2024-2032 Iron Powder Market Size Share & Industry Analysis
Source of this report :https://www.fortunebusinessinsights.com/iron-powder-market-105050
KEY MARKET INSIGHTS
The global iron powder market size was USD 6.43 billion in 2023 and is projected to grow from USD 6.77 billion in 2024 to USD 10.23 billion by 2032 at a CAGR of 5.3% during the 2024-2032 period. Asia Pacific dominated the iron powder market with a market share of 34.99% in 2023.
The increasing demand for automotive vehicles and rising disposable income are the primary factors driving the market growth. The growing production of automotive in countries such as China, Japan, and India is expected to support the demand for parts and components made using iron powder. The increasing penetration of additive manufacturing in the automotive industry is further anticipated to boost market growth rate. Additionally, powdered iron as an alternative fuel is projected to have a positive influence on the market. However, the rising incidence of chronic illness caused due to excessive consumption of iron-rich supplements will act as a restraining factor for the market.
The pandemic inflicted a ban on man and materials transportation, resulting in abrupt stoppage of the production facilities and supply chains. As a result, the automotive manufacturers were unable to procure raw materials for manufacturing their products. The pandemic has disrupted the production volume of vehicles in Europe, exports of automotive parts and components from China, and led to the shutting up of assembly lines in the U.S. As per the statistics provided by the Society of Indian Automobile Manufacturers (SIAM), production of total vehicles in India during the period of April-March 2023 declined by 14.7% compared to the same period in 2019.
IRON POWDER MARKET TRENDS
Increasing Adoption of Iron Powder as an Alternative Fuel Source to Favor Growth
Powdered iron is slowly gaining popularity as a sustainable fuel option and is expected to replace industrial fossil fuels. Finely grounded powder, when burnt, produces high temperature and releases energy as it undergoes oxidation with zero carbon emission, and the iron oxide obtained as a residual product is recycled. Additionally, the powdered iron serves as an energy storage medium. Excess energy generated from solar panels is used to convert iron oxide into iron, which is later used as a fuel. Swinkels Family Brewers, a beverage company based in the Netherlands, has incorporated heat generation using powdered iron at an industrial scale. The cyclical iron fuel system installed at the company’s brewery can provide the heat necessary to produce 15 Billion beer glasses.
IRON POWDER MARKET GROWTH FACTORS
Surging Demand for Iron Powder from Automotive Industry to Drive Growth
The rapid growth in population and the rising disposable income are the prominent factors boosting the demand for automobiles globally. In the automotive industry, powdered iron consumption is owed to metallurgy application through which various parts and components, including bearing, gears, camshaft pulley, and crankshaft sprockets, are manufactured. In addition to this, powdered iron is used for cutting and welding and production of structural parts. Moreover, processes such as metal injection molding and additive manufacturing gain traction in the automotive industry due to their ability to produce complex designs
Automotive manufacturers such as Porsche, Mercedes-Benz, and Volkswagen produce parts and components using additive manufacturing technology. Such initiatives are expected to grow and contributes to the iron powder market growth during the forecast period.
Increasing Product Demand from the Electronics Industry to Drive Growth
The electronics industry is experiencing exponential growth, driven by technological advancements and the proliferation of electronic devices. Iron powder is essential for producing components, such as magnetic cores, electromagnetic shielding, and electronic circuits, from smartphones and tablets to wearable gadgets and IoT devices. Additionally, emerging technologies, such as electric vehicles (EVs), renewable energy systems, and 5G infrastructure, require advanced electronic components, driving the product demand. This is integral to producing magnetic materials used in EV motors, renewable energy generators, and high-frequency electronics, further driving the market growth. Moreover, the increasing adoption of electronic devices across regions, such as Asia Pacific, North America, and Europe, contributes to the global expansion of the market.
RESTRAINING FACTORS
Risks Associated with High Consumption of Iron Rich Products to Impede Growth
In the food industry, iron powder has a high demand for iron nutritional supplements and in treating iron nutritional deficiencies. However, higher consumption of iron-rich supplements is associated with the incidence of chronic diseases. Excessive consumption of iron can have detrimental effects on the gastrointestinal systems. An out of proportion intake of iron has vomiting, diarrhea, nausea, and stomach pain. Over time, iron accumulates in the organs causing fatal damage to the brain and liver. The above-stated reasons are likely to act as a restraining factor for the market.
Reduced Segment to Hold Major Market Share owing to Rising Demand from Various End-use Industries
Based on the type, the market is segmented into reduced, atomized, and electrolytic.
The reduced segment is expected to hold the largest global iron powder market share in revenue during the forecast period. Reduced iron powder consumption is anticipated to rise due to the increasing demand from the automotive and electrical & electronics industries. The reduced type is used to produce automotive components such as the pulley, shock absorbers, and sprockets owing to their favorable properties such as good compatibility, high purity, and good sintering.
The properties such as high sintered density, dimensional stability, and superior strength are expected to propel the demand for atomized iron powder from complex powder metallurgy applications.
Electrolytic type is preferred for applications requiring high purity raw materials such as pharmaceutical, nutrition supplements, chemical reagent, and cosmetics. The advantageous characteristics offered by the electrolytic powdered iron are expected to contribute to the segmental growth in the forthcoming years.
By End-User Industry Analysis
Automotive Segment to Remain Dominant in the Near Future due to Product Adoption in Different Auto Components
Based on the end-user industry, the market is segmented into automotive, chemical, general industrial, food, and others.
The automotive segment is likely to hold the dominant share during the industry forecast period. In the automotive industry, powdered iron is used for particle metallurgy, sintering, hot isostatic pressing, and metal injection molding. It is extensively used for filler-in friction material for clutches, brake pads, and automotive OEM. Furthermore, the onset of additive manufacturing in the automotive industry is expected to augment market growth.
The general industrial applications of iron powder include air purifiers, filtration & separation, welding, and soft magnets for electronics. The powdered iron's beneficial conditions and properties for the mentioned applications are expected to bode well for the segment's growth.
In the chemical industry, the high demand for powdered iron from applications such as recycling industrial chemicals, filtration, catalysis, and magnetic paints production is expected to boost segmental growth.
The increasing incidence of micronutrient deficiency amongst children and infants and the rising preference of consumers for supplements and nutritional fortification boost the demand for this powder from the food industry.
The Asia Pacific region is expected to dominate the market during the forecast period. This is primarily attributed to China being the manufacturing hub for products ranging from automotive OEM to electronic products. China, India, and Japan are the major contributors to the region's growth due to the demand from small and medium-sized component manufacturers.
The increasing popularity of technologies such as additive manufacturing and powder forging in the U.S. is expected to drive the market in North America. Additionally, the rising consumption of iron and nutritional supplements amongst consumers is expected to surge the powdered iron demand.
Countries like the U.K., Germany, and France have a major influence on the growing product demand in Europe. The need for automotive OEM manufacturers to produce components and parts with complex designs and geometry to reduce the total weight of vehicles is anticipated to fuel the region's market growth.
Latin America is expected to showcase substantial growth due to increasing urbanization, infrastructure development, and the rising pharmaceuticals industry.
Rapid-paced industrialization drives the demand for iron-rich powder for several applications such as chemical reagents, oxygen absorbers, and surface coating in Middle Eastern countries. This is expected to propel the demand for the market in the Middle East and Africa in the forthcoming years.
Source: https://www.fortunebusinessinsights.com/iron-powder-market-105050