Increasing Demand from the Aerospace and Defence Industry to Fuel the Growth of the Nickel Alloys Market
The increased demand for nickel alloys from the aerospace and defense industry is likely to drive market growth in the near future. The high use of nickel alloys in manufacturing the aircraft engine components owing to its superior properties compared to other alloys such as steel is estimated to drive the market growth. For instance, Waspaloy is a great example of a Nickel alloy for aerospace that delivers strength and dependability at high temperatures, as it stays structurally sound at temperatures up to 1600°F/870°C. Wasaploy's excellent temperature resistance makes it perfect for use in aircraft where jet fuel combustion can cause parts to become extremely hot for long periods of time. Moreover, air travel is becoming increasingly popular across the Middle East and Africa, as well as Asia Pacific, due to its low cost. The aerospace and defense industries in China account for the majority of nickel alloy demand due to increased demand from airlines extending their operations by launching new planes. The number of people who travel by plane is growing, which is fuelling demand for new planes. This demand is expected to drive the growth of aerospace component suppliers to the aircraft manufacturing industry. In 2021, Airbus and Boeing delivered 951 aircraft, compared to 723 in 2020. Since nickel alloys are needed to make aviation engine components, turbine blades, and other items, this rise will have a direct impact on the nickel alloys market.
The High-Performance Alloys Segment is Set to Dominate the Nickel Alloys Market
The high-performance alloys segment, which includes functionalities such as corrosion resistance, heat resistance, and electronic alloy, is predicted to grow at the fastest in the nickel alloys market over the coming years. The fact that high-performance nickel alloy is a highly alloyed material developed for usage in demanding settings contributes to the segment's growth. It's made to withstand harsh circumstances, such as the corrosive conditions and high pressures seen in aeronautical engine turbines and at considerable depths in oil and gas fields. One of the primary factors driving the growth of the high-performance nickel alloys market is increased oil and gas exploration around the world.
Asia Pacific to Drive the Growth of Nickel Alloys Market
The market for nickel alloys was likely to dominate Asia-Pacific in the coming years. Increased production in the manufacturing sector to meet the demands of conveying superior products and boosting the country's exports are two factors driving rising nickel alloy demand in the Asia-Pacific area. In China and India, population growth and rising customer preferences for the automotive industry are expected to propel the nickel alloy market forward.
China is the world's largest user of nickel alloys, accounting for a significant portion of the worldwide market. One of the primary causes driving up demand for nickel alloys in the country is the growing popularity of electric vehicles. The need for batteries has increased significantly in China, mainly to the growing production and sales of electric vehicles. According to the International Trade Administration, China is the world's largest vehicle market, and the Chinese government forecasts automobile manufacturing to reach 30 million units by 2021 and 36 million by 2026. In addition, the India Brand Equity Foundation claims with sales up 8.34% year over year to 4.19 million vehicles in 2019, India became the world's fourth-largest car market. In 2019, it was also the eighth largest commercial vehicle producer.
North America is expected to hold a prominent position in the market in the near future, with the United States accounting for the majority of demand. The increased demand for gas turbines in the country is likely to enhance the nickel alloys market due to the high usage of superalloys in high-temperature applications such as gas turbines. For instance, in February 2021, EOS, a supplier of industrial 3D printing technologies, introduced EOS NickelAlloy IN939, a new nickel-chromium alloy material for use in powder bed AM (additive manufacturing). It is intended for use in the development of microturbines, industrial gas turbines, and other power industry applications that are subjected to high temperatures and harsh environmental conditions.
Global Nickel Alloys Market: Competitive Landscape
Companies in the market are introducing new products alongside initiation collaborations, alliances, and partnership agreements. For instance, in March 2021, Sandvik Additive Manufacturing and its subsidiary BEAMIT formed a strategic partnership with Immensa Additive Manufacturing Group, a leading MENA-based AM solution provider, to expand the range of advanced AM-based high-end components. Sandvik's leadership in materials technology and metal powders, including nickel-based superalloys designed specifically for additive manufacturing, will be leveraged in the collaboration. On the other hand, in June 2019 using a nickel-titanium shape memory alloy, a group of University of North Texas College of Engineering students developed an energy-efficient system for regulating solar panels on CubeSats. Their idea won first place in the CASMART 3rd Student Design Challenge in Germany, beating out teams from nine other universities.
Few of the players in the Nickel Alloys market include DM Metals (Germany), Aperam S.A. (Luxembourg), Carpenter Technology Corporation (US), ThyssenKrupp AG (Germany), Haynes International Inc. (US), Precision Castparts Corporation (US), Sandvik Materials Technology AB (Sweden), Allegheny Technologies Incorporated (US), Voestalpine AG (Austria), and Rolled Alloys Inc. (US).
Global Nickel Alloys Market is Segmented as Below:
By End-use Industry: