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Amorphous Iron (Fe Amorphous) Market to Expand at a Healthy CAGR of 6.3% through 2027

04-26-2021 09:36 AM CET | Advertising, Media Consulting, Marketing Research

Press release from: Fact.MR

According a recent study published by Fact.MR, the amorphous iron (Fe amorphous) market is expected to envisage 6% volume growth in 2019 y-o-y over 2018 to surpass 2,427 tons in sales.

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The study finds that demand for amorphous iron has increased significantly over the past few years as end-users are aiming to reduce their dependency on rare-earth magnets, due to their fluctuating supply and soaring prices. Owing to the extraordinary magnetic properties of amorphous iron, rare-earth magnetics are being replaced by amorphous iron or Fe amorphous in a wide range of industrial applications.

“Amorphous iron, which is predominantly known as Fe amorphous, is an iron alloy in the disorderly structure and it is commonly used in electrical applications or power distribution systems, such as motors, inductors, generators, or transformers.

With the conductive characteristics and magnetic properties of amorphous iron, they find a wide range of applications as a magnetic materials, which is boosting growth of the amorphous iron (Fe amorphous) market. Demand for amorphous iron is expected to surge due to the enhanced magnetism in amorphous iron that boosts energy efficiency of its applications,” says a lead analyst at Fact.MR.

Rare-Earth Magnet Crisis Spurs Demand for Amorphous Iron as a Magnetic Material

Though most countries are concentrating their efforts on mining rare-earth magnets, the availability of rare-earth materials is higher in China. China has been using it as a geopolitical tool and threatening to cut exports of rare-earth magnets, such as neodymium.

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This is resulting in fluctuating supply and soaring prices of rare-earth magnets, which is the primary reason why end-users are focusing on reducing their dependency on rare-earth magnets and moving to amorphous iron as a magnetic material, thereby boosting growth of the amorphous iron market.

Furthermore, in its recently published document ‘‘National Defense Authorization Act for Fiscal Year 2019’’, the U.S. government has announced a ban on imports of rare-earth permanent magnets, such as SmCo and NdFeB and Tungsten, from China, Russia, Iran, and North Korea.

In addition, other countries, including Japan and leading European countries, have had stained geopolitical relations with China as China has been accused for unofficially banning supply of rare-earth magnets. Thereby, an increasing number of end-users are incorporating innovative magnetic materials, including amorphous iron, to replace rare-earth magnets in various power distribution systems. This is expected to make a significant impact on growth parameters of the amorphous iron (Fe amorphous) market.

Manufacturers active in the amorphous iron (Fe amorphous) market are capitalizing on the growing needs for using highly efficient magnetic materials in various industrial applications.

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Especially in automotive motors, an increasing number of automakers are making use of permanent magnets in manufacturing various electrical-automotive components, which is expected to create lucrative opportunities for amorphous iron (Fe amorphous) market players in the upcoming years.

Amorphous Iron (Fe Amorphous) Market will Witness Fastest Growth in the Electric Motor Segment

The Fact.MR study thoroughly analyzes various applications of amorphous iron as a magnetic material, and finds that amorphous iron is more commonly used in the manufacturing of transformers than any other application. However, the study predicts that future demand for amorphous iron in electric motors will increase with the fastest rate to influence future trends in the amorphous iron (Fe amorphous) market.

The automotive industry is undergoing a transformation as global sales of electric vehicles was reached new heights. Stakeholders in the amorphous iron (Fe amorphous) market are adopting innovative strategies to benefit from increasing manufacturing of electric motors for electric vehicles and improve the profitable sales of amorphous iron.

Marketing strategies of leading players in the amorphous iron (Fe amorphous) market are mainly influenced by the improvements in energy efficiency of electric motors with the use of amorphous iron as a magnetic material. The Fact.MR study finds that leading manufacturers in the amorphous iron (Fe amorphous) market are adopting innovative technologies to further improve energy efficiency and rate of frequency of electric motors with the use of amorphous iron as a magnetic material.

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