The advanced magnetic materials market is estimated to be USD 24.2 billion in 2023 and is projected to reach USD 38.2 billion by 2028, at a CAGR of 9.5% between 2023 and 2028. The increasing demand for advanced magnetic materials in automotive, industrial and power generation industry is one of the most significant factors projected to drive the growth of the advanced magnetic materials market.
Advanced magnets play a vital role in minimizing energy losses within electric motors. By utilizing high-performance magnets with reduced coercivity and hysteresis losses, the amount of energy dissipated during the magnetization and demagnetization processes is decreased. This leads to improved motor efficiency and decreased energy consumption, contributing to overall energy savings.
The price of rare earth metals and other raw materials used to manufacture advanced magnets has fluctuated significantly in recent years. This has had a negative impact on the quality and quantity of advanced magnets produced, as manufacturers have been forced to pass on the additional costs to consumers. This has led to a decrease in the consumption of advanced magnets, as well as a tarnished image of these materials as being cost-effective. In the case of rare earth permanent magnets, the prices of rare earth materials such as dysprosium and neodymium are particularly volatile due to increasing supply constraints from China. This has made it difficult for manufacturers to maintain a consistent supply of these materials, which has further impacted the quality and quantity of permanent magnets produced.
The prices of neodymium magnets and samarium cobalt magnets are highly volatile due to the fluctuating prices of rare earth minerals. In contrast, the prices of ferrite and alnico magnets are relatively stable due to the stable supply chains of iron and cobalt. These fluctuations in raw material prices have been a major constraint on the growth of the permanent magnets market.
Because they can attain better levels of precision and efficiency than existing approaches, advanced magnetic materials are a potential technology for wafer processing and lithography. With the semiconductor industry expanding, improved magnetic materials are set to play an important role.
A report published by the Center for Research Recovery and Recycling states that the recycling of magnetic materials is a challenging task because of the following reasons:
Recycling magnets can be done through a variety of processes, including hydrometallurgy for rare earth magnets. However, these processes can be harmful to the environment and expensive, as they often require magnets to be shredded or dissolved in acid.
The Chinese chip manufacturer Semiconductor Manufacturing International Corporation (SMIC) is developing its homegrown 5g chips, after the chinese companies had been barred from purchasing 5g technologies from US based companies. The development process requires huge amounts of high quality advanced magnets for sorting and separation of raw materials for silicon wafer lithography, leading to the surge in demand for advanced magnets in China. Also, there is a lot of investments made in India for setting up semiconductor assembly plans which will boost the demand for advanced magnets. The industrial demand for advanced magnets is also experiencing a surge in the past few years due to the automation of industrial manufacturing process using advanced robots. The developments happening across various other end-use industries is driving the consumption of advanced magnets in the region, which will increase the demand for advanced magnetic materials in the region.
This study has been validated through primary interviews with industry experts globally. These primary sources have been divided into the following three categories:
increasing usage of EVs with high energy efficiency to drive the advanced magnetic materials market
Demand for electric vehicles is booming. As per (International Energy Agency) IEA’s annual Global Electric Vehicle Outlook, there were more than 10 million electric cars sold worldwide in 2022. The limited range of electric vehicles and limited infrastructure is restraining the wide adoption of electric vehicles. The electric cars have an average range of 400 Kms.Advanced magnets play a vital role in minimizing energy losses within electric motors. By utilizing high-performance magnets with reduced coercivity and hysteresis losses, the amount of energy dissipated during the magnetization and demagnetization processes is decreased. This leads to improved motor efficiency and decreased energy consumption, contributing to overall energy savings.
Fluctuating raw material cost to restrain for advanced magnetic materials market
The volatility of raw material prices is a major constraint on the growth of the advanced magnet market. This has a wide range of implications for manufacturing companies, as they are faced with unexpected obstacles that destabilize supply chains and make it difficult to deliver high-quality products at low prices while still making a profit. Rising energy costs and unpredictable fluctuations in raw material prices are just two examples of these challenges.The price of rare earth metals and other raw materials used to manufacture advanced magnets has fluctuated significantly in recent years. This has had a negative impact on the quality and quantity of advanced magnets produced, as manufacturers have been forced to pass on the additional costs to consumers. This has led to a decrease in the consumption of advanced magnets, as well as a tarnished image of these materials as being cost-effective. In the case of rare earth permanent magnets, the prices of rare earth materials such as dysprosium and neodymium are particularly volatile due to increasing supply constraints from China. This has made it difficult for manufacturers to maintain a consistent supply of these materials, which has further impacted the quality and quantity of permanent magnets produced.
The prices of neodymium magnets and samarium cobalt magnets are highly volatile due to the fluctuating prices of rare earth minerals. In contrast, the prices of ferrite and alnico magnets are relatively stable due to the stable supply chains of iron and cobalt. These fluctuations in raw material prices have been a major constraint on the growth of the permanent magnets market.
Usage of advanced materials in wafer processing and lithography to provide an opportunity for the advanced magnetic materials market
Wafer processing and lithography utilize advanced materials for a variety of complex procedures. To separate distinctive kinds of particles, advanced magnetic materials are employed. In semiconductor fabrication, for example, a magnetic field is deployed to attract metal particles off the surface of wafers. They are also engaged in magnetic alignment, focusing, and shielding.Because they can attain better levels of precision and efficiency than existing approaches, advanced magnetic materials are a potential technology for wafer processing and lithography. With the semiconductor industry expanding, improved magnetic materials are set to play an important role.
Recycling of magnetic materials to be a major challenge for advanced magnetic materials market
Magnetic materials have superior properties, such as high strength, high coercivity, and temperature stability. However, recycling these materials is a challenging task. This is because magnetic materials are often mixed with other materials, making it difficult to separate the magnetic materials from the other materials. For example, rare earth magnets are made from a combination of various elements, including rare earth elements and other elements.A report published by the Center for Research Recovery and Recycling states that the recycling of magnetic materials is a challenging task because of the following reasons:
- Magnetic materials are often mixed with other materials, making it difficult to separate the magnetic materials from the other materials.
- The separation process can be energy intensive.
- The separation process can release harmful pollutants into the environment.
Recycling magnets can be done through a variety of processes, including hydrometallurgy for rare earth magnets. However, these processes can be harmful to the environment and expensive, as they often require magnets to be shredded or dissolved in acid.
Asia Pacific to be the dominating region in advanced magnetic materials market in terms of both value
Asia Pacific led the advanced magnetic materials market, in terms of value, in 2022 and is projected to register a CAGR of 9.8% between 2023 and 2028. The growth of the region's market is driven by increasing automotive companies focusing on developing hybrid and electric vehicles in the region. The demand for advanced magnets in the Asia Pacific region is increasing due to the nature of developing economy. With the increasing focus in development of silicon chipsets in the region, the need for advanced magnets for wafer lithography process is also finding surge in demand in the region.The Chinese chip manufacturer Semiconductor Manufacturing International Corporation (SMIC) is developing its homegrown 5g chips, after the chinese companies had been barred from purchasing 5g technologies from US based companies. The development process requires huge amounts of high quality advanced magnets for sorting and separation of raw materials for silicon wafer lithography, leading to the surge in demand for advanced magnets in China. Also, there is a lot of investments made in India for setting up semiconductor assembly plans which will boost the demand for advanced magnets. The industrial demand for advanced magnets is also experiencing a surge in the past few years due to the automation of industrial manufacturing process using advanced robots. The developments happening across various other end-use industries is driving the consumption of advanced magnets in the region, which will increase the demand for advanced magnetic materials in the region.
This study has been validated through primary interviews with industry experts globally. These primary sources have been divided into the following three categories:
- By Company Type - Tier 1 - 60%, Tier 2 - 20%, and Tier 3 - 20%
- By Designation - C Level - 33%, Director Level - 33%, and Others - 34%
- By Region - North America - 20%, Europe - 25%, Asia Pacific (APAC) - 25%, Latin America - 10%, Middle East & Africa (MEA) - 20%
The report provides a comprehensive analysis of company profiles:
Prominent companies include Hitachi Metals Ltd. (Japan), TDK Corporation (Japan), Daido Steel Ltd. (Japan), Shin-Etsu Chemical Co. Ltd. (Japan), Arnold magnetic Technologies (US), Electron Energy Corporation (US), Anhuui Sinomag Technology Co. Ltd. (China), Neo (Canada), Yantai Dongxing Magnetic Materials Inc. (China), Dexter Magnetic Technologies, DMEGC (China), Master Magnetics Inc. (), Adams Magnetic Products Co. Inc. (US), Viona Magnetics, Guangdong Lingyl Co. Ltd. (China), Tengam, Engineering, Bogen Magnetics GmbH, Bunting Magnetics Co., Ningbo Yunsheng Co. Ltd. (China), Vacuumschmelze GmbH & Co. KG (Germany), among others.Research Coverage
This report covers the global advanced magnetic materials market and forecasts the market size until 2028. It includes the following market segmentation - by Type (Permanent magnetic materials, Semi-hard magnetic materials. Soft magnetic materials), by End-Use Industry (Automotive, Electronics, Industrial, Power Generation, Medical, and Others), and Region (North America, Europe, Asia Pacific, Middle East & Africa, South America). A detailed analysis of the key industry players has been done to provide insights into their business overview, solutions, services; key strategies; Contracts, partnerships, and agreements. New product & service launches, mergers and acquisitions, and recent developments associated with the advanced magnetic materials market. Competitive analysis of upcoming startups in the advanced magnetic materials market ecosystem is covered in this report.Reasons to buy this report:
The report will help the market leaders/new entrants in this market with information on the closest approximations of the revenue numbers for the overall advanced magnetic materials market and the subsegments. This report will help stakeholders understand the competitive landscape and gain more insights to position their businesses better and plan suitable go-to-market strategies. The report also helps stakeholders understand the pulse of the market and provides them with information on key market drivers, restraints, challenges, and opportunities.The report provides insights on the following pointers:
- Analysis of key drivers (Increasing usage of EVs with higher energy efficiency, Development of new industrial robots, Increasing demand for efficiency and miniaturization, Development and modernization of infrastructure), restraints (Recent trade bans imposed by Chinese government on new technologies that will affect the market, Fluctuating raw material cost, Lack of quality control in developing countries), opportunities (Usage of AlNiCo and ferrite materials for enhancing efficiency of electrical motors, Usaghe of advanced materials in wafer processing and lithography, Development of magneto carofic materials for HVAC), and challenges (High cost of rare earth magnets, Recycling of magnetic materials, Huge investment required in R&D) influencing the growth of the advanced magnetic materials market
- Product Development/Innovation: Detailed insights on upcoming technologies, research & development activities, and new product & service launches in the advanced magnetic materials market
- Market Development: Comprehensive information about lucrative markets - the report analyses the advanced magnetic materials market across varied regions.
- Market Diversification: Exhaustive information about new products & services, untapped geographies, recent developments, and investments in the advanced magnetic materials industry market
- Competitive Assessment: In-depth assessment of market shares, growth strategies, and service offerings of leading players like Hitachi Metals Ltd. (Japan), TDK Corporation (Japan), Daido Steel Ltd. (Japan), Shin-Etsu Chemical Co. Ltd. (Japan), Arnold magnetic Technologies (US), Electron Energy Corporation (US), Anhuui Sinomag Technology Co. Ltd. (China), Neo (Canada), Yantai Dongxing Magnetic Materials Inc. (China), Dexter Magnetic Technologies, DMEGC (China), Master Magnetics Inc. (), Adams Magnetic Products Co. Inc. (US), Viona Magnetics, Guangdong Lingyl Co. Ltd. (China), Tengam, Engineering, Bogen Magnetics GmbH, Bunting Magnetics Co., Ningbo Yunsheng Co. Ltd. (China), Vacuumschmelze GmbH & Co. KG (Germany), among others in the advanced magnetic materials market
Table of Contents
1 Introduction
2 Research Methodology
3 Executive Summary
4 Premium Insights
5 Market Overview
6 Advanced Magnetic Materials Market, by End-use Industry
7 Advanced Magnetic Materials Market, by Type
8 Advanced Magnetic Materials Market, by Region
9 Competitive Landscape
10 Company Profiles
11 Appendix
Companies Mentioned
- Hitachi Metals, Ltd.
- Tdk Corporation
- Daido Steel Co. Ltd.
- Shin-Etsu Chemical Co. Ltd.
- Vacuumschmelze GmbH & Co. KG
- Ningbo Yunsheng Co, Ltd.
- Anhui Sinomag Technology Co. Ltd.
- Neo
- Dmegc
- Arnold Magnetic Technologies
- Dexter Magnetic Technologies
- Yantai Dongxing Magnetic Materials Inc
- Adamsmagnetic.Com
- Master Magnetics, Inc.
- Viona Magnetics
- Guangdong Lingyi Co. Ltd.
- Tengam
- Bogen Magnetics GmbH
- Bunting
- Electron Energy Corporation
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 210 |
| Published | January 2024 |
| Forecast Period | 2023 - 2028 |
| Estimated Market Value ( USD | $ 24.2 Billion |
| Forecasted Market Value ( USD | $ 38.2 Billion |
| Compound Annual Growth Rate | 9.5% |
| Regions Covered | Global |
| No. of Companies Mentioned | 20 |
