Fiber Laser Market Size, Trends and Growth Analysis by 2027

The fiber laser industry was valued at approximately US$ 2,286.16 million in 2021 and is anticipated to grow to US$ 4,765.43 million by 2028, reflecting a compound annual growth rate (CAGR) of 11.1% during the period from 2021 to 2028.

Currently, fiber laser technology is gaining significant traction due to its diverse applications across various sectors, including micromachining, biology, medical sciences, and telecommunications. It is increasingly seen as a viable alternative to solid-state lasers in both industrial and technological contexts. Fiber lasers are preferred over other types, such as CO2 lasers, in many industrial applications due to their superior output power, exceptional optical quality, compact design, and reliability.

These lasers are utilized in a wide range of applications, including laser marking, cutting, welding, engraving, ablation, and drilling. For instance, in November 2019, nLIGHT, Inc. introduced a series of fiber lasers specifically designed for welding, offering a range from 3 kW to 15 kW with integrated fiber couplers or beam switches optimized for welding, cladding, and robotic applications. One of the key advantages of fiber lasers is their robustness; they are less sensitive to environmental conditions and can operate effectively in harsh settings compared to other laser technologies.

Fiber laser machines are capable of processing a broad spectrum of materials, including metals, wood, leather, stone, ceramics, plastics, and glass, delivering high-quality results even on reflective and hard surfaces. Additionally, these machines typically generate lower heat, minimizing the risk of damage to the materials being worked on.

Several factors are driving the growth of the fiber laser market, including increased production in the automotive industry and the rapid advancement of 3D printing technologies. However, challenges such as slower cutting speeds when dealing with thicker materials may hinder market expansion. The rising demand for cutting applications, coupled with the growing need for automation in various industries, is also contributing to market growth. The integration of industrial automation with new technologies like computer numerical control (CNC), computer-aided manufacturing (CAM), and fiber laser technology is further propelling the adoption of fiber lasers across multiple sectors.

The fiber laser market can be categorized based on type, application, and geographical region. In terms of type, the market includes segments such as infrared fiber lasers, ultraviolet fiber lasers, ultrafast fiber lasers, and visible fiber lasers. As of 2020, the infrared fiber laser segment held a significant share of the market. Regarding applications, the market is divided into high power cutting and welding, fine processing, marking, and micro processing, with the high power cutting and welding segment also accounting for a substantial market share in 2020. Geographically, the market is segmented into North America, Europe, Asia Pacific (APAC), the Middle East and Africa (MEA), and South America (SAM), with APAC representing a significant portion of the market in 2020.

Impact of COVID-19 Pandemic on Fiber Laser Market

The COVID-19 pandemic has had a profound negative impact on businesses worldwide since December 2019. The surge in infection rates led governments to impose restrictions on the movement of people and goods. The manufacturing sector faced significant setbacks due to temporary factory closures and reduced production levels, adversely affecting the electronics and semiconductor, automotive, and retail industries. Furthermore, social distancing measures limited the operations of logistics and service providers, resulting in a decline in the application of fiber laser solutions across all regions.

Despite the disruptions caused by the pandemic, the fiber laser market is expected to rebound as businesses resume operations following extended lockdowns. With social distancing protocols still in place, industries such as automotive, electronics, and manufacturing are gradually restarting their activities, albeit with reduced workforce capacities.

The overall size of the fiber laser market has been determined through a combination of primary and secondary research methods. The research process began with extensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data related to the market. This approach also aimed to provide an overview and forecast of the fiber laser market across all segments. Additionally, primary interviews were conducted with industry participants and experts to validate the data and gain deeper analytical insights. Participants included industry professionals such as VPs, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the fiber laser market.

Key players in the global fiber laser market include Active Fiber Systems GmbH, IPG Photonics Corporation, Fujikura Ltd., Convergent Photonics, Coherent, Inc., Jenoptik AG, Maxphotonics Co., Ltd., nLIGHT, Inc., TRUMPF GmbH + Co. KG, and Wuhan Raycus Fiber Laser Technologies Co., Ltd.