# Electric heating: Value chain

Who builds the geysers, hobs and giant steel-melting furnaces

Source page: https://www.materialinsights.org/energy/e_electric_heat/valuechain/

What this tab covers Who does what, from equipment makers to builders, owners, operators, traders and users, with the leading companies at each step.

Element, coil and electronics suppliers feed appliance makers (kettles, water heaters, hobs, microwaves) and heavy-equipment builders (arc and induction furnaces), who sell to households, installers and steelmakers.

#### The chain
 Components and materials Water heater makers Arc furnace builders Steelmakers (EAF operators) Installers and households Kitchen appliance makers

| Stage | What happens | Leading companies |
|---|---|---|
| **Components and materials** | Nickel-chromium resistance wire in magnesium-oxide-filled sheaths, copper coils, IGBTs for induction inverters, magnetrons, graphite electrodes and refractories for arc furnaces. |  |
| **Water heater makers** | Storage and instantaneous water heaters (geysers). A. O. Smith reports itself the largest maker in North America (2025 sales USD 3.83 billion) and names its main competitors by region. | A. O. Smith (United States) Rheem and Bradford White (United States) Rinnai (Japan) Haier and Midea (China) Racold, Bajaj and Havells (India)^[9](https://www.sec.gov/Archives/edgar/data/91142/000009114226000008/aos-20251231.htm) |
| **Arc furnace builders** | Design and supply electric arc furnaces and the melt shops around them. Danieli estimates it has more than half of global EAF sales and had 30 furnaces on order in early 2024 (company claim). Recent large European orders went to Primetals (180-tonne furnace for voestalpine, 2024), SMS group (190-tonne furnace for SSAB, 2024) and Tenova (285-tonne furnace for HKM, 2026). | Danieli (Italy) SMS group (Germany) Primetals Technologies (United Kingdom, part of Mitsubishi Heavy Industries) Tenova (Italy, part of Techint Group)^[8](https://gmk.center/ua/news/na-svitovomu-rinku-vidznachaietsya-visokij-popit-na-eaf-ceo-danieli/)^[12](https://www.primetals.com/en/news/primetals-technologies-chosen-as-supplier-of-electric-arc-furnace-based-steelmaking-plant-in-austria/)^[13](https://gmk.center/en/news/sms-group-to-install-one-of-the-largest-eafs-for-swedish-ssab/)^[14](https://www.heattreattoday.com/wp-content/uploads/2026/08/20260803_PressRelease_Tenova_HKM.pdf) |
| **Steelmakers (EAF operators)** | Arc furnaces made 30.3% of the world's 1,849 million tonnes of crude steel in 2025, about 560 million tonnes (calculated): 71.3% of US output, 45.8% in the EU, 57.7% in India, 25.8% in Japan and 10.6% in China. | ^[3](https://worldsteel.org/wp-content/uploads/World-Steel-in-Figures-2026.pdf) |
| **Installers and households** | Plumbers fit water heaters; households use kettles, hobs and microwaves. Heat pumps were about 3% of new US electric storage water heaters, expected to pass 50% under the 2029 rule. | ^[2](https://www.energy.gov/node/4840799) |
| **Kitchen appliance makers** | Kettles, induction hobs and microwave ovens are mass-produced, largely in China. No free global share ranking was found for these products. Euromonitor ranks Haier the leading major-appliance brand by volume (2025 data); BSH calls itself Europe's largest home appliance maker; one Galanz plant can make 11 million microwave ovens a year (2020). | Midea, Galanz and Haier (China) Panasonic (Japan) LG Electronics (South Korea) BSH (Germany, Bosch Group) Electrolux (Sweden)^[15](https://www1.hkexnews.hk/listedco/listconews/sehk/2026/0330/2026033001928.pdf)^[16](https://www.kbbreview.com/81563/news/euromonitor-names-haier-leading-appliance-brand-for-17th-year/)^[17](https://press.bsh-group.com/pressreleases/demonstrating-resilience-investing-in-the-future-bsh-asserts-itself-with-a-turnover-of-15-euro-billion-in-2025-in-a-challenging-environment-3439937)^[18](https://www.electroluxgroup.com/wp-content/uploads/sites/2/2026/02/electrolux-260219-Press-release-Electrolux-Group-2025-Annual-Report-eng-260219.pdf)^[19](https://www.chinadaily.com.cn/a/202006/29/WS5ef95618a310834817255c2e.html)^[20](https://www.panasonic.com/ca/consumer/home-appliances-learn/panasonickitchen/welcome-to-the-panasonic-kitchen/technology/30yearsofinverter.html)^[21](https://lg.com/ae/about-lg/press-media/lg-introduces-neochef-microwave-oven-with-smart-inverter-technology) |

Water heater and kitchen appliance rankings are company claims; no published share data was found for kettles, hobs or microwaves.

#### Sources

1. [DOE finalizes efficiency standards for water heaters to save Americans over USD 7 billion on household utility bills annually (press release, 30 April 2024)](https://www.energy.gov/node/4840799) US Department of Energy, 2024
2. [World Steel in Figures 2026](https://worldsteel.org/wp-content/uploads/World-Steel-in-Figures-2026.pdf) World Steel Association, 2026
3. [High demand for EAFs on the global market: Danieli CEO](https://gmk.center/ua/news/na-svitovomu-rinku-vidznachaietsya-visokij-popit-na-eaf-ceo-danieli/) GMK Center, 2024
4. [A. O. Smith Corporation Form 10-K for fiscal year 2025](https://www.sec.gov/Archives/edgar/data/91142/000009114226000008/aos-20251231.htm) A. O. Smith / US SEC, 2026
5. [Primetals Technologies chosen as supplier of electric arc furnace based steelmaking plant in Austria (press release, 12 January 2024)](https://www.primetals.com/en/news/primetals-technologies-chosen-as-supplier-of-electric-arc-furnace-based-steelmaking-plant-in-austria/) Primetals Technologies, 2024
6. [SMS group to install one of the largest EAFs for Swedish SSAB](https://gmk.center/en/news/sms-group-to-install-one-of-the-largest-eafs-for-swedish-ssab/) GMK Center, 2024
7. [Tenova to supply Consteel EAF to HKM (press release, 3 August 2026)](https://www.heattreattoday.com/wp-content/uploads/2026/08/20260803_PressRelease_Tenova_HKM.pdf) Tenova (hosted by Heat Treat Today), 2026
8. [Midea Group annual results announcement for the year ended 31 December 2025](https://www1.hkexnews.hk/listedco/listconews/sehk/2026/0330/2026033001928.pdf) Midea Group / HKEX, 2026
9. [Euromonitor names Haier leading appliance brand for 17th year](https://www.kbbreview.com/81563/news/euromonitor-names-haier-leading-appliance-brand-for-17th-year/) kbbreview, 2026
10. [BSH reports turnover of EUR 15 billion in 2025 (press release, 26 March 2026)](https://press.bsh-group.com/pressreleases/demonstrating-resilience-investing-in-the-future-bsh-asserts-itself-with-a-turnover-of-15-euro-billion-in-2025-in-a-challenging-environment-3439937) BSH Hausgeraete, 2026
11. [AB Electrolux publishes 2025 Annual Report (press release, 19 February 2026)](https://www.electroluxgroup.com/wp-content/uploads/sites/2/2026/02/electrolux-260219-Press-release-Electrolux-Group-2025-Annual-Report-eng-260219.pdf) Electrolux Group, 2026
12. [Galanz opens Industry 4.0 microwave oven base in Shunde](https://www.chinadaily.com.cn/a/202006/29/WS5ef95618a310834817255c2e.html) China Daily, 2020
13. [35+ years of inverter technology (microwave ovens)](https://www.panasonic.com/ca/consumer/home-appliances-learn/panasonickitchen/welcome-to-the-panasonic-kitchen/technology/30yearsofinverter.html) Panasonic Canada, 2026
14. [LG introduces NeoChef microwave oven with Smart Inverter technology (press release)](https://lg.com/ae/about-lg/press-media/lg-introduces-neochef-microwave-oven-with-smart-inverter-technology) LG Electronics, 2018

## Other sections

- [Summary](https://www.materialinsights.org/energy/e_electric_heat/index.md)
- [Overview](https://www.materialinsights.org/energy/e_electric_heat/overview/index.md)
- [Correlation](https://www.materialinsights.org/energy/e_electric_heat/correlation/index.md)
- [Science and limits](https://www.materialinsights.org/energy/e_electric_heat/science/index.md)
- [Unit economics](https://www.materialinsights.org/energy/e_electric_heat/economics/index.md)
- [Engineering methods](https://www.materialinsights.org/energy/e_electric_heat/methods/index.md)
- [Equipment and suppliers](https://www.materialinsights.org/energy/e_electric_heat/equipment/index.md)
- [Relationships](https://www.materialinsights.org/energy/e_electric_heat/links/index.md)