Permanent Magnets Market
Permanent Magnets Market Analysis By Material (Ferrite-based, Neodymium Iron Boron (NdFeB), Aluminum Nickel Cobalt (Alnico), Samarium Cobalt (SmCo)), By Application (Automotive, Consumer Goods & Electronics, Industrial, Aerospace & Defense, Energy, Medical) & By Region – Global Market Insights 2023 to 2033
Analysis of Permanent Magnets Market Covering 30+ Countries Including Analysis of US, Canada, UK, Germany, France, Nordics, GCC countries, Japan, Korea and many more
Permanent Magnets Market Outlook (2023 to 2033)
The global permanent magnets market is estimated at US$ 40.56 billion in 2023 and is forecasted to surge ahead at a CAGR of 8.5% and reach a valuation of US$ 91.71 billion by the end of 2033.
The increasing prominence of renewable energy sources, including solar and wind, is predicted to positively impact demand for permanent magnets. Permanent magnets are utilized in different wind turbine generators to increase their effectiveness. Some rare earth magnets, including neodymium ferrite boron (NdFeB), are significantly used in various wind turbines due to their benefits, including a reduction in maintenance costs and increased reliability.
- Demand for neodymium iron boron (NdFeB)-based magnets is projected to increase at a CAGR of 9% and reach a market value of US$ 27.42 billion by the end of 2033.
- Sales of permanent magnets in Germany are estimated to register a robust CAGR of 9.5% and reach a value of US$ 5.4 billion by the end of 2033.
The market is predicted to gain traction due to the rising demand for permanent magnets from the consumer electronics industry. Moreover, an inclination toward the smart homes industry is also projected to open up opportunities for key players. The burgeoning popularity of tech gadgets, including amplifiers, smartphones, speakers, etc., is also anticipated to supplement growth opportunities in the global market over the coming 10 years.
Several technology transitions, including the rollout of IoT (Internet of Things) and AI (artificial intelligence), have increased the manufacturing of automated machines for various mining activities along with the production of electric cars. Furthermore, permanent magnets are also widely used in the construction industry, which is further widening the horizon for industry players.
The availability of some substitute options for permanent magnets is estimated to limit their adoption. However, rising traction for electric vehicles is predicted to boost the demand for permanent magnets over the coming 10 years.
Fact.MR, a provider of market research and competitive intelligence, published a research report on the global permanent magnets market recently. The report offers detailed insights into various aspects of the market, including growth opportunities, sales analysis, regional overview, new developments, key strategies, and some other initiatives taken by market players.
Permanent Magnets Market Size (2023)
US$ 40.56 Billion
Predicted Market Value (2033)
US$ 91.71 Billion
Global Market Growth Rate (2023 to 2033)
Automotive Segment Value (2033)
US$ 29.90 Billion
United States Market Value (2033)
US$ 25.95 Billion
Germany Market Growth Rate (2023 to 2033)
China Market Growth Rate (2023 to 2033)
Key Companies Profiled
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Why is the Market for Permanent Magnets Soaring to New Heights?
“Flourishing Global Automotive Industry Bolstering Demand for Permanent Magnets”
There are a lot of emerging economies around the world that are experiencing an increase in the demand for electric vehicles that use permanent magnet motors. In addition, rapid urbanization is generating requirements for effective transportation facilities, which prompts the majority of consumers to purchase automobiles as a necessity. Thus, a massive investment in the automotive industry is expected.
For instance :
- According to the UN Environment Program, some prominent car manufacturers are planning to manufacture more than 20 million EVs per year by 2025. They also aim to produce 60 million EVs in 2040.
This increased production of automobiles is estimated to boost the demand for permanent magnets over the coming decade.
“Increasing Aerospace and Industrial Applications of Permanent Magnets”
Excellent magnetic properties of neodymium magnets are predicted to boost their demand in the aerospace industry. They are applied in fuel systems, electric brake systems, air oxygen production systems, environment control systems, flight control systems, etc.
Use of permanent magnets in the industrial sector is estimated to help manufacturers to increase productivity and reduce operational costs. Product manufacturing, separation of materials, sorting of materials, magnetic sweeping, etc., are some key tasks fueling demand for permanent magnets.
Which Factor is Predicted to Slow Down the Sales of Permanent Magnets?
“Fluctuating Cost of Raw Materials Impacting Production of Permanent Magnets”
Constant fluctuations in the cost of raw materials are predicted to have a direct impact on the demand for permanent magnets. From unexpected fluctuations in the prices of raw materials to rising energy costs, certain unforeseen obstacles are impacting supply chains. Therefore, it becomes difficult for suppliers to deliver quality products at economical prices and gain profits.
Prices of rare earth metals that are used to produce permanent magnets are constantly fluctuating. It is affecting the quantity and quality of permanent magnets. Consumers need to bare additional costs. It can sometimes result in limited or reduced consumption of permanent magnets.
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What is the Scope for Start-ups in This Market?
“Development of More Efficient Permanent Magnets”
Rising demand for more efficient permanent magnets from high-end performance industries, including automation, defense, and aerospace is predicted to stimulate new entrants to come up with innovations. Start-ups need to concentrate on developments and innovations to meet the requirements of various end-use industries. Production of energy-efficient and sustainable products and their availability at economical prices are expected to boost opportunities for new market players.
What is Stimulating the Demand for Permanent Magnets in the United States?
“Rising Demand for Rare Earth Magnets for High-end Applications in Various Sectors”
Sales of permanent magnets in the United States are anticipated to increase at a positive CAGR of 8.3% and reach a value of US$ 25.95 billion by the end of 2033.
Demand for numerous rare earth magnets in the United States is estimated to increase at a significant rate compared to their ferrite counterpart due to their use in many high-end applications, including wind power, electric vehicles, wearable devices, and robotics.
Increased deployment of permanent magnets in various medical systems and applications, including X-rays, MRIs (magnetic resonance imaging), and magnetic therapies are contributing to their increased demand. Moreover, rising environmental concerns among various consumers are leading to the growing demand for hybrid electric vehicles that are fitted with electric magnets. In addition, their use in the consumer electronics sector and wind energy generation is also catalyzing the demand.
How Lucrative is the German Market for Suppliers of Permanent Magnets?
“Increasing Production of Electric Motors, Transformers, and Generators”
Demand for permanent magnets in Germany is estimated to advance at a healthy CAGR of 9.5% and reach a market value of US$ 5.41 billion by the end of 2033. Increasing sales of permanent magnets in Germany are due to the significant growth in the electronics sector.
- As per the data provided by the Germany Electrical and Electronic Association, sales in the domestic electronics and digital sector in Germany registered a growth rate of 8.6% and reached US$ 19.17 billion in December 2021, compared to the previous year.
Germany is considered one of the leading producers of electric motors, transformers, and generators that use permanent magnets.
- As per the data provided by the Statistisches Bundesamt, the production of generators, transformers, and electric motors is predicted to help manufacturers to generate a revenue of US$ 19.6 billion by the end of 2025.
Which Aspects are Driving the Sales of Permanent Magnets in Japan?
“Propelling Demand for Permanent Magnets from Electronics and Hardware Sectors”
The permanent magnets market in Japan is forecasted to register a healthy CAGR of 7.2% and reach a valuation of US$ 5.59 billion by the end of 2033.
Growing production of numerous computer hardware devices, including computer chips, hard disks, and microprocessors is predicted to boost sales of permanent magnets. They are extensively used by electronics and hardware manufacturers.
How is the Market for Permanent Magnets Faring in India?
“Increasing Government Initiatives for Deployment of Renewable Energy Sources”
- According to International Data Corporation (IDC), the Indian personal computer industry grew 37.8% in the first quarter of 2022. The laptop and PC shipments increased from 3 million to 4.1 million units in the same year.
Increasing manufacturing of electronic devices is predicted to boost the demand for permanent magnets. Moreover, permanent magnet generators are used in the electricity generation process. The government is taking initiatives to deploy renewable energy sources to improve electricity generation capacity. Sales of permanent magnets in India are projected to expand at a robust CAGR of 8.9% and reach a value of US$ 7.52 billion by the end of 2033.
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Which Facets are Contributing to the Rising Popularity of NdFeB Magnets?
“Rising Use of Neodymium Iron Boron (NdFeB) Magnets in Medical Devices”
Demand for neodymium iron boron (NdFeB) is predicted to advance at a CAGR of 9% and reach a value of US$ 27.42 billion by the end of 2033. Growing R&D spending to develop new medical equipment and treatment methods is estimated to thrust demand for industry products.
According to NIH (National Institutes of Health), neodymium magnets are used in medical devices. They are used in magnetic resonance imaging (MRI) devices for the diagnosis and treatment of arthritis, headache, insomnia, wound healing, chronic pain syndrome, and other diseases. The ability of neodymium magnets to generate a static magnetic field is predicted to boost their demand.
What is Pushing the Sales of Permanent Magnets in the Automotive Sector?
“Growing Adoption of Electric Vehicles Driving Demand for Permanent Magnets”
Automotive, consumer goods & electronics, industrial, aerospace & defense, energy, and medical are some key sectors that are boosting demand for permanent magnets. Among these, the automotive sector is estimated to hold a significant share of the global market revenue due to the growing adoption of electric vehicles.
Sales of permanent magnets in the automotive sector are forecasted to expand at a CAGR of 8.3% and reach a valuation of US$ 29.9 billion by the end of 2033.
Some noteworthy developments by leading automobile manufacturers, including Mercedes-Benz, Siemens Inc., Toshiba Corporation, etc., are predicted to boost the demand for permanent magnets globally.
Key Market Players
Various prominent manufacturers of permanent magnets are spending on strengthening their supply chain management systems. They are investing in innovations, product quality, and other similar initiatives.
Key industry players are adopting innovative approaches, including technological advancements, acquisitions, mergers, agreements, etc., to expand their footprints.
For instance :
- In April 2021, TimkenSteel Corp. announced an agreement with Daido Steel Co., Ltd. (Shanghai). This step was taken to sell TimkenSteel (Shanghai) Corporation Limited’s subsidiary in China for a decided amount.
- Arnold Magnetic Technologies acquired Ramco Electric Motors, Inc. in March 2021. The acquisition helped Arnold to deliver engineered solutions and new materials that empower consumers for the development of next-generation technologies.
Prominent manufacturers of permanent magnets are Adams Magnetic Products Co., Arnold Magnetic Technologies, Earth-Panda Advance Magnetic Material Co. Ltd., Eclipse Magnetics Ltd., Daido Steel Co. Ltd., Electron Energy Corporation, Goudsmit Magnetics Group, Hitachi Metals Ltd., Hangzhou Permanent Magnet Group, Magnequench International LLC, Mingbo Yunsheng Co. Ltd., Shin-Etsu Chemical Co. Ltd., Ninggang Permanent Magnetic Materials Co. Ltd., Thomas & Skinner Inc., and TDK Corporation.
Segmentation of Permanent Magnets Industry Research
By Material :
- Neodymium Iron Boron (NdFeB)
- Aluminum Nickel Cobalt (Alnico)
- Samarium Cobalt (SmCo)
By Application :
- Consumer Goods & Electronics
- Aerospace & Defense
By Region :
- North America
- Asia Pacific
- Latin America
- Middle East & Africa
- FAQs -
The global permanent magnets market stands at US$ 40.56 billion in 2023.
Worldwide sales of permanent magnets are predicted to increase at a CAGR of 8.5% from 2023 to 2033.
Demand for permanent magnets in China is predicted to reach a valuation of US$ 22.74 billion by the end of 2033.
Sales of permanent magnets in the United States are forecasted to reach US$ 25.95 billion by the end of 2033.
Use of permanent magnets in the automotive industry is projected to rise at a CAGR of 8.3% through 2033.
The Indian market is forecasted to reach US$ 7.52 billion by the end of 2033.
The global market is predicted to reach US$ 91.71 billion by the end of 2033.