Permanent Magnet Market Trends

Statistics for the 2023 & 2024 Permanent Magnet market trends, created by Mordor Intelligence™ Industry Reports. Permanent Magnet trend report includes a market forecast to 2029 and historical overview. Get a sample of this industry trends analysis as a free report PDF download.

Market Trends of Permanent Magnet Industry

Growing Demand from Electronics Industry

  • Permanent magnets are increasingly being used in electro-mechanical products for better efficiency purposes. Permanent magnets have wide applications in electronics such as refrigerators, electric motors, loudspeakers, and sensors, among others.
  • The electronics industry is continuously making remarkable progress and development, and the demand for the market studied is growing rapidly. The production of cellular phones, portable computing devices, gaming systems, and other personal electronic devices will continue to spark the demand for electronic components, which is expected to further boost the demand for permanent magnets.
  • Computers use permanent magnets to store data on hard drives. Permanent magnets and electromagnets are widely used in electronic devices such as generators, speakers, televisions, MRI scanners, and motors, among others. These magnets are used in computers to store data on hard drives.
  • According to the reports published by companies, in 2021, approximately 342 million PCs were shipped around the world. However, in 2022, PC shipments reached 286.2 million units, a 16.2% decrease from the previous year.
  • Europe is also witnessing significant growth owing to the increasing investments in the region. Germany has the largest electronic industry in Europe. According to the Germany Electrical and Electronic Association, in December 2021, the sales of the domestic electro and digital industry in Germany amounted to USD 19.17 billion, registering a growth rate of 8.5% compared to the same period last year.
  • The global demand for smart consumer electronics is increasing exponentially, providing potential for the permanent magnet market to expand. According to the German Electrical and Electronic Manufacturers' Association (ZVEI), in 2021, the global electrical market reached USD 4.9 trillion.
  • In 2022, the worldwide shipment of televisions amounted to 202 million units. According to a UK-based industry information provider, Broadband TV News, in Germany, around 1.45 million TV sets were sold in the first quarter of 2021.
  • Germany is also considered one of the world's leading producers of generators, transformers, and electric motors. According to the statistics provided by the Statistisches Bundesamt, the revenue from the manufacture of electric motors, generators, and transformers in Germany will amount to approximately USD 19.5 billion by 2025.
  • The United Kingdom is one of the largest markets for high-end consumer electronics products in Europe, with about 18,000 UK-based electronics companies in the market. According to the Department for International Trade, the electronics sector in the United Kingdom is worth USD 19.3 billion each year to the local economy.
  • All the aforementioned factors are expected to significantly impact the demand for the market studied during the forecast period.
Permanent Magnet Market - Top Exporters of Computer Devices, in USD Billion, by Country, 2021

Asia-Pacific Region to Dominate the Market

  • The Asia-Pacific region is expected to dominate the market owing to the growing population and expanding industrial production activities in the region. This increased the production and demand for electricity through various energy sources. This, in turn, has been supporting the demand for permanent magnets in multiple applications.
  • According to JEITA (the Japan Electronics and Information Technology Industries Association), in November 2022, the total production of the electronics industry reached USD 7,098.34 million. In December 2022, Japan exported a total electronics worth of USD 8,395.45 million.
  • In India, the electronics market witnessed a growth in demand, with market size increasing at a rapid rate. India's electronic goods exports fetched USD 16.67 billion in December 2022, as compared to USD 10.99 billion in the same month of 2021. The growing electronics and appliances market in India and China may push market growth further in Asia-Pacific. India is expected to become the fifth-largest consumer electronics and appliances industry in the world by 2025.
  • Permanent magnet motors and induction motors are the most commonly used in electric motor applications in vehicles. The Chinese automotive manufacturing industry is the largest in the world. According to the China Association of Automobile Manufacturers (CAAM), automotive sales in China fell by 8.4% year over year to 2.56 million units in December 2022, whereas they grew to 26.86 million units for the full year 2022.
  • The growth of the automotive sector can be attributed to the fact that many companies are investing to establish manufacturing units in the region. For instance, in January 2022, Honda's Chinese joint venture with Dongfeng Motor Corporation Ltd. announced the development of an electric-vehicle manufacturing factory in Wuhan. The new Dongfeng-Honda Automobile facility will be opened in 2024 with a production capacity of 120,000 units per year.
  • The Asia-Pacific market registered a growth of more than 7% in 2022. Countries such as China, India, and Japan are the top manufacturers of electronics globally. According to IDC (International Data Corporation), the Indian PC market grew 37.7% in Q1 2022. Total PC and laptop shipments increased from 3.1 million to 4.2 million units.
  • Permanent magnet generators are useful in the process of generating electricity. The Indian government announced an exceptionally ambitious plan to double installed capacity over the coming decade and to do so primarily through accelerated deployment of renewable energy. In 2021, India installed 9.7 gigawatts (GW) of power generation capacity.

All the factors, in turn, are projected to have a significant impact on the market growth in the region during the forecast period.

Permanent Magnet Market - Growth Rate by Region, 2023-2028

Permanent Magnet Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)