Magnets and magnetic materials: A technical economic analysis
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Transcript of Magnets and magnetic materials: A technical economic analysis
Economics
Magnets and Magnetic Materials: A Technical Economic Analysis
Thomas Abraham
Author's Note: This article summarizes information COID
piled for the Business Communications Company reports Permanent Magnets: Materials, Types, Processing, Applications, Intermaterial Competition and Markets and Soft Magnetic Materials-Types, Processing, Applications, Intermaterial and Foreign Competition and Market Opportunities.
INTRODUCTION
Permanent magnetic materials are materials that remain permanently magnetized after the application of a magnetic field. Constituting a very important and highly sophisticated class of engineering materials, permanent magnets have a wide range of industrial and commercial applications, ranging from refrigerator and bulletin-board magnets to the most advanced magnets used in computers and electronics. Currently, the permanent magnet industry is on the brink of far-reaching and possibly fundamental change as a result of the emergence of Nd-Fe-B magnets and their rapid commercialization.
Soft magnetic materials become magnetized by relatively low-strength magnetic fields; when the applied field is removed, they return to a state of relatively low residual magnetism. Soft magnetic materials are used in power distribution systems, electrical-mechanical energy conversion, and microwave communications. They also function as transducers and as the active material for data storage in many information systems. As the properties of these unique magnetic materials are continuously improving, many new applications are expected to arise over the remainder of the decade. In particular, ferromagnetic amorphous alloys are replacing conventional materials.
By analyzing both the industry and the market for these materials, this article provides a technical economic overview of permanent magnets (i.e., hard ferrites, bonded, samarium-cobalt, NdFe-B, and Alnico) and soft magnetic materials (e.g., soft ferrites, iron-silicon electrical steels, ferromagnetic amorphous alloys, and nickel-iron alloys).
PERMANENT MAGNETS
Permanent magnets can be broadly categorized into sintered magnets or bonded magnets. The materials include a variety of alloys, intermetallics, and ceramics. Commonly specified are ceramic hard ferrites, rare-earth alloys (NdFe-B and Sm-Co), Alnico (Fe-AI-Ni-Co),
16
Cunife (Cu-Ni-Fe), iron-cobalt alloys containing vanadium or molybdenum, certain steels, and platinum-cobalt.
Ceramics are the most widely used commercial hard magnetic materials. Among the metallic magnets, cobalt is a major element used for obtaining magnetic properties in permanent magnetic alloys and materials (Alnico, rare-earth cobalt, Fe-Cr-Co, and platinum-cobalt). However, neodymium, which is a far less expensive element, is rapidly emerging as a major alloying element and a very high-energy product of permanent magnets. In fact, one important factor contributing to potential changes in the permanent magnetic industry is the emergence of the Nd-Fe-B magnets and their rapid commercialization.
Nd-Fe-B magnets can be produced by two different methods. Each has distinct advantages and limitations. They are
• Conventional powder metallurgy followed by a sintering, used successfully for manufacturing samarium-cobalt magnets.
• Rapid solidification followed by a
consolidation technique being developed by the Delco Remy Division of General Motors Company.
Applications for a permanent magnet can be broadly categorized based on the field in which the magnet serves. These fields include electromechanical devices, mechanical force and torque devices, electron- and ion-beam control, and medical applications. Some common applications are shown in Table 1.
Prices
Prices of permanent magnets vary a great deal, ranging from $2 per pound for ceramic magnets to $250 per pound of samarium-cobalt and $8,000 for a pound of platinum-cobalt. An appropriate basis for comparing the value of different magnetic materials is the cost per unit of magnetic energy produced. Values for this parameter, calculated from the maximum energy of each material, are shown in Table II.
On this basis, Nd-Fe-B is much less expensive than samarium-cobalt and costs the same as Alnico. Ceramics rep-
Table I. Applications of Permanent Magnetic Materials·
Application
Auto d.c. Motors Auto Cranking Motors Aircraft Magnetos Alterna tors Magnetos for Lawn Equipment
Small d.c. Motors Large d.c. Motors
Voice Coil Motor Acoustic Transducer Small-Gap Magnetic Couplings Large-Gap Magnetic Couplings Transport Systems Separators Magnetic Focusing System Holding Devices Ammeters and Voltmeters Watt-Hour Meters * Source: ASM Handbook, vol. 2. d.c.-Direct current
Recommended/Alternative Material
Ferrite/bonded Nd-Fe-B Ferrite/bonded Nd-Fe-B Sm-Co/cast AlniCo V Sm-Co/ferrite, Alnico
Bonded ferrite/bonded Nd-Fe-B, sintered ferrite Sm-Co/Nd-Fe-B Nd-Fe-B/Sm-Co Ferrite/Nd-Fe-B Ferrite/bonded Nd-Fe-B Nd-Fe-B/Sm-Co Nd-Fe-B/Sm-Co Ferrite/Nd-Fe-B Nd-Fe-B/Sm-Co Ferrite/ Alnico Alnico Alnico V & VI
Table 11.1992 Prices and Relative Values of Magnetic Materials
Materials
Hard Ferrite Nd-Fe-B Sm-Co Alnico Pt-Co Bonded Ferrite Bonded Nd-Fe-B Bonded Sm-Co
Avg. Price ($/lb.)
2 95
250 25
8,000 2 90
180
Avg. Max. Energy Product (MGOe)
3.5 30 22 8 10 1.5 5 7
$/MGOe
0.6 3.2
11.4 3.1 800 1.3 18
25.7
JOM • January 1995
resent the cheapest magnets based on net materials. Market growth will be both weight and relative value. Next rapid with applications including large comes bonded ferrite. Because of ad van- motors using ceramic magnets and mili-tages in price and relative value, ceramic tary applications that utilize samarium-magnets will continue to hold on to their cobalt magnets. Nd-Fe-B magnets are markets. used in voice coil motors in computer
disk drives.
Bonded magnets, which accounted for a pproxima tely $140 million in sales d uring 1992, will reach an estimated $257.3 million by 1997 as a result of 13% average annual growth.
SOFT MAGNETS U.S. Industry Structure During the surveyed period, more and The U.5. soft magnetic material in-
The U.S. permanent magnet industry more conventional motors will be con- dustry is a mature one. Within this mar-is characterized by about 20 manu- verted to brushless direct current. Per- ketplace, however, intermaterial com-facturers of sintered and cast magnets manent magnets for these motors are petition is intense as a result ofthe avail-and an equal number of bonded magnet available. Considerable growth is antici- ability of new magnetic materials with producers. Only three companies pro- patedfor high-or variable-speed motors superior properties. Certain conven-duce both sintered and bonded mag- for the pump, fan, and compressor in- tional products have also improved their nets. Among the sintered and cast mag- dustries. performance properties. nets (i.e., hard ferrite, Alnico, rare- -------------------- Soft magnetic materials are used in earth cobalt, and Nd-Fe-B),mostcom- Currently, the permanent a variety of applications that involve panies prod uce only one or two prod - changing electromagnetic induction, ucts. Only two companies, Crucible magnet industry is on the such as transformers, motors, genera-Magnetics and Hitachi, produce the brink of far-reaching and tors, solenoids, lamp ballast units, major sintered and cast permanent direct current relays, and magnetic magnets. possibly fundamental change shielding. The largest volume of soft
The U.5. hard ferrite magnet indus- as a result of the emergence magnetic materials used is for frac-try is characterized by about a dozen tional horsepower motors, heavy ro-firms,and two-TDKFerriteCorpo- of Nd-Fe-B magnets and their tating equipment, and power fre-ration and Hitachi-hold more than 'd '1' t' quency transformers. Materials used 50 percent of the market. Both com- rapl COmmerCia lza lon, in these industries include high-pu-panies are subsidiaries of Japanese rity iron, low-carbon steels (cold-companies. The most widely used commercial rolled lamination steel), silicon steels
In the United States, about six compa- hard magnetic material is ceramic hard (electrical steel), iron-nickel alloys, iron-nies produce Nd-Fe-B magnets. Cur- ferrite. Ceramic magnets make up nearly cobalt alloys, iron-silicon alloys, ferritic rently, the major player is Crucible Ma- 30% of the entire United States perma- iron-chrome alloys (solenoid-quality terials Corporation, which makes these nent magnet market, followed by Nd- stainless steel), soft ferrites (ceramics), magnets using a powder metallurgy Fe-B, Alnico, and rare-earth cobalt mag- and soft magnetic amorphous materials. technique. Otherfirms are Ugimag, Gen- nets. In 1992, ceramic hard ferrite ac- Several different alloys may be suitable eraIMotors'Magnequench,HitachiMag- counted for sales valued at $137 million. for a given set of conditions. netics and Electron Energy Corporation. Based on 9% annual growth, however, Prices Suppliers of Nd -Fe-B powders are Mag- the market for ceramic magnets should nequench and Sumitomo. approach $211 million by 1997. Table IV lists the average prices for
The rare-earth cobalt magnet industry More dramatic, the market for Nd-Fe- soft magnetic materials, which vary from is characterized by six producers and an B magnets will grow at 17.5% annually. $0.30 per pound for cold-rolled lamina-additional half dozen suppliers of im- Overall, the metallic magnet segment tion steel to $75 per pound for micro-ported magnets. Alnico magnets are will comprise slightly more than 39% of wave ferrites. Certain grades of amor-manufactured by five producers. the total permanent magnet market and phous steel are also priced between $70
The bonded permanent magnet in- approach $294.7 million by 1997-10.6% and $80 per pound. dustry in the United States is character- annual growth. Prices for electrical steel, cold-rolled ized by six suppliers of magnetic pow- lamination steel, soft ferrites, carrier core ders and about 24 producers of these Table III. U.S. Market for Permanent (toner powder), microwave ferrite, and magnets. Magnets (Millions of Dollars) nickel-iron are stabilized. Amorphous
Currently, there is fierce intermaterial steel price has been coming down and is competition in the field of permanent expected to come down further with the magnets as higher performance Nd-Fe- large-scale utilization of this material. B magnets have become available com- Also, Allied-Signal's patent expired in mercially. In terms of international com- 1993. Therefore, many other companies petition, Japan is the leader, manufac- areinapositiontoenterthefield,provid-turing about 50% of the world's perma- ing enough competition in the future. nent magnets. Table IV. 1992 Average Prices of Soft Iron-cobalt alloy price depends on the Markets Magnetic Materials price of cobalt.
Table III shows the u.s. market for Avg. Price U.S. Industry Structure Materials ($/lb.)
permanent magnets. Although there In terms of industry structure, there Electrical Steel 1 1
should be no substantial market changes Cold-Rolled Lamination Steel 0·3 are about 24 competing U.S. producers by 1997, the market shares of ceramic Amorphous Steel (Transformer . of soft magnetic materials. The most in-and metallic magnets will decrease Core) 2 tense competition occurs in the area of slightly compared to bonded magnets. Soft Ferrite Components 11.5 soft ferrites. Electrical and cold-rolled The 1992 market was estimated to be Carrier Core 3 lamination steel are mature markets, and $455 million and is expected to reach Microwave Ferrite 75 each has four U.s. producers sharing the $763 million by 1997, reflecting 10.9% Nickel-Iron 12 market. In the specialty soft magnetic annual growth. Iron-Cobalt 24 materials area (silicon-iron, iron-cobalt,
Electromechanical devices constitute Silicon-Iron 4 and solenOid-quality stainless steel), only the largest market for permanent mag- Solenoid-Quality Stainless 4 one major producer exists.
1995 January • JOM 17
As for international competition, the United States is currently playing a leadership role as the sole manufacturer of amorphous steel. For U.s. companies, international competition is also sparse in the areas of electrical and cold-rolled lamination steels. With regard to soft ferrites, about 20% of U.S. consumption is satisfied by imports.
Markets
Among the soft magnetic materials, the largest quantities used are cold-rolled lamination steel and electrical steel. Amorphous steel with superior magnetic properties is the latest material available commercially. Other commer-
cially produced soft magnetic materials are soft ferrites as well as nickel-iron and iron-cobalt alloys. Alloys produced in limited quantities are high-purity iron, silicon-iron, and solenoid-quality stainless steel.
The U.s. soft magnetic materials industry is a matured industry with sales reaching almost $2 billion. However, several changes are occurring in the industry because of the availability of new materials with superior properties.
One recent development is the availability of amorphous steel for distribution transformers. Many U.s. utilities are incorporating highly efficient amorphous distribution transformers in
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Table V. U.S. Markets for Soft Magnetic Materials (Millions of Dollars)
Steel Ceramic Other Metallic Total
1992
1,620 195 66
1,881
Avg. Annual 1997 Growth Rate
2,265 7% 293 8.5% 84 5%
2,642 7%
their systems, displacing transformers with electrical steel. However, electrical steel producers have bee!} fighting back by improving product properties and keeping the prices down.
Another development in the industry has been a loosening of the markets in defense-oriented products. One of the materials affected because of defense cuts is microwave ferrite.
The market for soft magnetic materials was valued at almost $1.9 billion in 1992, and it is expected to reach over $2.6 billion by 1997, reflecting a 7% annual growth (Table V).
The steel segment of the soft magnetic material market, which cOI).sists of electrical steel, cold-rolled lamination steel, and amorphous steel, accounts for about 86% of the total market. Electrical steel constitutes the largest market share in value, while cold-rolled lamination steel has the largest market share in quantity. Soft ferrite constitutes about 10% of the total market value, although in quantity it constitutes less than 1 % of the total. Consumption of amorphous steel is expected to grow at 25.1 % annually, while soft ferrites will experience 8.5% annual growth over the course of the study period. Electrical steel and cold-rolled lamination steel are both expected to grow at more than 6% annually through 1997, while nickel-iron will experience annual growth of approximately 5.3%. Overall, the market for steel used for soft magnetic materials will approach $2.3 billion by 1997.
Ceramic soft magnetic material uses are non microwave ferrites (Mn-Zn ferrites and Ni-Zn ferrites), microwave ferrites, and carrier cores. These materials represent approximately 10% of the overall materials used in soft magnets. From a market value of $195 million in 1992, ceramics used as soft magnet materials will reach a value of $293 million by 1997, reflecting 8.5% annual growth. Other metallic materials-such as ironcobalt, solenOid-quality stainless steel, silicon-iron, and high-purity iron-represent 3.2% of the market and are projected to have a market value of $84 million by 1997.
Thomas Abraham is senior industry analyst and director of the Ceramics Group at the Business Communications Company in Norwalk, Connecticut. He is also editor of High Tech Ceramics News.
For more information, contact T. Abraham, Business Communications Company, 25 Van Zant Street, Norwalk, Connecticut 06855; (203) 853-4266.