Tungsten Carbide Powder Market Overview
The global tungsten carbide powder market was valued at $1,762.1 million in 2017 and is projected to reach $2,176.8 million by 2023, witnessing a CAGR of 3.6% during the forecast period. The growing demand for machineries and cutting tools from construction, mining, oil and gas, and transportation industries is the main factor driving the market growth.
Based on grain size, the tungsten carbide powder market is categorized into <1 μm, 1–10 μm, and >10 μm. This classification leads to various applications of the powder, owing to its impressive characteristics, such as hardness, strength, toughness, thermal conductivity, and abrasion resistance due to different grain sizes. Of these, the 1–10 μm category accounted for the largest share in the market, accounting for more than 55.0% share in terms value in 2017, owing to its high application base.
On the basis of grade, the tungsten carbide powder market is classified into rotary drilling and mining, metal forming and wear, submicron, corrosion resistant, general purpose, and others (C15, C15A, C16, C17, C18, and C19). Traditionally, rotary drilling and mining grades dominated the market, accounting for more than $600.0 million in 2017. The grades can be employed in agriculture, construction, automotive, and oil and gas industries. Powder manufactured using tungsten carbide are used in drill bits and its accessories such as inserts, burr blanks, and rods in these industries.
Based on application, the tungsten carbide powder market is categorized into machine tools and components, cutting tools, dies and punches, abrasive products, and others. The others category includes application in neutron reflectors, surgical equipment, and jewelry. Cutting tools category contributed the largest revenue to the market in 2017, accounting for more than 50.0% share. Factors such as macroeconomic growth in the Asia-Pacific (APAC) region, and increasing investments in infrastructure and construction sectors are expected to propel the demand for metals and metal products, thereby increasing the demand for tungsten-based derivatives in metalworking and manufacturing industries.
On the basis of end-use industry, the tungsten carbide powder market is categorized into mining and construction (drill bits, inserts, and burr blanks), industrial engineering (chemical and fertilizers, fluid power manufacturing, and power generation and transmission), transportation (railways and automotive), oil and gas (exploration and drilling), aerospace and defense (aircraft and ammunition), and others (jewelry, medical, and sports). Among different end-use industries, transportation accounted for the largest share in the market in 2017.
The worldwide automobile demand has been fueled by rise in disposable income of individuals, and paramount need to cater transit requirements via different modes of transport. This escalation in demand for vehicles is boosting the demand for surface coated breaks, ball joints, and pneumatic rotary tools, which is manufactured using tungsten carbide, thereby encouraging the growth of the tungsten carbide powder market.
Geographically, the tungsten carbide powder market is categorized into North America, Europe, APAC, Latin America (LATAM), and Middle East and Africa (MEA). Globally, APAC was the largest market for tungsten carbide powder during the historical period, contributing more than 55.0% revenue in 2017. This can be mainly attributed to a forward and backward integrated value chain in China. The country has a dominant share of the tungsten ores, significant mining and production facilities, processing capabilities of tungsten carbide powder, and in-house abilities to manufacture cemented carbides.
Tungsten Carbide Powder Market Dynamics
Growth in industries such as construction, automotive, and manufacturing is expected to have a significant impact on the universal demand for metals and related products. Tungsten carbide and its derivatives are widely used in cutting and abrasive tools, molds, dies, and punches for metal fabrication in these industries. Thus, increased manufacturing activities are expected to boost the tungsten carbide powder market in the coming years.
Moreover, rising population and rapid urbanization, primarily in the APAC and Eastern European regions, have led to the high demand for tungsten carbide based industrial machinery and equipment used in consumer products manufacturing, which in turn, is boosting the tungsten carbide powder market.
Tungsten Carbide Powder Market — Competitive Landscape
The global tungsten carbide powder market is dominated by Chinese producers, such as Chongyi Zhangyuan Tungsten Co. Ltd., Jiangxi Yaosheng Tungsten Co. Ltd., Xiamen Tungsten Co. Ltd., Nanchang Cemented Carbide Limited Liability Company, China Minmetals Corporation, and GuangDong XiangLu Tungsten Co. Ltd. Majority of the Chinese companies in the market have their mining as well as production base in China, owing to the presence of large deposits of tungsten ores in the country. These companies not only serve the domestic demand, but also meet the international demand for tungsten carbide powder. However, Sandvik AB, Kennametal Inc., CERATIZIT S.A., Umicore, and Japan New Metals Co. Ltd. are some other key players accounting for a significant share in the market.