Nanocrystalline Soft Magnetic Material Market

Nanocrystalline Soft Magnetic Material Market Outlook (2024 to 2034)

Increasing at a CAGR of 10.2%, the global nanocrystalline soft magnetic material market size is forecasted to jump from US$ 7.79 billion in 2024 to US$ 20.58 billion by 2034. Nanocrystalline soft magnetic materials are exhibiting increasing usage in the automobile industry.

• Short-Term Growth: Emerging trend of inductive charging and increasing demand for smartphones that can be charged inductively are set to result in high demand for nanocrystalline soft magnetic materials as they offer outstanding shielding performance against external interference fields with high transmission.
• Medium-Term Growth: Increasing consumption of nanocrystalline soft magnetic materials in electric vehicles for a range of applications such as inverters, on-board chargers, batteries, DCDC converters, and motors is expected to create lucrative opportunities for market players. Furthermore, rising demand for electric and hybrid vehicles will boost the adoption of nanocrystalline soft magnetic materials.
• Long-Term Growth: R&D activities will create lucrative opportunities for key market players. In magnetic sensors, nanocrystalline soft magnetic materials are exhibiting vast applications, such as for flat inductors, magneto-electronic components, and others. These sensors require thin nanocrystalline soft magnetic films which are layered in structure. The increasing demand for magnetic sensors for security and automotive application are influencing the supply-demand ratio for the nanocrystalline soft magnetic materials.

Nanocrystalline soft magnetic materials (NCSMM) are advanced versions of soft magnetic materials laced with high permeability and high saturation flux density. Owing to its stable temperature characteristics, it provides outstanding performance in electromagnetic noise suppression applications.

Nanocrystalline soft magnetic materials are crystallized alloys with the main chemical composition of Fe and offer improved magnetic characteristics. Attributed to its excellent characteristics over a wide frequency range it is becoming the material of choice in small-sized electrical components, which is expected to increase its consumption over widespread applications, including transforms, motors, generators, and inductors.

These materials are commercially available for use in devices such as high-frequency transformers, power filters, and current sensing. More recently, it has been observed that electric motors made with nanocrystalline stator cores are more efficient than those made with amorphous or Fe-Si steel stator cores.

• North America is estimated to hold 23.1% of the global nanocrystalline soft magnetic material market share in 2024.

Report Attributes	Details
Nanocrystalline Soft Magnetic Material Market Size (2024E)	US$ 7.79 Billion
Forecasted Market Value (2034F)	US$ 20.58 Billion
Global Market Growth Rate (2024 to 2034)	10.2% CAGR
South Korea Market Value (2034F)	US$ 775.3 Million
Two Dimensional Nanocrystalline Soft Magnetic Material Demand Growth (2024 to 2034)	10.8% CAGR
Key Companies Profiled	Hitachi Metal Qingdao Yunlu China Amorphous Technology Advanced Technology Foshan Huaxin OJSC MSTATOR Londerful New Material Orient Group VACUUMSCHMELZE Henan Zhongyue Bomatec

Why is Consumption of Nanocrystalline Soft Magnetic Materials Increasing?

“Rising Demand for Compact Size and High-Performance Power Electronics”

With the value for cost-efficiency gaining higher emphasis among electronic systems manufacturers and end-users alike, designing inductive components using nanocrystalline soft magnetic materials is becoming a new trend. Substantially smaller build-up volume, bigger safety margins, more stable operation, lightweight, and extended temperature range (-25 °C to 120°C (standard) or 180°C (special)) associated with nanocrystalline soft magnetic materials are factors that are leading to its adoption in power electronics applications.

Current trend of high power density, compact size, and higher frequencies in power electronics is set to propel the consumption of nanocrystalline soft magnetic materials in the coming decade.

“Multi-faceted Features Increasing Popularity of Nanocrystalline Soft Magnetic Materials”

High flexibility offered by nanocrystalline soft magnetic materials and the efficacy to achieve complicated geometries provides it a significant advantage over other conventional soft magnetic materials. Two-dimensional (2D) characteristics and features of steel laminations confine molding of shapes and modifying component designs of electronic circuits.

In contrast, exceptional properties and three-dimensional (3D) structures of nanocrystalline soft magnetic materials have enabled a wide range of possibilities. Built-in features, smooth modular structures, and 3D flux paths in new spatial arrangements in electronic circuits are key design areas where immense opportunities lie for key players in the nanocrystalline soft magnetic material market.

What Challenges are Faced by Manufacturers of Nanocrystalline Soft Magnetic Materials?

“Growing Demand for Ultra-Wide & Ultra-Thin Products Increasing Production Complexity”

Amorphous soft magnetic material is a precursor of nanocrystalline soft magnetic material which is prepared by spraying the melted alloy on the water-cooled rotating copper roller to form a thin strip. The highly complex manufacturing process demand high temperature ranging up to 1500oC. Further, to achieve instant solidification it requires a very high cooling rate, ranging up to the level of one million degrees per second with a speed of strip ejection up to 100 km/hr.

The thickness of ejected amorphous strip should be between 20 μm which requires high precision control and automation. In addition to these difficulties, the nanocrystalline product has to pass through heat treatment in which annealing temperature, annealing time, and cooling rate requires high precision. Furthermore, different raw material ratios and different applications, and various downstream products need customized crystallization annealing process parameters.

After final production, the product has to go through the certification process and a number of tests including the high and low-temperature test and salt spray test, the entire certification cycle accounts for over six months. Moreover, continuous downsizing and compact designs coupled with the trend of miniaturization is pushing market players to invest millions of dollars to align with emerging nanocrystalline soft magnetic material market trends.

Above-mentioned facts and scenarios are set to hamper the profit margins and revenues of the market players during the forecast period. Other than these facts, soaring prices of rare earth metals due to ongoing trade war tensions between China and the United States are expected to create an additional challenge for industry leaders.

Start-up Ecosystem

Nanotechnology is transforming the characteristics of various products. The introduction of various advanced nanomaterials such as nanotubes, allotropes, magnetic materials, nanofibers, and quantum dots are leading to the value addition of end products.

• Nanolumi is a Singaporean material technology start-up that supplants conventional perovskite nanocrystals and quantum dot displays (QDs) for premium electronics.

Country-wise Analysis

What is Making the United States a Profitable Market for Nanocrystalline Soft Magnetic Material Suppliers?

“Tech Innovations Set to Boost Sales of Nanocrystalline Soft Magnetic Materials”

Attribute	United States
Market Value (2024E)	US$ 1.29 Billion
Growth Rate (2024 to 2034)	11.1% CAGR
Projected Value (2034F)	US$ 3.7 Billion

The United States is strategically set to hold a major position in the North American market. Manufacturers of nanocrystalline soft magnetic materials in the United States are focusing on technological innovations to meet the demand of regional and international end users. The country’s expanding electric car market is further boosting the soft magnetic composite sales.

What are the Growth Prospects for Nanocrystalline Soft Magnetic Material Producers in Germany?

“Rising Use of Nanocrystalline Soft Magnetic Materials in Automotive Sector”

Germany is one of the major players in automobile component production. The increasing demand for lightweight materials in the field of automotive is anticipated to boost the nanocrystalline soft magnetic material growth.

The nanocrystalline magnetic materials are also exhibiting increasing use in the production of high-performance industrial motors vital for industrial units and in the manufacturing of electronic component.

Will Japan Be a Lucrative Market Over the Coming Years?

“Ongoing Construction Projects Driving Sales of Nanocrystalline Soft Magnetic Materials”

Attribute	Japan
Market Value (2024E)	US$ 643.9 Million
Growth Rate (2024 to 2034)	9.6% CAGR
Projected Value (2034F)	US$ 1.60 Billion

Constant infrastructure development activities and advancements in manufacturing technologies are set to boost the demand for nanocrystalline soft magnetic materials in Japan. Nanocrystalline soft magnetic materials are exhibiting increasing application in the production of commercial and passenger vehicles.

Category-wise Analysis

Which is a Key Application Area of Nanocrystalline Soft Magnetic Material?

“Increasing Use of Nanocrystalline Soft Magnetic Materials in Semiconductor Manufacturing”

Attribute	Semiconductor
Segment Value (2024E)	US$ 3.05 Billion
Growth Rate (2024 to 2034)	9.3% CAGR
Projected Value (2034F)	US$ 7.43 Billion

Semiconductor is backbone of any technological industry and advancement. Semiconductor is finding extensive use in almost every consumer electronics product. These nanocrystalline magnetic materials mitigate electromagnetic interferences, improves energy efficiency, and the overall performance of systems. These materials are also utilized in choke coils and transformers to power electronics.

Which Type of Nanocrystalline Soft Magnetic Material is Widely Used?

“Three Dimensional Nanocrystalline Soft Magnetic Materials Leading Sales Growth”

Attribute	Three Dimensional Nanocrystalline Soft Magnetic Materials
Segment Value (2024E)	US$ 3.8 Billion
Growth Rate (2024 to 2034)	10.2% CAGR
Projected Value (2034F)	US$ 10.06 Billion

Nanocrystalline soft magnetic materials have high permeability and saturation than general ferrite materials. They are primarily used in common mode choke coils due to their high inductance and compactness. Three dimensional nanocrystalline soft magnetic materials are expected to exhibit increasing demand during the next 10 years.

Competitive Landscape

Attractive magnetic properties and unique microstructure of nanocrystalline soft magnetic materials are propelling their research interest. Research efforts for these materials are currently being directed toward the benefits of the combination of different desirable attributes, which in turn are resulting in the development of iron-based bulk nano-structured soft magnetic alloys and WC-Co nano-composites. Thus, R&D initiatives are enabling manufacturers of nanocrystalline soft magnetic materials to explore the new application areas and gain high-profit margins.

• In 2022, JFE Steels launched DenjiroTM insulation coated pure iron powder for soft magnetic composites used in gap motors.

Key Segments of Nanocrystalline Soft Magnetic Material Market Research

• By Classification :

  • One Dimensional
  • Two Dimensional
  • Three Dimensional

• By Application :

  • Transformers
  • Motors
  • Inductors
  • Generators

• By End-Use Industry :

  • Consumer Electronics & Applications
  • Healthcare
  • Automotive
  • Semiconductors
  • Others

• By Region :

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia & Oceania
  • Middle East & Africa