Magnetic materials are objects which produce a magnetic field. They include a wide variety of materials which are used in an extensive range of applications. Magnetic materials are majorly used in the production and distribution of electricity and are thus an integral part of various socio-economic factors globally. Moreover, advanced magnetic materials have been included as key components in many devices which serve as vital gears in modern electrical engineering and electronics. Magnetic materials are segmented on the basis of their properties, applications and hardness. If a material is easily magnetized and demagnetized, it is referred to as being soft magnetic. However, if the material is difficult to magnetize and demagnetize, it is referred to as semi-hard or hard.
Growing demand for magnetic materials due to rising automotive industry is expected to be one of the major growth factors for the market. In addition, on account of the rising demand for electricity, the increasing consumption of magnetic materials in wind turbine energy generation industries is also expected to contribute towards the growth of the market. However, the fluctuating prices of rare earth metals such as dysprosium and neodymium is expected to slow down the growth of the market in the near future. The increasing application scope of magnets in hybrid electric vehicles (HEVs) coupled with rising demand for these vehicles is anticipated to open opportunities for the growth of the market over the next few years.
The global demand for magnetic materials was the highest for semi-hard magnetic materials which accounted for over 55% of the market share in 2012. Analog and digital recording is a significant industry using large quantities of semi-hard magnetic materials for media recording, as well as using miniature magnetic circuits in the “write” and “read” heads. Demand for other magnetic materials such as hard and soft magnets have been notably high owing to factors such as easy availability, low price of ferrites, significant performance properties and rapidly growing industrialization. Moreover, hard magnets such as NdFeB are considered to be the strongest permanent magnets and the demand for these magnets is expected to grow exponentially within the forecast period on account of their increasing use in various electronics, automotive and energy generation industries, and the subsequent growth of these industries.
The demand for magnetic materials was the largest from the automotive application segment at the end of 2012. The demand for magnetic materials has been growing rapidly due to the high growth numbers of the automotive industry, and these products are being used for a wide range of applications such as gearbox, alternators and pollution control. However, future market growth is anticipated to be from the energy generation application segment on account of rising demand for electricity due to various factors such as rapid industrialization and population growth. The energy generation segment is expected to grow at a CAGR of 8.8%, from 2013 to 2019.
Asia Pacific garnered the largest share in terms of consumption in the global market for magnetic materials and accounted for 79.0% of the global demand in 2012. The region has been significant in the magnetic materials industry on account of growing demand from manufacturing industries such as automotives and electronics. Europe was the second largest consumer of magnetic materials owing to various factors such as high demand from current and emerging applications, modernization and development of infrastructure. In addition, Asia Pacific is expected to witness the fastest growth over the forecast period on account of rising demand for magnetic materials such as permanent magnets in China, Korea, Japan and other countries due to growth of the wind power industry.
A.K. Steel Holding Corporation, Arnold Magnetic Technologies, Electron Energy Corporation, Hitachi Metals, Ltd., Lynas Corporation Ltd. and Molycorp Inc., among others, are some of the key players present in the magnetic materials industry.
Magnetic materials are objects that naturally possess magnetic properties or can be magnetized. Based on their properties and end-use, these materials can be classified as permanent or temporary. Different types of magnetic materials such as soft, hard and semi-hard are used in the magnetic materials industry. Soft magnetic materials are further bifurcated into soft ferrite and electrical steel, while hard (permanent) magnetic materials are segmented into hard ferrite, NdFeB, SmCo, and alnico. These materials are used in various applications such as automotives, electronics and energy generation.
We conducted in-depth interviews and discussions with numerous key industry participants and opinion leaders for the research report. Primary research represents the bulk research effort coupled with an extensive secondary research. We reviewed key players’ annual reports, product portfolio, press releases, and relevant documents for competitive analyses and better understanding of the market. Secondary research includes in-depth research on current trends, technical writing, recent trades, internet sources, trade associations, statistical data from government websites and associated authorized agency websites.
Secondary research sources that are typically referred to include, but are not limited to:
- Company websites, annual reports, financial reports, broker reports, investor presentations, and SEC filings
- Internal and external proprietary databases, and relevant patent and regulatory databases
- National government documents, statistical databases and market reports
- News articles, press releases, and webcasts specific to companies operating in the market
We conduct primary interviews on an ongoing basis with industry participants and commentators in order to validate data and analysis. A typical research interview fulfills the following functions:
- Provides first-hand information on market size, market trends, growth trends, competitive landscape, outlook, etc.
- Helps in validating and strengthening the secondary research findings
- Further develops the analysis team’s expertise and market understanding
- Primary research involves e-mail interactions, telephonic interviews as well as face-to-face interviews for each market, category, segment, and sub-segment across geographies
The report on magnetic materials provides a detailed analysis and forecast of the market on a global as well as regional level from 2013 to 2019. On the global level, the market has been segmented based on volume (kilo tons) and revenue (USD million) from 2013 to 2019. For an in-depth understanding of the market on the regional level, demand has been forecast based on volume (kilo tons) and revenue (USD million) for a time period ranging between 2013 and 2019. The report includes drivers and restraints, and their impact on the growth of the market during the forecast period. Furthermore, the report encompasses opportunities available for growth of the market on the global as well as regional level.
We have included a thorough analysis of the value chain in order to provide a detailed understanding of the market. Additionally, we have included Porter’s Five Forces model, which provides an in-depth insight into the intensity of competition in the market. Furthermore, the study comprises a market attractiveness analysis, where numerous applications are benchmarked based on market size, growth rate and general attractiveness.
The market has been segmented based on product and applications. Each such segment has been analyzed and forecast based on volume (kilo tons) and revenue (USD million) from 2013 to 2019. Additionally, the segments have been analyzed and forecast based on current trends at the global as well as regional level for the given time period. Geographically, the market has been segmented into North America, Europe, Asia Pacific and Rest of the World (RoW). Demand has been analyzed and forecast based on the current trends for a period of six years.
The study features profiles of companies such as A.K. Steel Holding Corporation, Arnold Magnetic Technologies, Electron Energy Corporation, Hitachi Metals, Ltd., Lynas Corporation Ltd. and Molycorp Inc. The market has been segmented as below:
Magnetic Materials Market - Product Segment Analysis
Soft magnetic materials
- Soft ferrite
- Electrical steel
Permanent magnetic materials
- Hard ferrite
- Semi-hard magnetic materials
Magnetic Materials Market - Application Analysis
- Energy generation
- Others (Including household applications, etc.)
Magnetic Materials Market - Regional Analysis
- North America
- Rest of the World (RoW)