Magnet wire refers to the wire used for winding of electrical equipment. It is made up of copper or aluminum with a thin coating of insulating layer for producing electromagnetic fields. The insulating layer uses polyvinyl formal, polyamide, and other such films. It is used for making magnetic field through electrical energy. It is used for creating coils in various applications such as transformers, inductors, and motors. The commonly used magnet wire material is copper, which is used in electric motors. It allows multiple layer of winding of wires without any short circuits. Magnet wire is divided into two types that is enameled wire and covered wire.
COVID-19 scenario analysis:
- The demand for the magnet wire is expected to decrease in the year 2020 due to lockdown imposed by the government and low demand from electronics & electrical industries.
- COVID-19 pandemic has halted the production of various products in the magnet wire industry, mainly owing to the prolonged lockdown in major global countries. This has hampered the growth of the magnet wire market significantly from last few months, as is likely to continue during 2020.
- COVID-19 has already affected the sales of equipment and machinery in the first quarter of 2020 and is likely to cause a negative impact on the market growth throughout the year.
- The major demand for equipment and machinery was previously noticed from giant manufacturing countries, including the U.S., Germany, Italy, the UK, and China, which is negatively affected by the spread of coronavirus, thereby halting the demand for equipment and machinery.
- Further, potential impact of the lockdown is currently vague and financial recovery of companies is totally based on its cash reserves. Equipment and machinery companies can afford a full lockdown only for a few months, after which the players would have to modify their investment plans.
- Equipment and machinery manufacturers must focus on protecting their workforce, operations, and supply chains to respond toward immediate crises and find new ways of working after COVID-19 infection cases start to decrease.
Top impacting factors: market scenario analysis, trends , drivers, and impact analysis
Increasing demand for the electric motors, transformers, home appliances, and inductors is driving the market of magnet wire. Further, rise in demand for the electronic gadgets like speakers, headphones and others that requires tight coil of copper insulated wire is growing the market of magnet wire. Moreover the use of magnet wire in the electronics industry will drive the market of magnet wire during the forecast period. Asia- pacific region countries like China and Japan are progressively growing in the electronics & electrical sectors. These countries are the major customers of the magnet wire thus driving the market of magnet wire. The U.S is having the largest market share in the magnet wire. However, the fluctuations in the cost of copper and aluminum can hamper the growth of the market. Contrarily, the telecommunication industry is expected to create new pathways for this market due to large demand of copper magnet wire.
The global magnet wire market trends are:
New product launches to flourish the market
The launch of new generation technologically advanced products can boost the growth of the market. In the past few years, many such products having unique features were launched in the market. On June 2018, one of global magnet wire leader REA launched a new product Nanoshield magnet wire. It consists of three coat system mainly a base coat of modified polyester, a nanoparticle shield coat, and polyamide-imide coat. It is mostly used in motors, generators, and other such applications. Further, in 2019, Essex magnet wire has introduced high temperature insulating system for the coils of traction motors used in e- vehicles.
High demand from applications :
Magnet wire is used in various applications like electric motors, transformers, home appliances like fans, automobiles and heavy machinery. The magnet wire is most commonly used in transformers. Transformers are the devices used to transfer the electrical energy from one circuit to another through the coils. These coils are made up of copper magnetic wire winding's. Further, it is used in electric motors. Electric motors are used in various appliances like fans, pumps, automobiles and heavy machinery. These electric motors contains coils for producing the magnetic fields. These coils are made up of copper magnetic wire. Copper, is used because of its high electrical conductivity than aluminum. Copper magnetic wire is most preferred for coils(winding of wire) than aluminum. Thus, in most of the consumer electronics electric motor is used which uses a coil made up of magnetic wire.
Key benefits of the report:
- This study presents the analytical depiction of the magnet wire market along with the current trends and future estimations to determine the imminent investment pockets.
- The report presents information related to key drivers, restraints, and opportunities along with detailed analysis of the magnet wire market share.
- The current market is quantitatively analyzed to highlight the magnet wire market growth scenario.
- Porter’s five forces analysis illustrates the potency of buyers & suppliers in the market.
- The report provides a detailed market analysis depending on competitive intensity and how the competition will take shape in coming years.
Magnet Wire Market Report Highlights
By Industry Vertical
Key Market Players
Sumitomo Electric Industries, Ltd., Samdong Co., Ltd., IRCE S.p.A., REA Magnet Wire, Elektrisola, Fujikura Ltd., Furukawa Electric Co. Ltd., Tongling Jingda Special Magnet Wire Co. Ltd., LWW Group, LS Cable & System