Metal Injection Molding Materials Market - Forecast(2024 - 2030)
Metal Injection Molding Materials Market Overview
Metal Injection Molding Materials Market size is forecast to reach US$3.7 billion by 2027, after growing at a CAGR of 8.2% during the forecast period 2022-2027. Metal injection molding materials such as soft magnetic alloys, low alloy steel, stainless steel, and other materials have important properties including superior strength, magnetic characteristics, and corrosion resistance. Owing to these properties, the injection metal molding materials enhance the durability of small electronic component, thus making it ideal for miniature components manufacturing. To enhance the mechanical properties of metal injection molding materials Hot Isostatic Pressing (HIP) technique is used as a post-treatment process, which enable superior material durability. The metal injection molding market is primarily driven by the growth of the electrical and electronics industry. Moreover, metal injection molding materials surging application in the automotive industry is accelerating the metal injection molding materials industry growth during the forecast period.
COVID-19 Impact
In 2020, the Metal Injection Molding Materials Market suffered losses because major economies across the world were under lockdown, due to the surge in the Covid-19 pandemic. This resulted in a decline in the production activities related to electrical and electronics, automotive, and more. For instance, according to the Japan Electronics and Information Technology Industries Association, in 2019, the total electrical and electronics production in Japan was ¥10,529,921 million (US$96,643.6 million), and in 2020 it was ¥ 9,964,769 million (US$93,389.8 million), a decline of 3.5%. However, in 2021, with the ease of lockdown regulations, countries aided the production activities to reduce the negative impact of the Covid-19 pandemic, this resulted in growth opportunity for the Metal Injection Molding Materials Market. Additionally, it is expected that the impact of the Covid-19 pandemic will decline during the upcoming years, this will result in a metal injection molding materials industry expansion scenario similar to the pre-Covid time.
Report Coverage
The report: "Metal Injection Molding Materials Market–Forecast (2022-2027)”, by IndustryARC, covers an in-depth analysis of the following segments of the Metal Injection Molding Materials Industry.
Key Takeaways
- Asia-Pacific region dominated the Metal Injection Molding Materials Market, owing to the growing electrical and electronics industry in the region. According to Invest India, India’s domestic production in electronics has increased by more than double in 2014-2015 it was US$29 billion, and in 2020-21 to US$67 billion.
- The increasing research and development focus for enhancing the properties of metal molding materials including ferritic stainless steel, tungsten, and more are creating an opportunity for market growth.
- Moreover, the federal government's increasing initiatives related to medical equipment manufacturing are further aiding the metal injection molding materials industry's growth.
- Nevertheless, the high cost associated with the metal injection molding materials is creating a bottleneck for the growth of the market.
Figure: Asia-Pacific Metal Injection Molding Materials Market Revenue, 2021-2027 (US$ Billion)
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Metal Injection Molding Materials Market Segment Analysis – By Product Type
The ferrous alloys segment held the largest share in the Metal Injection Molding Materials Market in 2021 and is forecasted to grow at a CAGR of 8.5% during the forecast period 2022 to 2027. Ferrous alloys including stainless steel, soft magnetic alloys, and others are often deployed in metal injection molding because when compared with tungsten, these alloys have a cost advantage. In addition, ferrous alloys have higher thermal resistance than non-ferrous metals, enabling them to withstand higher temperatures. This is very beneficial in machine tools to assist extend the tool's life and prevent damage. Thus, due to these properties of ferrous alloys, it is widely used metal injection molding materials, which is benefiting the segmental growth of the market.
Metal Injection Molding Materials Market Segment Analysis – By End-Use Industry
The electrical and electronics segment held the largest share in the Metal Injection Molding Materials Market in 2021 and is forecasted to grow at a CAGR of 9.1% during the forecast period 2022to 2027. Metal injection molding materials are used in the miniature electronic components of smartphones, computers, and more because when compared with powder metallurgy it has superior performance and low cost. People's disposable income is surging at a global level, which is resulting in the growing demand for smartphones, consumer electronics, and more. For instance, according to the Japan Electronics and Information Technology Industries Association, in 2020, the global production of computers was US$4,672 million, and in 2021 it was 5,024 million, an increase of about 8%. Hence, the growing electrical and electronics industry is expected to fuel the demand for metal injection molding materials, which is further propelling the market growth.
Metal Injection Molding Materials Market Segment Analysis – By Geography
Asia-Pacific region is the dominating region as it holds the largest share in the Metal Injection Molding Materials Market in 2021 up to 37%. The economic growth of the Asia-Pacific region is driven by the growth of electrical and electronics, automotive, and more such sectors in the region. Due to the factors such as increasing foreign direct investment, and strong government support in Asia-Pacific, electrical and electronics production is increasing in the region. For instance, according to the Japan Electronics and Information Technology Industries Association, in 2020, electronics production in Japan was ¥9,964,769 million (US$93,389.8 million), and in 2021 it was ¥10,954,346million (US$99,772.2 million), an increase of about 6.8%. Moreover, according to Invest India, domestic electronics manufacturing in India has increased by more than 2.3X in the last six years, rising from US$29 billion in FY15 to US$67 billion in FY21. Therefore, the electrical and electronics industry growth in the Asia-Pacific region is fueling the Metal Injection Molding Materials Market growth.
Metal Injection Molding Materials Market Drivers
Surging Automotive Production
In the automotive industry metal injection molding is utilized because the intricacy and compact size of metal injection molded parts provide an economic benefit. To make metal injection molding more compact, materials such as soft magnetic alloys, low alloy steel, stainless steel, and more are used because these materials have high insulation properties, which make them ideal for automotive components manufacturing. The automotive industry is growing due to the factors such as increasing purchasing power, higher standard of living, rapid industrialization, and more. For instance, according to the Organisation Internationale des Constructeurs d'Automobiles (OICA), in 2020, the global automotive production was 77,711,725, and in 2021 it was 80,145,988, an increase of about 3%. As a result of surging automotive production, the demand for automotive components will grow, which is projected to fuel the demand for metal injection molding materials. This in turn will drive the Metal Injection Molding Materials Market growth.
Federal Policy Measures Promoting Medical Equipment Industry
The medical equipment such as orthodontic components, surgical instruments, and more are composed of extremely small precision parts. To ensure this equipment lasts for long, metal injection molding materials such as stainless steel, tool steel, and more are utilized in medical equipment so that this equipment has longer durability. Governments across the world are promoting the medical equipment industry through their federal policy measures because innovation feeds the medical device sector's constant quest for new ways to treat and diagnose medical diseases. Moreover, the rising demand for medical equipment has aided economic growth in this sector and encouraged the German government to enhance its investment in innovative medical technology. For example, in April 2021, the Federal Ministry of Education and Research announced an increase in medical technology financing of EUR 20 million (USD 23.7 million) to modernize the healthcare system. Likewise, other federal governments are also promoting the medical equipment industry, which is further aiding the growth of the Metal Injection Molding Materials Market market.
Metal Injection Molding Materials Market Challenges
Higher Cost of Metal Injection Molding Materials
The metal injection molding materials have several advantages such as durability, corrosion resistance, and more, which are critical for the manufacturing of miniature components. Nevertheless, on the other hand, the higher cost of metal injection molding materials is a restraining factor for the market growth. The metal injection molding materials price is higher when compared with powder metallurgy. According to Horizon Technology Inc., materials for metal injection molding can cost up to US$12 per pound, compared to US$1 to US$2 per pound for traditional powder metallurgy. Moreover, the material shrinkage during the manufacturing process is about 25%, thus the material wastage is high, which also adds to the cost of metal injection molding materials. Thus, the high cost of metal injection molding materials is posing a major challenge to the growth of the market.
Metal Injection Molding Materials Industry Outlook
Technology launches, acquisitions, and increased R&D activities are key strategies adopted by players in the Metal Injection Molding Materials Market. Metal injection molding materials top 10 companies include:
- Indo-Mim
- OptiMIM (Form Technologies)
- ARC Group
- Phillips-Midsize (Molex)
- Smith Metal Products
- Netshape Technologies (MPP)
- Dean Group International
- Sintex
- CMG Technologies
- Future High-Tech
Recent Developments
- In July 2021, BASF established a new Catamold Center of Excellence in Shanghai, China. To develop metal injection molding materials for the electronics industry on a local level to better serve consumers.
- In November 2020, Advanced Powder Products, Inc., a metal injection molding materials company based in the United States started its new 25,000 square-foot manufacturing facility in the United States.
- In January 2019, Cobra Gulf developed a new metal injection molding King MIM wedge from a CAD file, and it is made up of 304 stainless steel.