automotive original equipment manufacturers are procuring gears, cams, and pulleys locally to achieve cost and supply objectives. Development of two-wheeler and passenger vehicle segments further enhances the demand. Localized manufacturing minimizes lead time and improves responsiveness to design modifications. This driver is consistent with national objectives to boost value-added manufacturing and increases the size of India’s powder metallurgy sector.
• Growth of Electric Mobility and Clean Energy Markets: Government policies and emission laws are driving the shift to electric and hybrid vehicles. Sintered steel facilitates thermal insulation and weight reduction in battery parts, e-motors, and power converters. It finds application in wind and solar equipment parts with magnetic and structural stability. With India expanding its green energy base, demand for high-performance sintered parts is expected to grow across transportation and renewable power segments.
• Industrial Automation and Smart Factory Growth: As Indian producers embrace Industry 4.0 technologies, the demand for precision components is rising. Sintered steel’s compatibility with intricate geometries and low post-processing provides it a niche for automation systems and robotics. Parts like actuators, linkages, and guides are being manufactured more with sintering to achieve quality requirements. This pattern is also fueled by growing export demand and automation investments in pharmaceuticals, packing, and logistics sectors.
• Government Support for Advanced Manufacturing: Make in India and National Manufacturing Policy have policies offering incentives for powder metallurgy and advanced engineering. Fiscal incentives, R&D grants, and infrastructure development are assisting the scale-up of sintered steel production. Special metallurgy clusters and research institutes are being set up to aid skill development and innovation. These efforts assist Indian manufacturers in becoming globally competitive and addressing increasing local demand effectively.
• Higher Application in Export-Oriented Sectors: India’s emerging reputation as a hub for engineering is creating export prospects for sintered steel to auto, aerospace, and electronics segments. International OEMs look for low-cost sourcing partners with assured quality norms. Indian businesses are extending their presence in Europe and Asia through investments in certification and exact tooling. Export demand facilitates process improvements and allows for large-scale production, making it a key driver of expansion.
Challenges in the sintered steel market in India are:
• Unaffordability and Shortage of Raw Powders: High-grade metal powders’ limited supply and volatile price are a principal challenge for Indian sintered steel manufacturers. Import dependence is prevalent, exposing companies to shipping and currency risks. Inadequate domestic powder manufacturing facilities enhances reliance and narrows price management. This challenge diminishes competitiveness and restrains capacity increase for most small and medium enterprises.
• Technology Gaps in High-Precision Applications: Though improvements have been made, most Indian companies do not have access to the state-of-the-art sintering techniques applied in aerospace and biomedicine. The deficit in metallurgical R&D and sophisticated process know-how limits innovation. Low automation and aging furnaces further influence consistency and throughput. Filling this gap is necessary for engaging in high-value international markets.
• Shortage of Skilled Technical Workforce: There remains a consistent shortage of trained personnel who know powder metallurgy and sintering technologies. Engineering courses in India mostly do not include these in their curriculum. Consequently, companies lack experienced personnel for quality control, R&D, and process engineering. This deficiency hampers innovation and operational efficiency throughout the industry.
India’s sintered steel industry is being defined by strong growth drivers such as automotive growth, EV transformation, and export evolution. These are countered by key challenges such as input prices, access to technology, and shortage of talent. Conquering these obstacles will define the industry’s capability to grow cost-effectively and compete in international high-precision applications.
List of Sintered Steel Market in India Companies
Companies in the market compete on the basis of product quality offered. Major players in this market focus on expanding their manufacturing facilities, R&D investments, infrastructural development, and leverage integration opportunities across the value chain. Through these strategies, sintered steel companies cater to increasing demand, ensure competitive effectiveness, develop innovative products & technologies, reduce production costs, and expand their customer base. Some of the sintered steel companies profiled in this report include:
• Company 1
• Company 2
• Company 3
• Company 4
• Company 5
• Company 6
• Company 7
Sintered Steel Market in India by Segment
The study includes a forecast for the sintered steel market in India by process, steel type, application, and end use.
Sintered Steel Market in India by Process [Analysis by Value from 2019 to 2031]:
• Metal Injection Molding
• Additive Manufacturing
• Conventional Manufacturing
• Powder Forged Manufacturing
Sintered Steel Market in India by Steel Type [Analysis by Value from 2019 to 2031]:
• Stainless Steel
• Carbon Steel
• Alloy Steel
• Tool Steel
Sintered Steel Market in India by Application [Analysis by Value from 2019 to 2031]:
• Engines
• Transmissions
• Bodies
• Chassis
• Drivetrains
• Electrical Appliances
• Others
Sintered Steel Market in India by End Use [Analysis by Value from 2019 to 2031]:
• Transportation
• Electrical
• Industrial
• Others
Features of the Sintered Steel Market in India
Market Size Estimates: Sintered steel in India market size estimation in terms of value ($B).
Trend and Forecast Analysis: Market trends and forecasts by various segments.
Segmentation Analysis: Sintered steel in India market size by process, steel type, application, and end use in terms of value ($B).
Growth Opportunities: Analysis of growth opportunities in different process, steel type, application, and end use for the sintered steel in India.
Strategic Analysis: This includes M&A, new product development, and competitive landscape of the sintered steel in India.
Analysis of competitive intensity of the industry based on Porter’s Five Forces model.
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FAQ
Q1. What are the major drivers influencing the growth of the sintered steel market in India?
Answer: The major drivers for this market are the increasing demand for high-strength materials, the rising industrial and manufacturing sector, and the expanding usage of this steel in the automobile sector.
Q2. What are the major segments for sintered steel market in India?
Answer: The future of the sintered steel market in India looks promising with opportunities in the engine, transmission, body, chassis, drivetrain, and electrical appliance markets.
Q3. Which sintered steel market segment in India will be the largest in future?
Answer: Lucintel forecasts that additive manufacturing segment is expected to witness the highest growth over the forecast period.
Q4. Do we receive customization in this report?
Answer: Yes, Lucintel provides 10% customization without any additional cost.
This report answers following 10 key questions:
Q.1. What are some of the most promising, high-growth opportunities for the sintered steel market in India by process (metal injection molding, additive manufacturing, conventional manufacturing, and powder forged manufacturing), steel type (stainless steel, carbon steel, alloy steel, and tool steel), application (engines, transmissions, bodies, chassis, drivetrains, electrical appliances, and others), and end use (transportation, electrical, industrial, and others)?
Q.2. Which segments will grow at a faster pace and why?
Q.3. What are the key factors affecting market dynamics? What are the key challenges and business risks in this market?
Q.4. What are the business risks and competitive threats in this market?
Q.5. What are the emerging trends in this market and the reasons behind them?
Q.6. What are some of the changing demands of customers in the market?
Q.7. What are the new developments in the market? Which companies are leading these developments?
Q.8. Who are the major players in this market? What strategic initiatives are key players pursuing for business growth?
Q.9. What are some of the competing products in this market and how big of a threat do they pose for loss of market share by material or product substitution?
Q.10. What M&A activity has occurred in the last 5 years and what has its impact been on the industry?
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