Outokumpu study shows global industries shifting stainless steel strategies amid tariffs and political tensions

Outokumpu study shows global industries shifting stainless steel strategies amid tariffs and political tensions

(IN BRIEF) Outokumpu has released a whitepaper, The Evolution of Materials, showing how trade measures and geopolitical shifts are forcing companies worldwide to rethink stainless steel procurement. The research, based on a global survey of major industrial buyers with combined revenues of USD 430 billion, reveals that one-third of firms have delayed orders and more than half are reworking sourcing strategies. North American businesses tend to lock in prices, while European counterparts are stockpiling inventory. Despite short-term uncertainty, most respondents expect stainless steel demand to rise significantly over the next five years, with growing use in climate-resilient infrastructure, defense, and aerospace. Outokumpu’s report positions stainless steel as central to building resilient, low-carbon systems in an uncertain global environment.

(PRESS RELEASE) HELSINKI, 23-Seo-2025 — /EuropaWire/  Outokumpu, recognized worldwide as the leader in sustainable stainless steel, has published a new whitepaper analyzing how recent trade tensions and tariff measures are reshaping procurement strategies across industries. The study, The Evolution of Materials, is based on a survey of 70 senior decision-makers representing companies with a combined revenue of roughly USD 430 billion (2024), spanning sectors such as energy, consumer goods, automotive, construction, and infrastructure.

The survey was carried out in May 2025, coinciding with the early months of widespread U.S. tariffs that triggered a marked shift in international trade. The findings show that nearly one-third of organizations have postponed or slowed stainless steel purchases as a direct consequence of market uncertainty. More than half are now revisiting their sourcing models, and around 30% have already changed suppliers to mitigate risks.

Regional strategies reveal contrasting approaches: many North American firms are locking in long-term pricing agreements to stabilize costs, whereas European companies are focusing on building inventory to insulate themselves from further shocks.

“Tariffs and geopolitical shifts are doing more than unsettling markets – they’re forcing many industries to rethink materials sourcing. Ongoing uncertainty and shifting regulation are causing disruption. Policymakers globally must act to safeguard vital infrastructure projects and prevent further delays. A convergence of political, environmental, and economic pressures means a much bigger role for the material in the built environment looking forward,” explained Kati ter Horst, President & CEO of Outokumpu.

Looking ahead, optimism remains strong: two out of three participants expect stainless steel demand to climb over the next five years, with one in three forecasting significant growth. Even on a shorter horizon, nearly half of respondents anticipate order volumes rising in the next twelve months. This confidence is linked to stainless steel’s unique value in meeting future challenges — from climate-resilient infrastructure such as bridges, coastal barriers, and skyscrapers to its recyclability and long service life.

Stainless steel is also gaining strategic importance in defense and aerospace, driven by heightened security concerns and new investment programs. The EU’s €800 billion ReArm Europe initiative, which emphasizes sustainable and resilient materials, is expected to boost demand for advanced stainless steel grades that extend asset lifetimes and enable lower-carbon defense infrastructure.

The whitepaper points to stainless steel as a cornerstone of long-term resilience, sustainability, and innovation in an era shaped by political uncertainty, environmental pressures, and technological transformation.

The full study, The Evolution of Materials: Stainless Steel Insights 2025, can be accessed here: Outokumpu | Kickstart the future of stainless steel today.

About Kairos Future

Kairos Future is a Swedish consultancy specializing in strategic intelligence, foresight, and scenario planning. Through trend analysis, innovation, strategy, and software support for AI-driven analytics, we help our clients understand and shape their future. Founded in 1993, Kairos Future is headquartered in Stockholm and has offices and partners around the world. www.kairosfuture.com

Media Contact:

Tel: +358 40 351 9840,

e-mail media(at)outokumpu.com

SOURCE: Outokumpu