The increasing market of electric vehicles is expected to enhance the demand for magnet wires in the transportation industry. The demand for magnet wire from the electrical & electronics industry is expected to increase due advancements in this sector.
On the other hand, the fluctuating cost of raw materials is a major factor inhibiting the market growth. The raw materials required are mainly copper, and aluminum. The price of magnet wires may vary depending on the type, availability, and quality of raw materials available from the smelters. Sourcing high-quality copper and aluminum as raw materials has become difficult due to decrease in production from mines as the prices have gone too low since the outbreak of the pandemic. This situation is leading to rise in demand for quality raw materials to be sourced, in turn increasing the demand for high-quality magnet wires.
Magnet wires are aluminum or copper wires which are insulated with various enamels and coatings.Depending on the application areas, polyamideimide, polyester, polyester(imide), polyurethane, mica, or fiberglass yarn is used as the insulation material.
These insulation materials provide the magnet wires with properties such as heat and moisture resistance and offer excellent dielectric strength and thermal resistance.
The COVID-19 outbreak drastically affected the magnet wire market, due to which many manufacturers had to put their production on hold.Disruption in the supply chain caused by COVID-19 severely affected the business in key markets globally.
