all report title image

MAGNETIC MATERIALS MARKET ANALYSIS

Magnetic Materials Market, By Product Type (Soft Magnetic Materials, Permanent Magnetic Materials, Semi-Hard Magnetic Materials), By Application (Automotive & Transportation, Electronics, Energy, Others), By Geography (North America, Latin America, Asia Pacific, Europe, Middle East, and Africa)

  • Published In : Oct 2024
  • Code : CMI1968
  • Pages :100
  • Formats :
      Excel and PDF
  • Industry : Advanced Materials

Magnetic Materials Market Size and Trends

Magnetic materials market is estimated to be valued at USD 31.41 Bn in 2024 and is expected to reach USD 45.61 Bn by 2031, exhibiting a compound annual growth rate (CAGR) of 5.5% from 2024 to 2031.

Magnetic Materials Market Key Factors

Discover market dynamics shaping the industry: Request sample copy

Factors such as increasing use of magnetic materials across various end-use industries including automotive, electric & electronics among others can drive the market growth. Furthermore, growing demand for electric vehicles and focus towards energy efficient products can also drive the market growth. Wide application in motors, transformers, generators, and various other electromagnetic applications boosts demand for magnetic materials. Advancements in technology coupled with research & development activities for developing innovative magnetic materials is can drive the market growth in the near future.

Magnetic Materials Market By Product Type

Discover high revenue pocket segments and roadmap to it: Request sample copy

Insights, By Product Type- Soft Magnetic Materials: Leading the Market in 2024

In terms of product type, soft magnetic materials segment is estimated to contribute the highest market share of 49.3% in 2024, owing to their widespread applications. Soft magnetic materials such as iron, cobalt, and nickel are highly suitable for applications that require magnetic properties along with good electrical conductivity. These materials have low coercivity, which allows them to easily switch magnetic alignment or polarization when exposed to an external magnetic field. Their low retentivity enables them to lose magnetic polarization when the external field is removed.

Insights, By Application- Automotive & Transportation contributes the highest share of the market due to rising electrification trends

In terms of application, automotive & transportation segment is estimated to contribute the highest market share of 29.3% in 2024. Automotive industry is undergoing rapid electrification with a growing focus on developing electric and hybrid vehicles. This transition towards electrification boosts demand for magnetic materials from the automotive sector. Electric vehicles utilize various magnetic components such as electric motors that require core materials with soft magnetic properties.

Regional Insights

Magnetic Materials Market Regional Insights

To learn more about this report, Request sample copy

Regional Analysis- Magnetic Materials Market

Dominating Region- Asia Pacific

Asia Pacific is projected to hold the largest revenue share of 71.2% in 2024 within the magnetic materials market. This region's dominance is attributed to its robust manufacturing and industrial sectors that heavily rely on magnetic materials. Additionally, government backing for research and development, along with partnerships between research institutions and industry stakeholders, has fostered ongoing advancements in magnetic materials.

Fastest-Growing Region- Europe

The Europe region is experiencing rapid growth, driven by the expanding end-use industries like consumer electronics, automotive, and healthcare in emerging economies. Supportive policies encourage domestic manufacturing of magnetic materials and enhance regional production capabilities. Additionally, foreign investments in these countries are helping to improve capacity and foster new product development.

Magnetic Materials Market Outlook for Key Countries

U.S. - U.S. market is led by major players engaged in cutting-edge research for advanced applications. Strategic collaborations extend the technological leadership.

China- China market growth is driven by low-cost manufacturing and increasing domestic demand for electronics and electric vehicles. State-funded initiatives support the development of local champions.

Japan- Japan excels in specialized segments, providing high-quality solutions with an emphasis on process optimization and application engineering support.

India- India's market growth is bolstered by cost advantages and a substantial talent pool. There is a strong emphasis on indigenization through collaborations between foreign companies and local small and medium enterprises (SMEs).

Market Concentration and Competitive Landscape

Magnetic Materials Market Concentration By Players

Get actionable strategies to beat competition: Request sample copy

Top Strategies Followed by Magnetic Materials Market Players

Established Players focuses heavily on R&D to develop innovative products. Industry giants like Hitachi Metals and TDK invest over 5% of their annual revenues in R&D. Their state-of-the-art R&D facilities help accelerate product development cycles. Leading players also pursue strategic partnerships to gain access to newer technologies and markets.

Mid-sized companies deliver cost-effective solutions to attract price-conscious customers. Companies like Daido Electronics and Shin-Etsu Chemical differentiate their offerings from competitors through affordable prices without compromising on quality. These form technology collaborations to lower production costs and improve efficiencies.

Small players focus on niche specialization and technological innovation. These leverage advanced technologies like 3D printing for complex-shaped magnetic parts. NanoScale Corporation develops customized nanocomposite magnetic powders using its proprietary manufacturing process.

Emerging Startups in the Magnetic Materials Market

This market is witnessing a wave of innovative startups that are reshaping the industry landscape. These companies are leveraging advanced technologies and sustainable practices to meet the growing demands of various sectors.

Startups like MagMotor focuses on developing sustainable solutions. It produces rare-earth free electric motors using innovative magnetic material design. InfiniTech Recycling employs a patented process to recover and recycle NdFeB magnets from electronic waste, reducing the industry's environmental impact.

MagnetiX Innovations focuses on high-performance magnetic materials specifically for consumer electronics, emphasizing eco-friendly production methods. Their goal is to minimize environmental impact while enhancing product efficiency.

specializes in nanostructured magnetic materials tailored for healthcare applications. They are at the forefront of developing magnetic drug delivery systems, collaborating with research institutions to drive cutting-edge solutions.

Magnetic Materials Industry News

  • In November 2020, Zhong Ke San Huan announced that it had completed construction of a new production line for its rare-earth-free magnets. It would have an annual production capacity of 1,000 tons. The new production line uses advanced manufacturing technologies. These include vacuum melting and directional solidification to produce high-quality magnets with superior magnetic properties. Beijing Zhong Ke San Huan Hi-Tech Co., Ltd., commonly referred to as Zhong Ke San Huan, is a prominent company in the magnetic materials industry.

In October 2020, Hitachi Metals announced that it had developed a new type of magnet made from rare-earth-free materials. It is called the RE-free magnet. The company claimed that RE-free magnet has high magnetic properties that are comparable to those of conventional magnets made with rare earth metals. Hitachi Metals, now known as Proterial, Ltd., is a prominent manufacturer specializing in high-grade specialty steel products, magnetic materials, and functional components.

Key Takeaways from Analyst

The magnetic materials market is expected to witness significant growth driven by increasing demand in sectors like electronics, automotive, and renewable energy. Innovations in magnetic materials, such as high-performance magnets and advanced manufacturing techniques, are enhancing product efficiency and driving market expansion. The rise of electric vehicles is a major factor, as they require high-performance magnetic materials for motors and batteries, boosting demand in this segment.

Asia Pacific is a leading region in the magnetic materials market, driven by industrial growth in countries like China and Japan. North America and Europe are also significant due to their advanced manufacturing sectors. The growth of renewable energy technologies, particularly wind and solar, is increasing the demand for magnetic materials used in generators and energy storage systems. The market faces challenges such as fluctuating raw material prices and supply chain disruptions, which can impact production costs and availability. 

Market Report Scope

Magnetic Materials Market Report Coverage

Report Coverage Details
Base Year: 2023 Market Size in 2024: US$ 31.41 Bn
Historical Data for: 2019 to 2023 Forecast Period: 2024 to 2031
Forecast Period 2024 to 2031 CAGR: 5.5% 2031 Value Projection: US$ 45.61 Bn
Geographies covered:
  • North America: U.S. and Canada
  • Latin America: Brazil, Argentina, Mexico, and Rest of Latin America
  • Europe: Germany, U.K., Spain, France, Italy, Russia, and Rest of Europe
  • Asia Pacific: China, India, Japan, Australia, South Korea, ASEAN, and Rest of Asia Pacific
  • Middle East: GCC Countries, Israel, and Rest of Middle East
  • Africa: South Africa, North Africa, and Central Africa
Segments covered:
  • By Product Type: Soft Magnetic Materials, Permanent Magnetic Materials, Semi-Hard Magnetic Materials
  • By Application: Automotive & Transportation, Electronics, Energy, Others 
Companies covered:

AK Steel Holding Corporation, Arnold Magnetic Technologies, Electron Energy Corporation, Hitachi Metals, Ltd., Lynas Corporation Ltd., Molycorp Inc., OM Group, Shin-Etsu Chemicals Co., Ltd., Tengam Engineering Inc., TDK Corporation, Daido Steel Co. Ltd

Growth Drivers:
  • Growing demand from automotive industry
  • Increasing investment in the high-speed locomotive device
Restraints & Challenges:
  • High investment required for R&D
  • Intermittency in wind and solar resources

Uncover macros and micros vetted on 75+ parameters: Get instant access to report

Market Dynamics

Market Driver - Growing demand from automotive industry

The automotive industry has been swiftly adopting magnetic materials in their designs to meet higher fuel efficiency standards and produce lighter yet powerful electric vehicles. Motors used in automobiles contain magnetic components that require strong rare-earth permanent magnets.

The rising demand for electric vehicles (EVs) is significantly impacting on the market, particularly in the context of rare-earth permanent magnets. For instance, data released in 2023, according to the U.S. Department of Energy, the automotive sector now accounts for over 30% of the global demand for these magnets. This shift is primarily driven by the increasing adoption of EVs, which require high-performance magnets for their motors and drivetrains.

Market Challenge - High investment required for R&D

Magnetic materials market faces significant challenges due to high investment required for research and development activities. Developing new magnetic materials and substances that can perform optimally requires extensive research at the nanoscale level. Such lengthy gestation periods associated with high capital costs deter many companies from actively pursuing innovation in this domain. For example, the US Department of Energy's 2021 budget for the Advanced Research Projects Agency-Energy was US$ 430 million, a major portion of which was allocated to explore revolutionary solutions in advanced materials and other energy technologies. Scaling up production of new magnetic materials poses technical challenges that increase project risks.

Market Opportunities- Advances in battery storage technologies

Magnetic materials market can witness growth opportunities due to advancements in battery storage technologies. Lithium-ion batteries used in electric vehicles, consumer electronics, and grid-scale energy storage rely on specialized magnetic materials for improved performance. For instance, in January 2022, according to the International Energy Agency, electric car stock grew by 41% worldwide in 2021 with over 6.6 million new registrations. This surge in EV adoption strain supplies of materials like neodymium and put pressure on manufacturers to find substitutes or ways to use less of these critical resources It also envisions using novel magnetic material formulations to assist overcome critical constraints of current battery technologies. 

Market Segmentation

  •  Product Type Insights (Revenue, USD, 2019 - 2031)
    • Soft Magnetic Materials
    • Permanent Magnetic Materials
    • Semi-Hard Magnetic Materials
  •  Application Insights (Revenue, USD, 2019 - 2031)
    • Automotive & Transportation
    • Electronics
    • Energy
    • Others
  • Regional Insights (Revenue, USD, 2019 - 2031)
    • North America
      • U.S.
      • Canada
    • Latin America
      • Brazil
      • Argentina
      • Mexico
      • Rest of Latin America
    • Europe
      • Germany
      • U.K.
      • Spain
      • France
      • Italy
      • Russia
      • Rest of Europe
    • Asia Pacific
      • China
      • India
      • Japan
      • Australia
      • South Korea
      • ASEAN
      • Rest of Asia Pacific
    • Middle East
      • GCC Countries
      • Israel
      • Rest of Middle East
    • Africa
      • South Africa
      • North Africa
      • Central Africa
  • Key Players Insights
    • AK Steel Holding Corporation
    • Arnold Magnetic Technologies
    • Electron Energy Corporation
    • Hitachi Metals, Ltd.
    • Lynas Corporation Ltd.
    • Molycorp Inc.
    • OM Group
    • Shin-Etsu Chemicals Co., Ltd.
    • Tengam Engineering Inc.
    • TDK Corporation
    • Daido Steel Co. Ltd

Share

About Author

Yash Doshi is a Senior Management Consultant. He has 12+ years of experience in conducting research and handling consulting projects across verticals in APAC, EMEA, and the Americas.

He brings strong acumen in helping chemical companies navigate complex challenges and identify growth opportunities. He has deep expertise across the chemicals value chain, including commodity, specialty and fine chemicals, plastics and polymers, and petrochemicals. Yash is a sought-after speaker at industry conferences and contributes to various publications on topics related commodity, specialty and fine chemicals, plastics and polymers, and petrochemicals.

Missing comfort of reading report in your local language? Find your preferred language :

Frequently Asked Questions

Magnetic materials market is estimated to be valued at USD 31.41 Bn in 2024 and is expected to reach USD 45.61 Bn by 2031.

The CAGR of magnetic materials market is projected to be 5.5% from 2024 to 2031.

Growing demand from automotive industry and increasing investment in the high-speed locomotive device are the major factors driving the market growth.

High investment required for R&D and intermittency in wind and solar resources are the major factors hampering the market growth.

In terms of product type, soft magnetic materials segment is estimated to dominate the market in 2024.

AK Steel Holding Corporation, Arnold Magnetic Technologies, Electron Energy Corporation, Hitachi Metals, Ltd., Lynas Corporation Ltd., Molycorp Inc., OM Group, Shin-Etsu Chemicals Co., Ltd., Tengam Engineering Inc., TDK Corporation, and Daido Steel Co. Ltd are the major players.

Asia Pacific is expected to lead the magnetic materials market in 2024.
Logo

Credibility and Certifications

ESOMAR
DUNS Registered

860519526

Clutch
Credibility and Certification
Credibility and Certification

9001:2015

Credibility and Certification

27001:2022

Select a License Type





Logo

Credibility and Certifications

ESOMAR
DUNS Registered

860519526

Clutch
Credibility and Certification
Credibility and Certification

9001:2015

Credibility and Certification

27001:2022

EXISTING CLIENTELE

Joining thousands of companies around the world committed to making the Excellent Business Solutions.

View All Our Clients
trusted clients logo
© 2024 Coherent Market Insights Pvt Ltd. All Rights Reserved.