The sales volume of iron powder increased from 1231 K MT in 2013 to 1471 K MT in 2017, with an average growth rate of 4.56%.
Thursday, 20 Sep, 2018

Currently, some companies in the world can produce iron powder, mainly concentrating in China and North America. The main market players are Hoganas, GKN (Hoeganaes), Rio Tinto Metal Powders, Laiwu Iron&Steel Group, Kobelco, Jiande Yitong, etc. The sales volume of iron powder increased from 1231 K MT in 2013 to 1471 K MT in 2017, with an average growth rate of 4.56%.

 

In consumption market, the growth rate of global consumption is smooth relatively. China, North America and Europe are still the mainly consumption regions due to the advanced production technology and rapid development of economy. North America is the dominate consumer of iron powder, occupied about 37% of the total amount, and the consumption volume is 547 MT in 2017.

 

Iron powder has two major types, such as atomized iron powder and reduced iron powder. Due to the good coactivity, high purity and high compressibility of atomized iron powder, it will have a huge market potential. Iron powder is widely used in automobile, machinery, chemical industry, magnetic materials and others. As the demand increases rapidly for downstream industries, the demand for iron powder will correspondingly increase. The increased consumption of iron powder is expected to continue during the remaining years of the next five years. Iron powder industry will usher in a stable growth space.

 

The major raw material for iron powder is iron ore. On the global market, supply of raw materials is full. The production is mainly concentrate in China and Australia. Fluctuations in the price of the upstream product will impact on the production cost of iron powder industry.

 

We tend to believe this industry is a promising industry, and the consumption increasing degree will show a smooth growth curve. For product prices, the slow downward trend in recent years will maintain in the future as competition intensifies. Besides, prices gap between different brands will go narrowing gradually. Also, there will be fluctuation in gross margin.