Vanadium is both deoxidizing and carbide-forming element. By forming carbides, vanadium makes steel structure more fine-grained, stabilizes ferrite in austenitic steels at high temperatures and low carbon content. Vanadium is also used for alloying cast iron. He prevents graphitization, stabilizes cementite and significantly increases the depth of cast iron chill, while increasing its toughness. Vanadium is applied for alloying titanium, niobium, and chromium-based alloys widely used in aviation, rocket and space engineering. Pure metallic vanadium is used in the nuclear industry and in the manufacture of electronic devices.

Ferrovanadium increases hardenability and resistance to tempering. It is used to enhance toughness, resistance of steel to alternating loads. Ferrovanadium is also used to obtain fine-grained structure of steel.