Steel Rolling & Drawing in Canada - Market Research Report (2013-2028)
New York, United States
Last Updated: October 2023
NAICS 33122CARevenue
$1.9bn
Past 5-Year Growth
Profit
$X.Xm
Employees
2,067
Businesses
101
Wages
$XXX.Xm
Steel Rolling & Drawing in Canada industry analysis
Steel rollers and drawers have faced declines over the current period. Plummeting growth from automobile manufacturers and climbing import penetration have hindered performance. Falling steel prices over the current period have also led to price-based losses and profit loss as clients pressured steel rollers and drawers to pass on cost decreases. Exports to the US were a boon to steel rollers and drawers amid declines in the domestic market. Overall, industry-wide revenue has been falling at a CAGR of 3.1% over the past five years and is expected to total $1.9 billion in 2023, when revenue will dip by an estimated 8.2%. The outbreak of COVID-19 led to plummeting steel prices and downstream demand as many downstream manufacturers halted operations, trade slowed and nonresidential construction activity dropped. As global economies reopened and industrial activity ramped up, supply shocks led to surging steel prices enabling steel rollers and drawers to recover from COVID-19-related declines. Steel rollers and drawers will continue to face declines over the outlook period, with countervailing downstream market trends and falling steel prices limiting performance. Within Canada, rollers and drawers will continue to endure integrated steel mills and metal wholesalers taking on functions previously performed by steel rolling and drawing mills. However, construction activity and federal infrastructure programs will support steel rollers and drawers. Industry revenue is forecast to fall at a CAGR of 5.9% through the end of 2028 to total $1.4 billion.
Trends and Insights
- Steel rollers and drawers have faced considerable declines. Import penetration, lower domestic demand and competition from vertically integrated steel mills have hindered steel rollers and drawers’ growth.
- Steel service centres and wholesalers remain the largest market. Consistent cold-rolled steel sheets and strips sales to steel service centres and wholesalers have benefitted steel rollers and drawers.
- Steel rollers and drawers flock to Ontario. Easy transportation links to the US and the large manufacturing sector in Ontario drive steel rollers and drawers to the province.
- Steel rollers and drawers compete to reduce costs. Since the primary basis of competition among steel rollers and drawers is price, companies constantly seek to secure favourable supply contracts and reduce operating costs.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has declined at a CAGR of 3.1 % over the past five years, to reach an estimated $1.9bn in 2023.
Trends and Insights
The impact of COVID-19
- The outbreak of COVID-19 led to the temporary shutdown of various key downstream manufacturers, hindering growth for steel rollers and drawers.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to decline over the next five years.
Trends and Insights
Steel rollers and drawers to face headwinds
- As the industrial capacity utilization index, which measures how much potential production capacity gets used, only creeps up after falling over the current, rollers and drawers will continue to face declines.
Biggest companies in the Steel Rolling & Drawing in Canada
| Company | Market Share (%)
2023 | Revenue ($m)
2023 | Profit ($m)
2023 | Profit Margin (%)
2023 |
|---|---|---|---|---|
Heico Corporation | 185.9 | 33.7 | 18.1 | |
Tree Island Steel Ltd. | 60.3 | N/A | N/A | |
Union Drawn Steel II LP | 26.8 | N/A | N/A |
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 Cold-rolled steel sheet and strip, Cold-finished steel bars and Steel wire products. Cold-rolled steel sheet and strip is the largest segment of the Steel Rolling & Drawing in Canada.
Trends and Insights
Sales of cold-rolled steel sheets and strips have been volatile
- Rollers and drawers produce cold-rolled sheets and strips by flattening steel through rollers while keeping below the recrystallization temperature, improving steel's strength, hardness, ductility and surface finish.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Iron & Steel Manufacturing in Canada
- Nonferrous Metal Rolling & Alloying in Canada
Complementors
- Metal Pipe & Tube Manufacturing in Canada
- Metal Wholesaling in Canada
International industries
- Steel Rolling & Drawing in the US
- Iron Smelting and Steel Manufacturing in Australia
- Basic Steel Processing in the UK
- Steel Rolling in China
Table of Contents
About this industry
Industry definition
This industry rolls or draws steel purchased externally, which may be sourced from local steelmakers or imported. Steel rollers and drawers produce a variety of shapes through the rolling process, while the only drawn product is wire of various grades and gauges. The industry does not include vertically integrated steel companies that incidentally draw or roll-form steel, nor does it include metal service centres whose primary business is the distribution of steel products to end markets.
What's included in this industry?
Rolling plates, sheets, strips, rods and bars from purchased steel Drawing wire from purchased steelProcessing purchased steel to meet customer specificationsCompanies
Heico CorporationTree Island Steel Ltd.Union Drawn Steel II LPPurchase this report to view all 3 major companies in this industry.
Related Terms
STEEL ROLLINGDIEINTEGRATED STEEL MILLIndustry Code
NAICS 33122 - Steel Rolling & Drawing in Canada
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
Steel rollers and drawers have faced considerable declines. Import penetration, lower domestic demand and competition from vertically integrated steel mills have hindered ste...
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
Steel service centres and wholesalers remain the largest market. Consistent cold-rolled steel sheets and strips sales to steel service centres and wholesalers have benefitted...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2023
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
- 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
Steel rollers and drawers flock to Ontario. Easy transportation links to the US and the large manufacturing sector in Ontario drive steel rollers and drawers to the province.
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each province
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each province in 2023
- Number and share of revenue each province accounts for in 2023
- Number and share of wages each province accounts for in 2023
- Number and share of employees in each province in 2023
Detailed analysis
- Geographic spread of the industry across North America, 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
Steel rollers and drawers compete to reduce costs. Since the primary basis of competition among steel rollers and drawers is price, companies constantly seek to secure favour...
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
Just one company has amassed more than 5.0% of the market. Heico’s specialty in producing industrial applications has enabled the company to accumulate a considerable market ...
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 Heico Corporation's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Tree Island Steel Ltd.'s performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Union Drawn Steel II LP's performance by revenue, market share and profit margin from 2017 through 2023
Detailed analysis
- Description and key data for Heico Corporation, and factors influencing its performance in the industry
- Description and key data for Tree Island Steel Ltd., and factors influencing its performance in the industry
- Description and key data for Union Drawn Steel II LP, 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
Steel rollers and drawers must comply with federal and provincial regulations. Regulations that aim to control the discharge of pollutants into the environment and strengthen...
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
Steel rollers and drawers have faced profit volatility. Following the outbreak of COVID-19, steel rollers and drawers operated at a loss amid economic slowdowns. As the econo...
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
- Liquidity Ratios (2016-2021)
- Coverage Ratios (2016-2021)
- Leverage Ratios (2016-2021)
- Operating Ratios (2016-2021)
- Assets (2016-2021)
- Liabilities (2016-2021)
- 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 Canada include:
- Statistics Canada
- Industry Canada
- Canadian Business Patterns
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 Steel Rolling & Drawing industry in Canada in 2024?
The market size of the Steel Rolling & Drawing industry in Canada is $1.9bn in 2024.
How many businesses are there in the Steel Rolling & Drawing in Canada industry in 2023?
There are 101 businesses in the Steel Rolling & Drawing industry in Canada, which has declined at a CAGR of 1.5 % between 2018 and 2023.
Has the Steel Rolling & Drawing industry in Canada grown or declined over the past 5 years?
The market size of the Steel Rolling & Drawing industry in Canada has been declining at a CAGR of 3.1 % between 2018 and 2023.
What is the forecast growth of the Steel Rolling & Drawing industry in Canada over the next 5 years?
Over the next five years, the Steel Rolling & Drawing industry in Canada is expected to decline.
What are the biggest companies in the Steel Rolling & Drawing market in Canada?
The biggest companies operating in the Steel Rolling & Drawing market in Canada are Heico Corporation, Tree Island Steel Ltd. and Union Drawn Steel II LP
What does the Steel Rolling & Drawing in Canada include?
Rolling plates, sheets, strips, rods and bars from purchased steel and Drawing wire from purchased steel are part of the Steel Rolling & Drawing industry.
Which companies have the highest market share in the Steel Rolling & Drawing in Canada?
The company holding the most market share in Canada is Heico Corporation.
How competitive is the Steel Rolling & Drawing industry in Canada?
The level of competition is high and increasing in the Steel Rolling & Drawing industry in Canada.
