Permanent Magnets Market
Permanent Magnets Market By Material (Ferrite-based Permanent Magnets, Neodymium Iron Boron (NdFeB) Permanent Magnets, Aluminum Nickel Cobalt (Alnico) Permanent Magnets, Samarium Cobalt (SmCo) Permanent Magnets), By Application - Global Market Insights 2021 to 2031
Permanent Magnets Market Outlook
A new forecast by Fact.MR estimates that permanent magnets revenues will more than double between 2021 and 2031, reaching US$ 78 Bn at a CAGR of 8.5%. The market is poised to gain traction on the back of growing demand from the consumer electronics industry. Furthermore, traction is provided by the smart homes industry, prompting the market to surpass US$ 34 Bn by 2021.
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Key Points Covered in Permanent Magnets Industry Survey
- Market Estimates and Forecasts 2016-2031
- Key drivers and restraints shaping market growth
- Segment-wise, Country-wise, and Region-wise Analysis
- Competition Mapping and Benchmarking
- Market Share Analysis
- Key Product Innovations and Regulatory Climate
- COVID-19 Impact on Permanent Magnets and how to navigate
- Recommendation on key winning strategy.
Consumption Analysis of Permanent Magnets from 2016-2020 Vs Future Outlook 2021 to 2031
From 2016 to 2020, the market for permanent magnets flourished at a CAGR of 8% to touch US$ 34 Bn. Extensive growth in the electronics sector stimulated demand for permanent magnets to be deployed across their circuitry and basic assembly.
Long-term sales outlook for permanent magnets, according to Fact.MR- a market research and competitive intelligence provider- is undeniably optimistic, projected to surpass US$ 78 Bn at a growth rate of 8.5% throughout the forecast period 2021-2031.
Based on material, neodymium magnets are the strongest type of permanent magnet available commercially, reaching a value of US$ 7 Bn in 2019. The market size for neodymium magnets is projected to reach almost US$ 10 Bn by 2031, growing at a CAGR of 4%.
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How is a Flourishing Global Automotive Industry Generating Permanent Magnets Demand?
Emerging economies such as China are witnessing burgeoning demand for electric vehicles that employ permanent magnet motors. Rapid urbanization is prompting individuals to purchase automobiles, prompting massive investments in the global automotive industry.
As per the UN Environment Program, the leading car manufacturers plan to produce more than 20 Mn EVs per year in 2025, and 60 Mn in 2040. Hence, the demand for permanent magnets is likely to surge in upcoming years.
Increased Adoption of Consumer Electronics to Accelerate Permanent Magnets Adoption?
The millennial population is heavily reliant on smart devices- for recreational as well as professional purposes. Increased adoption of internet compatible devices to conduct businesses through various gadgets, including smartphones, laptops and supercomputers, is augmenting demand for permanent magnets in their assembly.
Furthermore, industrial sensors have become a valuable tool in the manufacturing sector owing to their ability to optimize operating equipment productivity and effectiveness while also improving machine uptime. This will eventually boost the demand for permanent magnets over the forecast period.
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Which are Some Other Lucrative Growth Opportunities for Permanent Magnets Market?
Amplifying expansion in electronics sector has skyrocketed the demand for permanent magnets. Additionally, budding popularity of tech gadgets like phones, speakers, amplifiers supplemented the growth opportunities for permanent magnets across the world.
Technology transitions such as rollout of AI and IoT boosted the electric car manufacturing and automated machines for mining activities. Additionally, growing construction sector have gained new grounds for the application of permanent magnets.
How are Aerospace and Industrial Applications Fueling Permanent Magnets Usage?
Attributing to excellent magnetic properties, neodymium magnets are widely used in the aerospace industry. Application in flight control system, electric environment control system, air oxygen production system, electric brake systems, fuel systems etc. have bolstered the demand for rare earth permanent magnets worldwide.
Furthermore, emerging trends of permanent magnets in industrial applications such as magnetic sweeping, sorting of materials, separation of materials and manufacturing of products helped manufacturers in reducing operational cost and increasing productivity.
Why the U.S. is Generating High Permanent Magnets Demand?
The U.S holds a substantial share in the market for permanent magnets. As per Fact.MR data, it is estimated to touch US$ 5 Bn by 2031, at an expansion rate of 5.7%.
Cumulative deployment across various medical systems and applications such as MRIs, X-rays and magnetic therapies has expanded the market size over the forecast period.
Apart from this, rising environmental concerns have also led to the replacement of fuel-driven vehicles with hybrid electric vehicles fitted with electric magnets, thus stimulating the market growth. Besides, applications in in wind energy generation and the consumer electronics sector is also catalysing demand.
Why is Permanent Magnets Market Flourishing in China?
China is the world leader for all magnetic material, as it singlehandedly mines over 55% of the world's rare earth ores needed for most magnets. This, coupled with low labor and few health and environment policies, has enabled them to expand their magnet industry at 70-130% per year.
Demand for NdFeB magnet market reached a volume of nearly 100,000 tons in 2020, representing the world’s largest market and is strongly driven by the rich availability of raw materials required for their production.
However, the presence of prominent manufacturers such as Beijing Zhong Ke San Huan Hi-Tech, Tianhe Magnets, Ningbo Yunsheng and JL MAG has expanded the market size and created a monopoly over the permanent magnets market.
Why is Neodymium Magnet Gaining Traction?
Neodymium permanent magnets are estimated to reach around US$ 10 Bn by 2031, expanding at nearly 4% CAGR from 2021 to 2031. Increasing R&D spending for development of new treatment methods and medical equipment will thrust product demand in coming years ahead.
According to NIH, neodymium magnets are incorporated in medical devices for instance in magnetic resonance imaging devices to diagnose and treat arthritis, chronic pain syndrome, wound healing, insomnia, headache, and several other diseases due to their ability to generate a static magnetic field.
How is the Automotive Spurring Generating Permanent Magnets Sales?
The emergent automotive industry is propelling the growth of the permanent magnet market. Rising EV adoption is anticipated to uplift the growth over the forecast period.
Key developments by global automobile manufacturers such as Toshiba Corporation, Siemens Inc. and Mercedes-Benz have flourished the automotive sector in recent years. A stellar 10.7% CAGR is projected for this segment through 2031.
Prominent players are embracing innovative approaches such as ground-breaking marketing tactics, technological advancements, mergers, and acquisitions.
- In March 2021, Arnold Magnetic Technologies announced the acquisition of Ramco Electric Motors, Inc. This transaction further advances Arnold’s strategic priorities to deliver new materials and engineered solutions that empower customers to develop next generation technologies
- In April 2021, TimkenSteel Corp. announced a purchase agreement with Daido Steel (Shanghai) Co., Ltd. ("Daido") with the intent to sell its TimkenSteel (Shanghai) Corporation Limited ("TSS") subsidiary in China for approximately US$7 Mn in cash.
Historical Data Available for
|US$ Mn for Value & ‘000 Units for Volume|
Key Regions Covered
Key Countries Covered
Key Market Segments Covered
Key Companies Profiled
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Key Segments Covered
- Ferrite-based Permanent Magnets
- Neodymium Iron Boron (NdFeB) Permanent Magnets
- Aluminum Nickel Cobalt (Alnico) Permanent Magnets
- Samarium Cobalt (SmCo) Permanent Magnets
- Permanent Magnets for Automotive Applications
- Permanent Magnets for Consumer Goods & Electronics
- Permanent Magnets for Industrial Applications
- Permanent Magnets for Aerospace & Defense
- Permanent Magnets for Energy
- Permanent Magnets for Medical Applications
- FAQs -
According to Fact.MR, as of 2020, sales of permanent magnets surpassed US$ 34 Bn
From 2016 to 2020, sales of Permanent magnets expanded at approximately 8% CAGR
From 2021 to 2031, demand for permanent magnets is expected to surge at 8.5% CAGR
Adoption of electric vehicles and developments of AI and IoT is likely to open new doors for permanent magnets across key industries.
Increasing awareness about the medical treatments through neodymium magnets and growing electronics sector have surged the demand for permanent magnets products worldwide.
Demand for Permanent magnets in the Asian region is expected to account for 51% of revenue until 2031.
Adams Magnetic Products Co., Earth-Panda Advance Magnetic Material Co. Ltd., Arnold Magnetic Technologies, Daido Steel Co. Ltd., Eclipse Magnetics Ltd. are some prominent plants based dairy manufacturers included in the report.
Automotive applications is the fastest growing sector, registering a stellar 10.7% CAGR through 2031
Sales of permanent magnets across the U.S are expected to reach US$ 5 Bn by 2031