Cemented Carbide Market

The "Global Cemented Carbide Market" was valued at US$ 6.50 billion in 2024 and is projected to reach US$ 8.70 billion by 2030, exhibiting a Compound Annual Growth Rate (CAGR) of 4.5% during the forecast period (2024-2030)

Cemented carbide is a hard material used extensively as cutting tool material, as well as other industrial applications. It consists of fine particles of carbide cemented into a composite by a binder metal. Cemented carbides commonly use tungsten carbide, titanium carbide, or tantalum carbide as the aggregate.

The cemented carbide industry is a significant sector within the global materials market, known for producing hard, durable materials primarily used in cutting tools, mining, and wear-resistant applications. Cemented carbides provide remarkable toughness, wear resistance, and hardness since they are mostly made up of tungsten carbide particles bound together with a metallic binder like nickel or cobalt. Because of these characteristics, they are perfect for high-performance applications in sectors including construction, oil & gas, and manufacturing. Technological developments in material processing, the rise of the manufacturing sector, and the rising demand for sophisticated machining tools are the main drivers of the industry's progress. The market is also growing as a result of the increased focus on automation and efficiency in production processes. The industry's expansion is, however, threatened by issues like shifting raw material costs, environmental laws, and competition from substitute materials. Overall, the cemented carbide market is poised for continued growth, propelled by ongoing innovations and the increasing need for high-performance materials across various applications.

Segmental Analysis

Tungsten Carbide (WC) to hold the highest market share: By Type

In terms of type the Global Cement Carbide Industry has been segmented as Tungsten Carbide (WC) Titanium Carbide (TiC) Tantalum Carbide (TaC).

In the global cemented carbide market, tungsten carbide (WC) holds the highest market share, accounting for a significant portion of the industry due to its superior properties and widespread applications. For cutting tools, drill bits, and industrial applications where performance and durability are crucial, tungsten carbide is the material of choice due to its remarkable hardness and resistance to wear. Because of its adaptability, it can be utilised in a variety of industries, including as building, mining, and manufacturing. On the other hand, tantalum carbide (TaC) and titanium carbide (TiC) hold smaller market shares. Because of its hardness and chemical durability, titanium carbide is prized and frequently used in cutting tools and coatings. In contrast to tungsten carbide, its uses are more specialised. Although tantalum carbide is known for its strength and high melting point, its market share is limited because it is mostly utilised in specialised industries like electronics and aerospace.

Although titanium and tantalum carbides play distinct roles in the market and contribute to a varied landscape of cemented carbide materials, tungsten carbide's widespread use in high-demand industrial applications is what primarily drives its dominance in the global cemented carbide market.

Cutting Tools to hold the highest market share: By Application

In Terms of Application the Global Cement Carbide Industry has been segmented as Machine Tools & Components, Cutting Tools, Dies & Punches, Others (Abrasive Products, etc.)

The cutting tools application category has the largest market share in the global cemented carbide market, mainly as a result of the growing need for precise machining across a range of industries, including manufacturing, aerospace, and automotive. For tasks requiring excellent durability, heat resistance, and cutting efficiency, cutting tools composed of cemented carbide—especially tungsten carbide—are crucial. These tools are frequently employed in processes where accuracy and performance are crucial, like turning, milling, drilling, and grinding.

Since cemented carbide materials are essential to the manufacturing of several machine components that need improved wear resistance and longevity, the machine tools and components segment, which comes in second to cutting tools, also accounts for a sizeable percentage of the market. Despite being smaller, the dies and punches section is essential for manufacturing operations that require high impact resistance, such as moulding and stamping. Furthermore, although it does not have the volume of the top categories, the others category—which includes abrasive items and other applications—plays a part in niche markets. Technological developments, increased factory automation, and the continuous demand for effective, high-performance tooling solutions are the main factors driving cutting tools' dominant market position. The cutting tools sector is anticipated to continue holding a leading position in the global cemented carbide market as industries continue to change and seek greater accuracy and efficiency.

Regional Overview

With North America, Europe, and Asia-Pacific being the main drivers of its expansion, the worldwide cement carbide market is distinguished by a variety of geographical dynamics. Due to its strong aerospace and automotive industries, which require high-performance cutting tools and components, as well as its modern production methods, North America commands a sizeable portion of the market. The region's market position is further strengthened by the existence of important manufacturers and continuous advancements in tooling solutions. Europe is distinguished by its established industrial foundation and strong emphasis on precision engineering. Due to strict quality requirements and an emphasis on environmentally friendly production methods, nations like Germany and Italy are leaders in the manufacture and use of cemented carbide. To reduce its influence on the environment, the European market is embracing recycling programs and eco-friendly technologies at an increasing rate.

The Asia-Pacific area, on the other hand, is expanding quickly thanks to the thriving industrial sectors in nations like China, Japan, and India. The demand for cemented carbide products is fuelled by the region's sizable industrial base and growing investments in electronics, automotive, and infrastructure. The market is also anticipated to be further driven by emerging nations' increasing use of sophisticated machining equipment and technology.

Overall, the Asia-Pacific area is becoming a major development driver, underscoring the global nature of the cemented carbide sector and its adaptation to regional demands and trends, even though North America and Europe continue to hold sizable market shares because of their well-established industrial frameworks.

Competitive Analysis:

• Sandvik
• Xiamen Tungsten
• China Minmetals Corporation
• Element Six
• Jiangxi Yaosheng
• GuangDong XiangLu Tungsten
• Chongyi Zhangyyuan Tungsten Co
• Plansee(GTP)
• JXTC
• Japan New Metals
• AST
• Kohsei Co Ltd
• ALMT Corp
• Kennametal
• H.C.Starck
• TaeguTec Ltd
• Wolfram Company JSC
• Buffalo Tungsten
• Eurotungstene
• Lineage Alloys
• Other Key Players

Recent Development

July 1^st 2024, Sandvik announced the campletatio of acquisition of majority stake in China-based Suzhou Ahno.

August 27^th 2024, Sandvik announced the acquisitions of Universal Field Robots.a fast-growing Australia-based provider of autonomous interoperable solutions for the surface mining and underground mining markets.“Universal Field Robots is an important strategic addition to Sandvik Mining and Rock Solutions, which will strengthen our growth potential and provide key capabilities in the development of our mining automation solutions portfolio going forward,” says Stefan Widing, President and CEO of Sandvik.

May 30, 2024. Masan High-Tech Materials and Mitsubishi Materials Corporation Group announced the signing of a binding agreement under which Mitsubishi Materials Corporation Group will acquire all shares in H.C. Starck Holding (Germany) GmbH.

End Use Industry Analysis

The automotive electronics industry is expected to expand at a compound annual growth rate (CAGR) of 8–10%, from USD 250 billion in 2022 to USD 540–650 billion in 2032. Since the majority of electronics are probably factory installed, OEMs are predicted to hold between 70% to 75% of the market as cars integrate more electronics in more places. Eighty to ninety percent of the market will be made up of passenger cars, with commercial vehicles providing the remaining demand.

By 2030, sales of electric cars are predicted to make up around 25% of all car sales worldwide. A number of OEMs have launched a number of strategic initiatives in response to the growing demand for electric vehicles. India’s auto component industry achieved a turnover of US$73.1 billion in April 2023 to March 2024. In 2024, domestic Original Equipment Manufacturing (OEM) component supply grew by 8.9 percent to INR 5.18 trillion (US$61.7 billion), the EV manufacturing sector contributed 6 percent to total production.

Oil prices spiralled lower in August and early September, with ICE Brent futures plunging by about $10/bbl as floundering Chinese demand and economic headwinds heightened oversupply fears. Investor selling added to the bearish sentiment, with net speculative exchange holdings slumping to multi-year lows. At the time of writing, Brent was trading at around $70/bbl - the lowest level since late-2021 and down $20/bbl from April's 2024 high.

Industry Dynamics

Industry Trend

Increasing Automation and Industry

The market for cemented carbide is undergoing a substantial transformation due to the move towards automation and Industry 4.0, which is improving overall productivity and revolutionising industrial processes. Manufacturers are moving towards smart factories, where equipment connect with one another in real-time to enable optimised production workflows, thanks to the integration of technology like artificial intelligence (AI), the Internet of Things (IoT), and advanced data analytics. By precisely controlling machining operations, this automation minimises human error and shortens cycle times. Consequently, there is a growing need for high-performance cutting tools, especially those composed of cemented carbide. For automated machining operations that need outstanding hardness, wear resistance, and thermal stability to continue operating at high speeds, these tools are indispensable.

Additionally, manufacturers can reduce downtime and operating costs by using AI in predictive maintenance to foresee equipment problems and schedule maintenance proactively. This trend prolongs the life of cutting tools while simultaneously improving manufacturing operations' efficiency. The need for advanced cemented carbide products is predicted to increase as companies place a greater emphasis on accuracy and efficiency in their operations. This will spur innovation in tool design and use. The cemented carbide market's competitive environment is changing due to the emphasis on automation and smart manufacturing, which puts businesses who invest in these technologies at the forefront of developments in the sector. The market for cemented carbide is a crucial component of this progression since it not only increases productivity but also supports the more general objectives of sustainability and resource optimisation.

Industry Driver

Propelling Demand for High-Performance Cutting Tools across various Manufacturing Sectors

The growing need for high-performance cutting tools in a variety of production sectors is one of the main factors propelling the cemented carbide market. Tools that can endure demanding machining conditions while offering exceptional precision and durability are becoming more and more necessary as industries aim for increased productivity and efficiency. Because of its remarkable hardness and resistance to wear, cemented carbide tools are indispensable in fields including metalworking, automotive manufacture, and aerospace engineering. The continuous trend of technical improvements, such as the adoption of automation and Industry 4.0 practices, which call for reliable tooling solutions able to give constant performance under high-speed and high-stress settings, is another factor driving this demand. As manufacturers seek to enhance operational efficiency and reduce production costs, the reliance on advanced cemented carbide products is expected to increase, driving market growth and innovation within the industry.

Industry Restraint

Fluctuating prices of Raw Materials

The fluctuating prices of raw materials, especially tungsten, cobalt, and other necessary components utilised in the production of cemented carbide products, are a major constraint on the cemented carbide sector. Due to variables like shifting demand dynamics, supply chain interruptions, and geopolitical conflicts, these commodities are susceptible to unstable market situations. For example, the main ingredient in tungsten carbide, tungsten, is frequently extracted in politically unstable areas, which results in irregular supplies and volatile costs. Manufacturers may see higher manufacturing costs as a result of this volatility, which could eventually have an impact on their pricing and profit margins. Additionally, manufacturers can find it difficult to absorb these cost increases without sacrificing performance or quality as they are under pressure to offer competitive pricing in order to draw in customers. Consequently, this fluctuation in raw material prices can hinder market growth and pose challenges for companies aiming to maintain profitability while meeting the evolving demands of their customers.

Report Scope

The report includes Global & Regional market status and outlook for 2017-2028. Further, the report provides breakdown details about each region & countries covered in the report. Identifying its sales, sales volume & revenue forecast. With detailed analysis by Types, Application, Grade. The report also covers the key players of the industry including Company Profile, Product Specifications, Production Capacity/Sales, Revenue, Price, and Gross Margin 2017-2028 & Sales with a thorough analysis of the market’s competitive landscape and detailed information on vendors and comprehensive details of factors that will challenge the growth of major market vendors.