Permanent Magnet Market Report (2021–2031) by Scope, Segmentation, Dynamics, and Competitive Analysis

The Permanent Magnet Market size is expected to reach US$ 47,309.65 million by 2031 from US$ 25,035.19 million in 2024. The market is estimated to record a CAGR of 10.0 % from 2025 to 2031.

Executive Summary and Global Market Analysis:

The global permanent magnet market is experiencing significant growth driven by advancements in technology, increasing demand for energy-efficient solutions, and the widespread adoption of electric vehicles (EVs). Permanent magnets are essential components in various industries, including automotive, electronics, energy, and manufacturing. These magnets are primarily made from materials such as neodymium (NdFeB), samarium-cobalt (SmCo), and ferrite, each offering unique properties suited to specific applications.

One of the primary drivers of the market is the booming electric vehicle industry, where permanent magnets are crucial for the motors that power these vehicles. As governments worldwide implement stricter emission regulations and consumers increasingly opt for green solutions, the demand for EVs—and consequently, for permanent magnets—continues to rise. Similarly, the renewable energy sector, particularly wind energy, is another key contributor, as permanent magnets are integral to the functioning of wind turbine generators. Thus, the global permanent magnet market is expected to continue expanding, supported by rising demand in green technologies, transportation, and advanced manufacturing sectors.

Permanent Magnet Market Strategic Insights

Permanent Magnet Market Segmentation Analysis

Key segments that contributed to the derivation of the permanent magnet market analysis are type and application.

• By type, the permanent magnet market is segmented into neodymium-iron-boron, ferrite, samarium cobalt, alnico, and others. The neodymium-iron-boron segment held a larger share of the market in 2024. 
• In terms of application, the market is segmented into consumer electronics, automotive, aerospace and defense, medical, industrial machinery, energy, and others. The consumer electronics segment held the largest share of the market in 2024.

Permanent Magnet Market Drivers and Opportunities:

Rising Demand for Permanent Magnets in Consumer Electronics

Permanent magnets play a crucial role in the functioning of consumer electronics by enabling the operation of various components. Due to their ability to retain magnetic properties without an external power source, permanent magnets are widely used in products ranging from audio devices to computing hardware. These magnets are used in electro-mechanical products to enhance their efficiency. Moreover, permanent magnets find extensive use in consumer air conditioning compressors and fans, recorders, computer cables, cameras, watches, earbuds, DVDs, loudspeakers, microphones, mobile phones, voice coil motors, printers, fax stepper motors, printer machine rollers, hard disk drives (HDDs), and others. The need for electronic components is expected to be fueled by the manufacturing of gaming systems, cell phones, portable computing devices, and other electronic devices. Computers use permanent magnets to store data on hard drives. Electronic devices such as motors, MRI scanners, speakers, televisions, and generators use permanent magnets and electromagnets. Computers use these magnets to store data on hard drives. According to the International Data Corporation (IDC), after two years of decline, the global traditional PC market started growing during the first quarter of 2024 with 59.8 million shipments, rising 1.5% year over year.

Technological Advancements in Permanent Magnet

Advancements in alloy composition have enhanced the temperature stability of magnets, allowing them to function in more challenging environments. For example, adding dysprosium and terbium to NdFeB magnets has improved their resistance to demagnetization at high temperatures. This is crucial for EV motors and wind turbines, where consistent performance is required over a wide range of operating conditions. Moreover, the inclination toward magnet recycling and sustainability, with significant progress in recovering rare earth materials from used magnets mitigating environmental concerns and supply chain risks associated with rare earth mining, is a major advancement.

The interest in alternative magnet materials to reduce reliance on REEs, such as iron-nitride or cobalt-iron alloys, is increasing as they show promising magnetic properties while being more abundant and eco-friendlier. Moreover, innovations in 3D printing and advanced coating techniques are enabling more precise control over magnet geometry and surface properties, improving performance and durability. These technological advancements are driving down production costs, expanding the range of applications for permanent magnets, and contributing to the overall sustainability of industries relying on these critical materials.

Permanent Magnet Market Size and Share Analysis

Based on type, the market is segmented into neodymium-iron-boron, ferrite, samarium cobalt, alnico, and others. The neodymium-iron-boron segment held the largest permanent magnet market share in 2024. NdFeB magnets offer superior pull performance compared to materials with the same volume. NdFeB magnets are frequently used in sensors, reed switches, hard disc drives, audio equipment, acoustic pick-ups, headphones & loudspeakers, MRI scanners, motors & generators, dental instruments, etc.

In terms of application, the market is segmented into consumer electronics, automotive, aerospace and defense, medical, industrial machinery, energy, and others. The consumer electronics segment held the largest permanent magnet market share in 2023. In the consumer electronics industry, the permanent magnet is used in air conditioning compressors and fans, computer cables, DVDs, recorders, cameras, earbuds, loudspeakers, watches, microphones, mobile phones, voice coil motors, fax stepper motors, printer machine rollers, printers, hard disk drives (HDDs), and portable power tool motors, among others. Properties of these magnets, such as repulsion, attraction, and energy conversion, are expected to surge its demand in various consumer electronics such as television, laptops, music systems, computers, and smartphones. The rising consumer preferences and advancements in technology are fuelling the demand for consumer electronics and driving the permanent magnet market growth.

Permanent Magnet Market Report Highlights

Permanent Magnet Market Report Coverage and Deliverables

The "Permanent Magnet Market Size and Forecast (2021–2031)" report provides a detailed analysis of the market covering below areas:

• Permanent magnet market size and forecast at global, regional, and country levels for all the key market segments covered under the scope
• Permanent magnet market trends, as well as market dynamics such as drivers, restraints, and key opportunities
• Detailed Porter's Five Forces and SWOT analysis
• Permanent magnet market analysis covering key market trends, global and regional framework, major players, regulations, and recent market developments
• Industry landscape and competition analysis covering market concentration, heat map analysis, prominent players, and recent developments for the permanent magnet market
• Detailed company profiles

Permanent Magnet Market Country and Regional Insights

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The geographic scope of the permanent magnet market report is divided into five regions: North America, Asia Pacific, Europe, Middle East & Africa, and South & Central America. The permanent magnet market in Asia Pacific is expected to grow significantly during the forecast period.

Asia Pacific is considered the manufacturing hub of the world. Consumer electronics and automotive productions are critical components of the region's manufacturing activities. Japan, China, and South Korea have become major centers for manufacturing computer hardware devices, including computer chips, hard disks, and microprocessors. This has contributed to the increasing demand for permanent magnets, which are being extensively consumed by electronics and hardware manufacturers. Countries such as China, India, and Japan are the top manufacturers of electronics globally. According to International Data Corporation (IDC), the Indian personal computer (PC) market increased by 37.7% in Q1 2022. Total PC and laptop shipments increased from 3.1 million to 4.2 million units. Similarly, a significant driver of consumer electronics sales in China is the online retail sector. According to data from the National Bureau of Statistics of China, ~30% of all consumer electronics sales in 2023 were made via e-commerce platforms, with Alibaba (Tmall, Taobao) and JD.com being dominant players. Thus, the growing sales of consumer electronics in the region are boosting the demand for permanent magnets.

Permanent Magnet Market Research Report Guidance

• The report includes qualitative and quantitative data in the permanent magnet market across type, application and geography.
• The report starts with the key takeaways (chapter 2), highlighting the key trends and outlook of the permanent magnet market.
• Chapter 3 includes the research methodology of the study.
• Chapter 4 further includes ecosystem analysis along with Porter’s analysis.
• Chapter 5 highlights the major industry dynamics in the permanent magnet market, including factors that are driving the market, prevailing deterrents, potential opportunities as well as future trends. Impact analysis of these drivers and restraints is also covered in this section.
• Chapter 6 discusses the permanent magnet market scenario, in terms of historical market revenues, and forecast till the year 2031.
• Chapters 7 to 9 covers permanent magnet market segments by type, application and geography across North America, Europe, Asia Pacific, Middle East and Africa, South and Central America. They cover market volume revenue forecast, and factors driving the market.
• Chapter 10 describes the competitive analysis along with the heat map analysis for the key players operating in the market.
• Chapter 11 describes the industry landscape analysis. It provides detailed description of various business activities such as market initiatives, new developments, mergers, and joint ventures globally, along with a competitive landscape.
• Chapter 12 provides detailed profiles of the major companies operating in the permanent magnet market. The companies have been profiled on the basis of their key facts, business description, products and services, financial overview, SWOT analysis, and key developments.
• Chapter 13, i.e., the appendix is inclusive of a brief overview of the company, list of abbreviations, and disclaimer.

Permanent Magnet Market News and Key Development:

The permanent magnet market is evaluated by gathering qualitative and quantitative data post primary and secondary research, which includes important corporate publications, association data, and databases. A few of the key developments in the permanent magnet market are:

• Arnold Magnetic Technologies announced an expansion in its global footprint with a new facility in Amata City, Chonburi, Thailand. The state-of-the-art 26,250 ft2 facility has begun operations as of October 2024 with the production of various types of permanent magnet assemblies, including rotors, stators, and motors. (Source: Arnold Magnetic Technologies, Company Website, October 2024)
• Electron Energy Corporation joined Magnetic Holdings, LLC, the parent company of Dexter Magnetic Technologies and Magnetic Component Engineering. Magnetic Holdings is a portfolio company of Tinicum. The transaction creates a group of permanent magnet firms, each with unique and complementary capabilities to solve customers' most demanding challenges. (Source: Electron Energy Corporation, Press Release, July 2024)

Key Sources Referred:

• Permanent Magnet Division (PMD)
• The European Magnetism Association
• US Magnetic Materials Association
• The Magnetic Materials Group
• European Union
• Rare Earth Industry Association (REIA)
• European Institute of Innovation & Technology (EIT)