Metal Powder Market Size, Share & Trends Analysis Report By Material (Ferrous, Non-ferrous), By Technology (Press & Sinter, Additive Manufacturing), By Application, By Region, And Segment Forecasts, 2020 - 2027

Report Overview

The global metal powder market size was valued at USD 5.7 billion in 2019 and is expected to expand at a compound annual growth rate (CAGR) of 6.9% from 2020 to 2027. Increasing demand for sintered parts in the Asia Pacific is projected to boost market growth. The Asia Pacific is anticipated to remain the largest consumer of powder metal products. The incessant automotive production, demand for medical products, and high consumer potential in Southeast Asian countries, India, and China are likely to support the demand for finished parts made using metal powder. Notably, Asia Pacific accounted for a share of 53.6% in 2019 in the global production of vehicles. In contrast to press and sinter, additive manufacturing (AM) and metal injection molding (MIM) observed positive growth in 2019 in the U.S. metal powder market. Growing penetration of AM is anticipated to remain a key driver for the metal powder demand. Additionally, as per the Metal Powder Industries Federation, over 10 MIM manufacturers have shown interest in purchasing AM machines within the next 2 years.

In 2019, the aerospace and defense sector accounted for a revenue share of 6.8% in the U.S. market. In this sector, companies are rapidly undergoing expansion through various partnerships and joint ventures. In July 2020, Burloak Technologies and MDA Corporation signed a five-year agreement to develop space applications using additive manufacturing. This deal is projected to help both companies optimize design and manufacturing capabilities over the coming years.

Demand for AM medical implants is also anticipated to remain a key contributor to the market growth. In 2019, Lima Corporate, an American company, commercialized 3D-printed hip cup medical implants. The company also plans to start a 3D printing facility in the U.S. by the end of 2020.

Material Insights

Ferrous was the largest segment in 2019 and accounted for a volume share of over 89.0% in 2019. The ferrous segment includes metal powders consisting of all types of steel and their alloys, iron, and alloying elements, such as nickel, molybdenum, and chromium. Steel is one of the cheapest forms of metal in additive manufacturing. It can also be used in a mixture with other metals, such as bronze.

The non-ferrous segment includes metal powders made of aluminum, copper, zinc, titanium, tungsten, magnesium, and others. The properties of aluminum, such as good strength and lightweight, are expected to drive its demand. Aluminum is used for manufacturing equipment, such as functional parts and cycles. Aluminum-based equipment is manufactured through 3D printing by the direct metal laser sintering method.

The emerging interest in titanium implants in the healthcare industry is expected to support the segment growth. Companies such as Novax DMA and CEIT Biomedical Engineering have ventured into the manufacturing of titanium-based medical implants to address deformations in the human skull, bones, and vertebrae.

Technology Insights

Press and sinter was the largest technology segment with a volume share of over 93.0% in 2019. Press and sinter is a conventional powder metallurgy process. It is economic and produces near-net-shape components. It involves thermal treatment or compaction at a temperature lower than the melting point of metal to produce a green compact.

This helps in increasing the strength of components through the metallurgical bonding of particles. Furthermore, green compact goes through sintering in a controlled atmosphere, where metallurgical bonding occurs to form the finished components. Secondary operations such as plating, repressing, and grinding are performed to obtain close tolerances and good surface finish.

Metal injection molding (MIM) has been gaining significant importance in the components manufacturing industry for the last 20 years. Similar to press and sinter, this process relies on the shaping and sintering of metal particles. This method can manufacture a high volume of complex-shaped parts with high manufacturing precision. The MIM process includes various steps, such as mixing or preparation of feedstock, injection molding, binder removal, and sintering.

Application Insights

The automotive segment accounted for the largest volume share of 70.1% in 2019. The automotive industry is one of the leading consumers of metal powder, wherein various parts are manufactured using press and sinter, additive manufacturing (AM), hot isostatic pressing (HIP), and metal injection molding (MIM) processes. Press and sinter process dominates the automotive application segment in terms of auto parts manufacturing. However, other processes such as AM, HIP, and MIM are observing faster penetration compared to the press and sinter.

The COVID-19 pandemic has severely affected the automotive industry by creating disruptions in high volume manufacturing in Europe, auto parts exports in China, and closure of assembly lines in India and the U.S. In terms of demand, manufacturers were affected by the shutdown of manufacturing activities and the limited supply of vehicle parts. In terms of supply, a drop in vehicle sales and the lowering of working capital have been observed. For instance, as per the Society of Indian Automobile Manufacturers (SIAM), passenger vehicle sales in India observed a decline of 78.7% from April to June 2020 compared to the same period in 2019.

Increasing health awareness among consumers, coupled with rising consumer willingness to pay more for finished goods, is expected to drive the healthcare industry. Furthermore, powder metal technologies are used to manufacture connecting plates, foot adaptor plates, blacking plates, surgery blades, forceps, graspers, and blacking hook in the healthcare industry, thus driving the healthcare application segment.

Regional Insights

The Asia Pacific accounted for the largest volume share of 33.5% in 2019. The region witnessed the highest demand for metal powder in 2019, primarily from the automotive and aerospace industries. The presence of small- and medium-sized component manufacturers for press and sinter products and growing demand for metal powder for additive manufacturing are expected to drive the market in the region.

In terms of revenue, North America is projected to expand at a growth rate of 7.0% from 2020 to 2027. The increasing popularity of electric and hybrid vehicles has primarily decreased the demand for various sintered parts in transmissions and engines in the region. However, powder forging technology is projected to provide lucrative opportunities for market vendors in the coming years. As per the Metal Powder Industries Federation, nearly 30% of connecting rods in the global vehicle production is manufactured using the powder forging process.

In March 2020, iron powder shipments witnessed a y-o-y decline of 19.2% in North America. As per the local government regulations, numerous companies observed temporary closure of the non-essential businesses in the first half of 2020. However, the market is expected to take a U-shape or W-shape recovery curve in the next 12 to 18 months with the gradual increase in automotive production.

Key Companies & Market Share Insights

The market for metal powder is characterized by increasing merger & acquisition (M&A) activities across the globe with major players acquiring stakes in small companies having a competitive edge, such as advanced technology, efficient processes, and presence in the regional market. Another key aspect of increasing these activities across the industry is to promote innovation, reduce costs, and increase synergies during operations. Mature industrial companies are dominating the M&A activities with a focus beyond their patent portfolios and R&D to gain a competitive edge in additive manufacturing technology. Some prominent players in the global metal powder market include:

• MolyWorks Materials Corporation

• Advanced Technology & Materials Co., Ltd.

• GKN PLC

• Hoganas AB

• POLEMA

• Rio Tinto Metal Powders

• Rusal

• Sandvik AB

• CRS Holdings Inc. 

• Liberty House Group

Metal Powder Market Report Scope

Segments Covered in the Report

This report forecasts volume and revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2016 to 2027. For the purpose of this study, Grand View Research has segmented the global metal powder market report based on material, technology, application, and region:

• Material Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)

  • Ferrous

  • Non-ferrous

• Technology Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)

  • Press & Sinter

  • Metal Injection Molding

  • Additive Manufacturing

  • Others

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)

  • Automotive

  • Aerospace & Defense

  • Healthcare

  • Others

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)

  • North America

    • The U.S.

  • Europe

    • Spain

    • Germany

    • Italy

  • Asia Pacific

    • China

    • Japan

    • India

    • South Korea

  • Central & South America

    • Brazil

  • Middle East & Africa