Metal Powder Market

Metal Powder Market: Overview

The market size for Metal Powder Market was USD 6.2 Billion in 2021, projected to grow at a CAGR of 4.2 percent during the forecast period. The idea of additive manufacturing is frequently linked to 3D printing. It is a widely used technique connected to the demand for powdered metal and has grown over the past few years because of its robust functional properties, quick production, and high reusability rate. The need for these in 3D printing is also increased by various compatible materials and lower prices, which is anticipated to drive the worldwide metal powder market. The advantages of lower prices and greater data quality gained by several producers and users who recently switched from conventional methodologies to optical dispersion and image processing particle characterizing devices have propelled the market's expansion.

The need for finished parts created with metal powder is anticipated to increase due to increased automobile manufacturing, demand for electrical and electronic devices, and the large potential consumer markets in Asia, including China and India. As a result of the increased demand for metal powder, particularly in the automotive industry, the global market for metal powder is anticipated to expand at a respectable rate during the forecast period. A five-year deal was inked in July 2020 between Burloak Technologies and MDA Corporation to create space applications using additive manufacturing. Over the next years, it is anticipated that this agreement will aid both businesses in maximizing their design and production capacities.

China is able to create metal powder for less money than countries like the US, Germany, and Japan. Therefore, the majority of customers choose to import parts from China. International players' overall performance suffers as a result of having to operate on slim profit margins due to the dominance of Chinese companies. which hurts their overall performance. As a result, metal powder sales are predicted to suffer globally in the upcoming years. In Shanghai, China, BASF established a new Center of Excellence laboratory for its Catamold division in June 2021. For powder injection molding, there are ready-to-use pellets called Catamold. It is made up of a specially formulated binding agent and metal powder. In China and the rest of Asia, the new factory would act as the center of expertise for products and solutions for the metal injection molding (MIM) sector.

Metal Powder Market: COVID-19 Impact

The manufacturing industry has been halted by the COVID-19 epidemic, which has affected the market. People have stayed at home due to travel bans and lockdowns, reducing the need for these to produce final goods. Despite this, the market is anticipated to develop in the coming years due to the rising demand for these products due to the relaxation of limitations. The COVID-19 pandemic has significantly impacted the automotive sector by disrupting high-volume manufacturing in Europe, exports of car parts from China, and the closure of assembly lines in India and the United States. The cessation of manufacturing operations and the constrained supply of automotive parts impacted manufacturers’ demand. In terms of supply, there has been a fall in car sales and a reduction in working capital. For instance, according to the Society of Indian Automobile Manufacturers (SIAM), sales of passenger cars dropped in India from April to June 2020 by 78.7% compared to the same time in 2019.

Metal Powder Market: Drivers

Increased Automotive Sales and Automotive Industry Growth Has Continuously Fueled Market Growth

Globally, the automotive industry dominates the market for metal powder. Many different types of vehicle parts are produced using components made from metal powders. Transmission, engine, oil pump, exhaust system, and chassis are some major components made using metal powders. These parts are essential to the operation of an automobile. Due to its low energy requirements, powder metallurgy allows for cost savings of 40% or more when producing components composed of metal powders. Up to 97% of the entire metal can be used in the process, which uses 43% less energy than traditional methods. Vehicle sales have increased due to rising disposable income and consumer-friendly financing options that have made buying cars simple. Therefore, it is anticipated that growth in the automotive sector and an increase in vehicle sales will soon propel the market value for metal powder.

Demand for Metal Powder to Make Structural Components and Additives Growing Has Fueled Market Growth

One of the main uses for metal powders is the production of structural components. The main materials utilized in structural components are iron and steel. Manufacturers are encouraged to use press and sinter procedures because they result in products with better cost-to-performance ratios for metallurgical processes, less waste, and components with tighter tolerances. This, in turn, fuels the market for metal powder. The market for metal powder is driven by increased demand for structural components in various applications, including agricultural machinery, motorcycles, home appliances, and automotive parts. The need for metal powder is further driven by increased attention to lighter, thinner components with better dimensional accuracy, sintering, and thermal processing.

Metal Powder Market: Restraints

Manufacturing of Low-Cost, Subpar Metal Powder in Asia Has Resulted In A Price War, Hurting Growth Of Market Growth

The Asian market is distinguished by several competitors who offer items tailored to meet customer demand and have highly established sales and distribution networks throughout MEA, APEJ, and Latin America. The primary driver in these areas is the SME sector, which often looks for low-investment solutions. Due to fierce rivalry, the availability of resources, and beneficial trade policies, Chinese competitors typically succeed in offering goods at comparatively inexpensive rates. As a result, many American and European companies find it difficult to maintain their respective profit margins in these markets while manufacturing high-quality metallic powder with stringent operational and safety criteria. China is able to create metal powder for less money than countries like the US, Germany, and Japan. Therefore, the majority of customers choose to import parts from China. International players are forced to operate on slim profit margins due to the dominance of Chinese manufacturing, which hurts their overall performance. As a result, metal powder sales are predicted to suffer globally in the upcoming years.

Metal Powder Market: Segment Overview

Metal Powder Use in Electronics Devices is Growing, Thus Dominating Application Segment

The global market for metal powder has been segmented based on application into four categories: machinery, electrical & electronics, automotive, and others. In 2021, the automotive industry would dominate the market for metal powder. In 2021, the automotive industry accounted for roughly 64% of the market for metal powder. In 2021, the electrical & electronics sector had a very small market share worldwide. However, it is anticipated that shortly the industry will be driven by the rising use of powdered metals in electronic devices, such as electric car batteries and sintered components of electronic gadgets.

Iron And Steel Powder Demand Has Driven Global Market

The global market for metal powder has been segmented based on type into iron and steel (ferrous), aluminum, copper, nickel (non-ferrous), and others. The iron & steel powder sector is anticipated to rule the market during the anticipated period. Due to its great stability, heat resistance, and density, iron powder is in very high demand among end users. In terms of volume, aluminum was another significant category, accounting for nearly 13% of the global metal powder market in 2021. The increase in the use of aluminum powder in cars and as a solid fuel for booster rockets can be blamed for this.

Metal Powder Market: Regional Landscape

Asia-Pacific Has Dominated Market Due To Rising Automotive Industry

In 2021, Asia Pacific accounted for 37.8% of the global metal powder market sizeable. The Asia Pacific accounted for a significant portion of the global market in terms of value in 2021. Due to the rise in demand for metal powders from the expanding automotive industries in China, India, and Japan, the Asia Pacific region is predicted to present a substantial incremental opportunity throughout the forecast period. Due to the region's growing population, rising FDI investment in the electrical and electronics industry, and rising demand for automotive components from nations like China, India, and ASEAN, Asia Pacific is predicted to be a highly lucrative market for metal powder. In 2021, Europe accounted for a sizeable portion of the global market for metal powder. According to sales data analysis, the European metal powder market is expected to be quite profitable during the forecast period. Furthermore, there will be a strong demand for metal powders in 2021 in countries like Germany, France, Russia & CIS, and nations in the rest of Europe.

Metal Powder Market: Competitive Landscape

In Shanghai, China, BASF established a new Center of Excellence laboratory for its Catamold division in June 2021. For powder injection molding, there are ready-to-use pellets called Catamold. It is made up of a specially formulated binding agent and metal powder. In China and the rest of Asia, the new factory would act as the center of expertise for products and solutions for the metal injection molding (MIM) sector. The launch of the North American Additive Manufacturing (AM) Customer Center and new powder metallurgy headquarters were both announced by GKN Powder Metallurgy in May 2019. The 38,260 square foot facility, which is situated in Auburn Hills, Michigan, broadens the company's in-house powder metallurgical capabilities and global 3D printing network.

A few of the players in the Metal Powder Market include Rio Tinto (U.K.), Sandvik AB (Sweden), Carpenter Technology Corporation (U.S.), and GKN Plc. (U.K.), Hoganas AB (Sweden) and Allegheny Technologies Incorporated (U.S.).

Regional Classification of the Global Metal Powder Market is Listed Below:

North America

• U.S.
• Canada

Europe

• Germany
• France
• Spain
• U.K.
• Italy
• Russia
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• Southeast Asia
• Rest of Asia Pacific

 Latin America

• Brazil
• Mexico
• Rest of Latin America

Middle East and Africa

• GCC
• South Africa
• Rest of Middle East & Africa

*Regions and countries are subject to change based on data availability.

Key Elements Included In The Study: Global Metal Powder Market

• Metal Powder Market by Product/Technology/Grade, Application/End-user, and Region
• Executive Summary (Opportunity Analysis and Key Trends)
• Historical Market Size and Estimates, Value and Volume, 2019 - 2022
• Volume Consumption at Regional and Country Level, 2023 - 2030
• Market Dynamics and Economic Overview
• Market Size in Value and Volume, Growth Rates, and Forecast Figures, 2023 - 2030
• Competitive Intelligence with Financials, Key Developments, and Portfolio of Leading Companies 
• Regional and Product/Grade/Application/End-user Price Trends Analysis
• Production Output Analysis (Major Producing Regions)
• Value Chain and Five Force’s Analysis
• Regional/Sub-region/Country Market Size and Trend Analysis
• Company Market Share Analysis and Key Player Profiles

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