Magnetic Materials Report 3 – China’s Magnetic Materials Market Segmentation
Ferrite Magnetic Materials
Production of ferrite magnetic materials
Ferrite magnetic materials are an important branch of magnetic materials. From 2015 to 2019, the output of ferrite permanent magnet materials and soft magnetic materials in China generally showed a relatively fluctuating trend. In 2019, the output of ferrite permanent magnet materials in my country was 528,100 tons, a year-on-year decrease of 3.17%; the output of ferrite soft magnetic materials was 260,000 tons, which remained stable compared with 2018.
Production capacity distribution of ferrite magnetic materials
There are more than 340 ferrite permanent magnet material manufacturers in China, and the enterprises are mainly concentrated in East China (Zhejiang, Jiangsu, Anhui). The output of ferrite permanent magnet materials in this region accounts for about 61% of the national output.
About 45% of the production enterprises have an annual production capacity of less than 1,000 tons, about 25% are those with a production capacity of 1,000-3,000 tons, about 21% are those with a production capacity of 3,000-5,000 tons, and there are only a few enterprises with an annual production capacity of more than 10,000 tons, accounting for about 21%. 9%. China’s Magnetic Materials Market
Development Trend of Ferrite Magnetic Materials
From a national perspective, with the continuous introduction of national environmental protection policies in recent years, the industry is facing a reshuffle. A large number of small enterprises have withdrawn because of unqualified environmental protection requirements. It is expected that production capacity will be concentrated in the hands of several large enterprises in the future. Concentration is increasing.
Global demand for ferrite permanent magnets will see limited growth in the future. The main reason for the lack of significant growth in soft ferrite magnetism is that the traditional home appliance market and PC computer market continue to shrink in product applications, but the smartphone, server, new energy, industrial power supply, automotive electronics, and wireless charging markets are developing rapidly.
As far as the ferrite magnetic product itself is concerned, it is affected by the development of electronic components in the direction of high stability, high reliability, light, thin, short, and wide adaptability. It will increase, the variety and quantity of products will only increase and not decrease, and the product size will continue to be polarized.
Rare Earth Permanent Magnets
Production of rare earth permanent magnets
China is not only the largest producer of rare earth permanent magnet materials, but also the largest consumer and net exporter. Excess production after consumption is exported. In recent years, the output and consumption of rare earth permanent magnet materials in China have maintained a steady growth trend. In 2021, the output of rare earth permanent magnet materials in China is about 213,300 tons, an increase of 8.7% year-on-year; the consumption of rare earth permanent magnet materials is about 160,700 tons, an increase of 8.1% year-on-year.
Among the rare earth permanent magnet materials in China, sintered NdFeB permanent magnet materials account for 95% of the total output, ranking first. Sintered NdFeB permanent magnet materials have excellent magnetic properties and are widely used in electronics, electrical machinery, medical equipment, toys. , packaging, hardware machinery, aerospace and other fields. Next is the bonded NdFeB permanent magnet material, accounting for 4%; the samarium cobalt permanent magnet material only accounts for 1%.
Production capacity distribution of rare earth permanent magnets
Taking NdFeB permanent magnet materials as an example, after years of development and accumulation, my country’s NdFeB permanent magnet production enterprises have shown a relatively obvious regional concentration trend, and gradually formed three major production enterprises such as Beijing-Tianjin, Zhejiang Ningbo and Shanxi Taiyuan. base. The NdFeB permanent magnet industry in Shandong, Inner Mongolia, Anhui, Jiangxi and other places has also gradually developed and expanded.
The main production enterprises in the industry are located in areas with relatively active economy and rich rare earth resources in my country, including Zhongke Sanhuan, Antai Technology, Beijing Magnetic Materials in Beijing and Tianjin, Ningbo Yunsheng and Yingluohua in Zhejiang, Zhenghai Magnetic Materials in Shandong, Anhui’s Earth Bear and Jiangxi’s Jinli Permanent Magnet, etc.
Taking rare earth permanent magnet materials as an example of sintered NdFeB magnetic products, there are about 200 sintered NdFeB manufacturers in China, with a production capacity of about 400,000-500,000 tons. From the perspective of production concentration, China’s enterprises with an annual output of less than 1,500 tons accounted for the largest proportion, reaching 84%. The annual output of more than 3,000 tons of enterprises accounted for only 7.5%. However, the annual output of most enterprises is less than 1,500 tons, and the energy level polarization of enterprises is relatively serious.
The development trend of rare earth permanent magnet
As the main production center of the global rare earth permanent magnet material market, China has a number of regulations and policies to support and promote the development of this industry. In 2020, Jiangxi Province, China’s main rare earth producing area, issued the “Implementation Opinions on Promoting the High-quality Development of the Rare Earth Industry”, aiming to cultivate a group of rare earth deep processing enterprises, accelerate the transformation and upgrading of the rare earth industry, and promote the rare earth permanent magnet industry, permanent magnet motor industry and Integrated development of energy-saving equipment industry.
In 2020, my country announced that it will achieve carbon peaking by 2030 and carbon neutrality by 2060. In order to achieve this goal, the “14th Five-Year Plan” set a specific goal of reducing carbon emissions per unit of GDP by 18%. Therefore, energy-friendly products such as wind power generation, energy-saving elevators, energy-saving inverter air conditioners, and new energy vehicles that rely on NdFeB permanent magnet materials are expected to increase the demand for NdFeB permanent magnet materials.
The development trend of China’s magnetic material market
With the rapid development of 5G applications, new energy vehicles and other industries, together with other upgraded applications and emerging industries, such as automotive electronics, OLED, smart grid, Internet of Things, etc. Chance.
The increase in the proportion of downstream high-end applications will continue to suppress the price of magnetic materials in traditional application fields. For high-performance materials with greater growth potential, they will maintain their development strength in emerging fields, and their market share will gradually expand. China’s Magnetic Materials Market
The magnetic material industry is in the stage of reducing production capacity, destocking, reducing costs, and making up for shortcomings. Competition in the low-end market continues to deteriorate, and profit margins remain low; on the other hand, high-end materials remain “stronger and stronger”, and large-scale, strong technical barriers and market-leading companies continue to occupy the market.
In the international market, Japan, the United States and some European countries lead the way. These countries started early in the production of magnetic materials, have strong new product development capabilities and high technical content. The competition for high-end magnetic materials in the international market is mainly concentrated in the above-mentioned countries and regions, and domestic companies can participate in high-end magnetic materials. There are few companies competing in the international market of magnetic materials. China’s Magnetic Materials Market