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Analysis of Technical Characteristics, Development Trends, and Competitive Landscape of Ferrite Permanent Magnetic Materials

date:2024-10-08 browse:

1. Definition and classification: Magnetic materials are important functional materials in the process of converting electrical and kinetic energy, mainly referring to substances composed of transition elements such as iron, cobalt, nickel, and their alloys that can directly or indirectly produce magnetism. There are many types of magnetic materials, which have different classifications based on different classification standards and emphasis. Magnetic materials can be classified into permanent magnet, soft magnet, moment magnet, spin magnet, and piezoelectric materials based on their application functions. Among them, permanent magnetic materials, also known as hard magnetic materials, refer to magnetic materials that can retain their magnetism for a long time without the external magnetic field after being magnetized under the action of an external magnetic field, and have high residual magnetic induction intensity and high coercivity. Permanent magnet materials can be roughly divided into several categories: metal permanent magnet materials, ferrite permanent magnet materials, and rare earth permanent magnet materials. Among the permanent magnet materials, ferrite permanent magnet materials (also known as permanent ferrite materials).

Permanent ferrite material is a compound with uniaxial anisotropy and hexagonal structure, mainly made of iron red (or iron scale) and strontium carbonate (or barium carbonate) through ceramic technology. According to different downstream forming processes, permanent ferrite materials can be roughly divided into two categories: sintering and bonding; According to the sales category, sintering is divided into coarse powder and fine powder, and bonding is divided into rolling, injection molding, and extrusion.


Permanent ferrite materials not only have characteristics such as wide hysteresis loop, high coercivity, and high remanence, but also have advantages such as high resistivity, good stability, strong resistance to environmental changes, abundant raw material sources, high cost-effectiveness, and mature processes. Therefore, they are widely used as basic functional materials.

2. Industry technical level and technical characteristics

The world's permanent magnet ferrite material production enterprises are mainly distributed in China, Japan, South Korea, and Southeast Asia. China is the world's largest manufacturer of permanent magnet ferrite materials. In recent years, the technological development of leading enterprises in China's industry has been rapid. Key production technologies such as rare earth doped ferrite material preparation, high filling injection molding ferrite material preparation, magnetic powder particle size distribution control, and powder particle shape control have made breakthroughs, and product performance has approached the theoretical maximum value of ferrite materials, which is almost the same as the technical level of international leading enterprises.

At the same time, in terms of production control, the automation level of leading enterprises in China is constantly improving, production process control is becoming more and more precise, and the ability to independently design production equipment is constantly strengthening, thereby greatly improving product consistency. At present, some leading enterprises are promoting digital transformation, which will further promote the development of the permanent magnet ferrite material industry.

However, there are numerous enterprises in our country's industry, and most of them still suffer from problems such as small production capacity, low product quality, and low degree of automation, resulting in a large but weak permanent magnet ferrite material industry in our country.

3. Industry development trend

With the continuous development and rapid growth of emerging application markets, high-end permanent magnet ferrite materials and devices are widely used in variable frequency motors for high-end automotive motors, variable frequency air conditioners, variable frequency refrigerators, variable frequency washing machines and other household appliances, bringing market space to permanent magnet ferrite enterprises and providing more new opportunities for their development. Specifically, the development trend of the industry has the following points:

(1) Increased market demand

In recent years, the introduction of policies such as "carbon peak", "comprehensive promotion of consumption", and "advanced manufacturing" has been conducive to promoting the overall improvement of the industry and bringing strategic opportunities for the development of high-quality enterprises in the industry. In addition, with the improvement of industry technology, the demand for permanent magnet ferrite materials in fields such as new energy vehicles, smart homes, energy-saving appliances, robots, and industrial automation has further increased.

(2) The level of technology continues to improve

Permanent ferrite materials, as the basic raw materials for preparing permanent magnet devices, are the most critical factor determining the quality of the devices. The manufacturing of high-performance and high stability permanent ferrite materials has become a key link in the development of the entire industry chain and product value-added. Enterprises with strength and technology are also actively researching and innovating to meet market changes and challenges.

Permanent ferrite materials belong to technology intensive industries. High end applications represented by automotive motors and DC variable frequency motors often require both high residual magnetic induction strength and intrinsic coercivity, and require the uniformity and consistency of product magnetic properties to be controlled within a very small range of error. Production enterprises in the industry can only continuously improve product quality and meet downstream customers' needs for product updates and replacements based on technological development.

To achieve performance improvement, in addition to improving the basic formula, it is also necessary to strictly control the consistency of the production process in order to effectively control the microstructure of the product, ensure that the product can achieve high density and high orientation, thereby upgrading product quality and achieving miniaturization and lightweighting of various permanent magnet micro motors.

(3) The production process pays more attention to automation, green environmental protection, and energy conservation

In the context of continuously rising labor costs, promoting the upgrading of automation equipment and enhancing the automation and digitization of permanent magnet ferrite material factories are important ways for the growth of the permanent magnet ferrite material industry. In recent years, the production technology and equipment level of major enterprises in China's permanent magnet ferrite material industry have made rapid progress. The overall coordination of equipment selection in each process has become better, the automation level of each process has gradually improved, the production scale has gradually expanded, and the product level and global competitiveness have further improved, thus promoting the rapid development of the industry. In addition, pollution control and clean production in the production process are receiving increasing attention.


Establishing a sustainable and coordinated development concept, introducing technologies such as clean production of pre burned materials, and continuously promoting energy-saving, water-saving, and consumption reducing process transformations are necessary to achieve greater development under the high-pressure situation of environmental law enforcement.

(4) Further increase in the degree of intensification

Due to policy guidance and market demand gradually shifting towards the high-end, competition in the mid to low-end market of permanent magnet ferrite materials has become increasingly fierce, especially in recent years when energy, raw material, and labor costs have risen and fluctuated significantly, making it very difficult for enterprises to manage and control costs. In addition, due to the global economic downturn and the suppression of industrial investment and consumption under the epidemic, the industry is facing significant pressure.

Therefore, the permanent magnet ferrite industry has entered a critical period of structural adjustment. Mid to low-end enterprises that lack core technology and rely solely on cheap labor will gradually clear out. Top enterprises with talent reserves, technological accumulation, innovation capabilities, equipment conditions, management level, and industrial concepts will become bigger and stronger, and the degree of industrial intensification will further increase.

4. Industry competition pattern

Compared to the international magnetic material industry, China's magnetic material industry started relatively late. Starting from the mid-1990s, with the significant adjustment of the world magnetic material industry pattern, the number of Chinese magnetic material enterprises increased sharply, and China quickly became a major producer of magnetic materials in the world. At present, the production of permanent magnet ferrite materials is mainly concentrated in China, Japan, the United States, and other countries.


Japan and the United States are the earliest countries in the world to engage in the research and production of permanent magnet materials. They have strong capabilities in developing new products and high overall technological content. However, with high production costs, production in developed countries is continuously decreasing, mainly focusing on producing mid to high end products, while the production of mid to low end products is gradually shifting to developing countries. Developing countries represented by China have undertaken the majority of the transfer of the permanent magnet ferrite industry. The main production enterprises in the industry include Hengdian Dongci (mainly for self use), Beikuang Technology, Ante Magnetic Materials, and Ma'anshan Xinyang. According to the company's annual report and publicly available data on its official website, the current production capacity is 238000 tons/year, 5.78 tons/year (Beikuang Technology has not disclosed production capacity data, which is the 2023 output data), 179000 tons/year, and 80000 to 100000 tons/year, respectively. In terms of scale, the industry presents the characteristics of being dominated by small enterprises and fiercely competitive. From a quality perspective, market competition has shifted from mid to low end products to mid to high end products, and competition in the high-end materials market will also intensify in the future. Due to the improvement of performance requirements, stricter environmental control, and intensified fluctuations in raw materials, some enterprises with low technical level, incomplete environmental protection measures, and weak cost management capabilities have been cleared, and the process of increasing industry concentration will accelerate. 5. Major enterprises in the industry (1) Beikuang Technology Co., Ltd


Beikuang Technology Co., Ltd. was established on September 6, 2000 and listed on the Shanghai Stock Exchange on May 12, 2004 (stock code: 600980. SH). It mainly engages in the research and development, production, and sales of mining and metallurgical equipment, magnetic materials, and magnetic devices. Magnetic material products include sintered permanent ferrite, bonded permanent ferrite, injection molded pellets, magnetic recording materials, rare earth permanent magnets and other magnetic materials, as well as permanent magnet components. They are mainly used in traditional and emerging fields such as electronics, computers, information communication, medical, aerospace, automobiles, wind power, environmental protection and energy conservation. According to the 2023 annual report data, Beikuang Technology has a total output of 57800 tons of magnetic materials, making it one of the major manufacturers in the industry. The operating revenue for 2023 is 928.1621 million yuan, of which the revenue from magnetic materials is 289.9758 million yuan.

(2) Hengdian Group Dongci Co., Ltd

Hengdian Group East Magnetic Co., Ltd. was established on March 30, 1999 and listed on the Shenzhen Stock Exchange in August 2006 (stock code: 002056. SZ). It is mainly engaged in the research and development, production, sales, and provision of one-stop technical solutions for magnetic materials+devices and photovoltaic+lithium battery related products. Magnetic material products mainly include pre fired materials, permanent magnets, soft magnets, plastic magnets, etc., which are mainly used in home appliances, automobiles, photovoltaic new energy, consumer electronics, communications, big data centers, charging piles, intelligent terminals, industrial Internet, artificial diamonds and other fields. According to the 2023 annual report data, the total production capacity of Hengdian East magnetic ferrite materials is 238000 tons, making it one of the major manufacturers in the industry. The operating revenue for 2023 is 19.721 billion yuan, of which the revenue from magnetic materials is 3.74 billion yuan.


(3) Ma'anshan Xinyang Permanent Magnet Co., Ltd

Ma'anshan Xinyang Permanent Magnet Co., Ltd. was established on November 25, 1998, mainly engaged in the production and sales of magnetic tiles, strontium, and barium permanent ferrite pre burned materials. According to information disclosed on the official website, the production capacity of permanent magnet ferrite materials is 80000 to 100000 tons, making it one of the major manufacturers in the industry.

(4) TDK Corporation

TDK Corporation was founded on December 7, 1935 and listed on the Tokyo Stock Exchange in 1961 (stock code: 6762.TSE). It mainly engages in the research and development, manufacturing, and sales of passive components, sensor application products, magnetic application products, energy application products, etc. It is one of the international leading enterprises in the field of sintered permanent ferrite materials. The operating revenue for the fiscal year 2023 (2022.4.1-2023.3.31) is 218.08 billion yen, of which the revenue from magnetic application products is 2006.34 billion yen.

(5) Dowa Holdings Co., Ltd

Tonghe Holdings (Group) Co., Ltd. was established on March 11, 1937, mainly engaged in environmental protection and recycling, smelting, electronic materials, metal processing, and heat treatment. It is one of the international production enterprises in the field of bonded permanent ferrite materials.

(6) Zhejiang Ante Magnetic Materials Co., Ltd

Zhejiang Ante Magnetic Materials Co., Ltd. was established on February 26, 1999, with a listing code of 874593 on the New Third Board. Its registered address is No. 5 Jianye Road, Taozhu Street, Zhuji City, Zhejiang Province. It is a technology-based enterprise specializing in the research and development, production, and sales of permanent ferrite materials. It is a national high-tech enterprise and the vice chairman unit of the Magnetic Materials Branch of the China Electronic Materials Industry Association and the Magnetic Materials and Devices Branch of the China Electronic Components Industry Association. The company is headquartered in Zhuji City, Zhejiang Province, and currently has two subsidiaries, Jiangsu Ante Magnetic Materials Co., Ltd. and Anshan Ante Magnetic Materials Co., Ltd.

The company adheres to the business philosophy of "seeking perfect quality internally, excellent customer quality externally, pursuing quick response, and remembering theme innovation", and is committed to providing customers with stable quality, high-performance, and cost-effective permanent magnet ferrite materials. We are committed to becoming a world-class manufacturer of permanent magnet ferrite materials. The company has been deeply involved in the field of permanent magnet ferrite materials for many years and is currently one of the largest manufacturers of permanent magnet ferrite materials in China. Its products cover various models of high-end permanent magnet ferrite materials, and its performance is leading in China. It has obtained multiple authorized invention patents and multiple products have been awarded national key new product and provincial new product honorary titles.

For more industry research and analysis, please refer to the official website of Sihan Industry Research Institute. At the same time, Sihan Industry Research Institute also provides consulting services such as industry research reports, feasibility studies, industrial planning, park planning, business plans, special research, architectural design, overseas investment reports, etc.

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