MAGNETIC MATERIALS MARKET ANALYSIS

Market Challenges And Opportunities

Drivers:

Robust growth in the automotive industry due to the increasing production of automobiles is primarily fueling the market growth of the magnetic materials. Magnetic materials such as soft magnets and hard magnets are widely used in the automotive industry. They are used in motors, alternators, and gearboxes as they require permanent magnets in their mechanism. Moreover, large magnets especially NdFeB and ferrite are used in the moving car parts, engine components, and battery components.

Increasing investment in the development of high-speed locomotive systems that employs electromagnets is projected to foster market growth. Moreover, the development and modernization of infrastructures coupled with the increasing use of permanent magnets in the motors of train doors and lift doors are again propelling the market growth of the magnetic materials. All these factors are projected to accelerate the market growth of the magnetic materials over the forecast period. 

Market Opportunities

The growing demand for magnetic materials in hybrid electric vehicles (HEVs) is expected to bring new market opportunities over the forecast period. Magnetic materials are widely used in the development of hybrid electric vehicles. Thus, increasing the penetration of hybrid electric vehicles is projected to foster market growth. According to the Bureau of Transportation Statistics, Plug-in hybrids and all-electrics combined accounted for 2.1% of the light vehicle market in 2019.

High demand for the electrical & electronics products is expected to offer lucrative growth opportunities over the forecast period. Increasing use of electronic and electrical appliances among the consumer due to increasing disposable income and growing penetration of the internet around the globe is again projected to foster the demand for electrical & electronics products. This is in turn is expected to propel the market growth of the magnetic materials over the forecast period.