Iron and Steel Forging in Australia - Market Research Report (2013-2028)
Melbourne, Australia
Last Updated: September 2023
ANZSIC C2210Revenue
$834.7m
Past 5-Year Growth
Profit
$XX.Xm
Employees
1,360
Businesses
127
Wages
$XXX.Xm
Iron and Steel Forging in Australia industry analysis
The Iron and Steel Forging industry generates revenue from selling products to the downstream construction, mining, automotive manufacturing, transport infrastructure and railway equipment manufacturing markets. Forging typically produces stronger steel components than metal casting, and the finished product is suitable for high-stress applications. The forging process varies considerably by firm and product type. The industry is characterised by many small manufacturers that produce customised, low-volume forged products. Still, the industry's leading company, Grinding Media Pty Ltd, currently generates nearly 40.0% of industry revenue.
Trends and Insights
- Increased capital expenditure on mining and an upswing in mining output boosted the forging of grinding media and steel parts in 2022-23. Even so, sales to mining companies have slumped in recent years because of falling export prices.
- The weakening of Australia’s mining performance has dampened the need for grinding media rods and balls. Mining output peaked in 2022-23 but has since waned because of lower global commodity prices.
- New South Wales is home to the industry’s largest company, Grinding Media. Still, the state is underrepresented in enterprises compared with its one-third share of the national population and economy.
- Despite Grinding Media Pty Ltd accounting for the most significant revenue share, the Iron and Steel Forging industry displays moderate concentration. The industry has a fragmented structure comprising many small-scale companies catering to specific markets.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has declined at a CAGR of 2.4 % over the past five years, to reach an estimated $834.7m in 2023.
Trends and Insights
Mining and railway construction help buffer the performance of some forging companies
- Mining and infrastructure construction companies represent the end markets for diverse forged iron and steel products, including grinding media balls and rods, which are crucial for processing metals and minerals.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Deteriorating conditions in the mining and railway markets are set to limit industry expansion
- Declining mining output will contribute to weaker consumption of grinding media balls and rods. Still, the minor increase in capital expenditure on mining may stimulate spending on parts for heavy extraction machinery, forged chains and draglines.
Biggest companies in the Iron and Steel Forging in Australia
| Company | Market Share (%)
2025 | Revenue ($m)
2025 |
|---|---|---|
Grinding Media | 319.0 | |
Pandrol | 18.5 | |
Townley Drop Forge Pty Ltd | 18.0 |
To view the market share and analysis for all 3 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Grinding media, Railway parts and Forged fasteners. Grinding media is the largest segment of the Iron and Steel Forging in Australia.
Trends and Insights
The slump in commodity exports has dampened the need for grinding media
- Grinding media includes rods and balls used in the processing of copper, gold and iron ore. Grinding media is the principal product that the industry manufactures, accounting for approximately one-third of the industry’s revenue.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Aluminium Rolling, Drawing and Extruding in Australia
- Iron and Steel Casting in Australia
Complementors
- Iron Smelting and Steel Manufacturing in Australia
- Structural Steel Fabricating in Australia
International industries
- Metal Stamping & Forging in the US
- Metal Stamping & Forging in Canada
- Iron Casting in the UK
- Steel Casting in the UK
- Iron Casting in Germany
Table of Contents
About this industry
Industry definition
Industry operators primarily forge iron and steel products. Forging involves shaping iron and steel into different forms. The forging process alters the metals’ physical properties, improving their strength and durability.
What's included in this industry?
Grinding MediaRailway PartsForged FastenersRigging EquipmentAutomotive PartsHorseshoesSteel-forged link chainGear RacksCylinder BarrelsFlangesCompanies
Grinding MediaPandrolTownley Drop Forge Pty LtdPurchase this report to view all 3 major companies in this industry.
Related Terms
GRINDING MEDIAFLASHDIEIndustry Code
ANZSIC 2210 - Iron and Steel Forging in Australia
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
Increased capital expenditure on mining and an upswing in mining output boosted the forging of grinding media and steel parts in 2022-23. Even so, sales to mining companies h...
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 (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- 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 weakening of Australia’s mining performance has dampened the need for grinding media rods and balls. Mining output peaked in 2022-23 but has since waned because of lower ...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2023
- Product innovation level
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
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
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
New South Wales is home to the industry’s largest company, Grinding Media. Still, the state is underrepresented in enterprises compared with its one-third share of the nation...
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 2023
Tables
- Number and share of establishments in each region in 2023
- Number and share of revenue each region accounts for in 2023
- Number and share of wages each region accounts for in 2023
- Number and share of employees in each region in 2023
Detailed analysis
- Geographic spread of the industry across Asia Pacific, 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
Despite Grinding Media Pty Ltd accounting for the most significant revenue share, the Iron and Steel Forging industry displays moderate concentration. The industry has a frag...
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 2018-2023
- 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
Grinding Media Pty Ltd dominates the industry and is the only major player. The company, operating through its subsidiaries, Moly-Cop and Comsteel, has consistently grown thr...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
- Overview of Grinding Media's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Pandrol's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Townley Drop Forge Pty Ltd's performance by revenue, market share and profit margin from 2017 through 2023
Detailed analysis
- Description and key data for Grinding Media, and factors influencing its performance in the industry
- Description and key data for Pandrol, and factors influencing its performance in the industry
- Description and key data for Townley Drop Forge Pty Ltd, and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
There is limited assistance for iron and steel forges in Australia. The industry receives minimal to no assistance from both the public and private sectors.
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 (2013-2028)
- Assistance historical data and forecast (2013-2028)
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
Profit margins are shrinking, reflecting the weakening sales to the downstream construction and mining markets. Still, some companies have generated solid profitability from ...
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 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
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 (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
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 Australia include:
- Australian Bureau of Statistics
- Australian Taxation Office
- Australian Securities & Investments Commission
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.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Iron and Steel Forging industry in Australia in 2024?
The market size of the Iron and Steel Forging industry in Australia is $834.7m in 2024.
How many businesses are there in the Iron and Steel Forging in Australia industry in 2023?
There are 127 businesses in the Iron and Steel Forging industry in Australia, which has declined at a CAGR of 1.9 % between 2018 and 2023.
Has the Iron and Steel Forging industry in Australia grown or declined over the past 5 years?
The market size of the Iron and Steel Forging industry in Australia has been declining at a CAGR of 2.4 % between 2018 and 2023.
What is the forecast growth of the Iron and Steel Forging industry in Australia over the next 5 years?
Over the next five years, the Iron and Steel Forging industry in Australia is expected to grow.
What are the biggest companies in the Iron and Steel Forging market in Australia?
The biggest companies operating in the Iron and Steel Forging market in Australia are Grinding Media, Pandrol and Townley Drop Forge Pty Ltd
What does the Iron and Steel Forging in Australia include?
Grinding Media and Railway Parts are part of the Iron and Steel Forging industry.
Which companies have the highest market share in the Iron and Steel Forging in Australia?
The company holding the most market share in Australia is Grinding Media.
How competitive is the Iron and Steel Forging industry in Australia?
The level of competition is moderate and increasing in the Iron and Steel Forging industry in Australia.
