The vacuum furnaces sector is projected to expand from US$ 881.88 million in 2021 to US$ 1248.86 million by 2028, reflecting a compound annual growth rate (CAGR) of 5.3% during this period.
There is a rising demand for vacuum furnaces across multiple industries such as electronics, healthcare, crystal production, energy, and synthetic gemstones, which is propelling market growth. The increasing adoption of vacuum furnaces is attributed to their benefits over conventional furnaces, including lower carbon dioxide emissions and a more environmentally friendly operation.
Moreover, the incorporation of Internet of Things (IoT) technology is anticipated to further enhance the vacuum furnaces market by improving the control and maintenance of these systems.
The vacuum furnaces market consists of three primary stakeholders: suppliers of raw materials, manufacturers of vacuum furnaces, and the end-users. Suppliers provide essential materials for the construction and design of furnaces, including metals, actuators, motors, and drives.
Manufacturers of vacuum furnaces gather these raw materials to produce a variety of furnaces tailored for different applications across various industry sectors. End-users employ these furnaces for a wide range of products. The increasing trend towards pre-mold structuring, the advent of Industry 4.0, the integration of technologies like IoT and cloud computing, and the growing need for efficient automation solutions are significant factors driving the demand for vacuum furnaces.
The metallurgical thermal processing technology landscape is continuously advancing, and vacuum furnaces have emerged as a favored option for industrial engineers seeking to leverage this technology for innovative thermal metallurgical transformations in modern engineered products. Given the current and expected global trends, vacuum furnace technology is set for substantial growth, offering opportunities for material science and its industrial partners to seamlessly transition into the next millennium. Consequently, vacuum thermal processing technology is essential for the brazing of intricate nonferrous alloys, such as aluminum, which is a key driver for the expansion of the vacuum furnaces market.
Impact of the COVID-19 Pandemic on the North American Vacuum Furnaces Market
In 2020, the US economy saw a contraction of 3.4%, but according to IMF data, it rebounded with a growth rate of 5.6% in 2021. Manufacturers of vacuum furnaces in the region emphasize stringent safety and environmental protection standards in their production processes. In the US market, Pfeiffer Vacuum Group reported strong sales performance in the fiscal year 2021, while Ipsen (US) secured a substantial number of new orders for vacuum furnaces in 2021, including confirmed orders for twenty-two new units and recorded bookings in the first quarter of 2022.
The North American vacuum furnaces market witnessed a surge in business activities driven by the increasing demand for advanced thermal processing capabilities. Significant orders were placed by various end-use sectors, including automotive, aerospace, additive manufacturing, commercial heat treating, and tool and die industries. Companies in the North American vacuum furnaces market noted a rise in demand particularly from the aerospace and additive manufacturing sectors. Ipsen conducted over 250 field service visits in the first quarter of 2022 to enhance its after-sales services, oversee installations and startups, manage furnace relocations, and perform preventive maintenance, calibrations, and leak checks.
Additionally, strategic initiatives aimed at improving response times and fostering collaboration on co-development projects are contributing to the growth of the regional vacuum furnaces market. The establishment of innovation centers, research facilities, and R&D hubs in proximity to semiconductor clients enables vacuum furnace providers to develop and test next-generation vacuum solutions, thereby maximizing sales and profitability in the post-pandemic landscape.
The adoption of complex metal injection molding (MIM) has significantly risen across various industries over the last two to three decades. The demand for high-quality components with precise geometric tolerances and superior material properties has led to the integration of MIM processes into production lines in sectors such as automotive, medical, and consumer goods manufacturing. This trend has consequently increased the demand for vacuum furnaces, further driving the growth of the vacuum furnaces market.
Since July 2021, Ipsen (US) has reported new equipment orders from clients in eleven US states and four additional countries, including India, Japan, Mexico, and Taiwan. These furnaces are utilized for processing a variety of products, including heat exchangers, jet engine components, fasteners, and saw blades. While a majority of sales originate from aerospace clients, Ipsen has observed a rise in orders from emerging industries such as electric vehicle manufacturing and additive manufacturing. The growth across various sectors has led to an increased demand for vacuum furnaces, catalyzing the expansion of the vacuum furnaces market.
The vacuum furnaces market is segmented by end-users into aerospace, automotive, power generation, tool & die, and others. In terms of product types, the market includes vacuum quench furnaces, vacuum brazing furnaces, vacuum carburizing furnaces, and others. Geographically, the global market is divided into five primary regions: North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South America (SAM).
The vacuum quench furnaces segment leads the product type category and is expected to demonstrate the fastest CAGR during the forecast period. Metals can oxidize when heated to high temperatures, which is undesirable. Vacuum furnaces are employed to prevent contamination and oxidation by creating a vacuum within the system, ensuring consistent high quality and low contamination during brazing.
This market analysis of the vacuum furnaces sector employs a combination of primary and secondary sources to collect qualitative and quantitative data related to the market. Secondary research involved extensive investigation using both internal and external sources to compile an overview and forecast of the market segments. To validate the data and gain further analytical insights, primary interviews were conducted with industry experts, including VPs, business development managers, market intelligence managers, national sales managers, and external consultants, such as valuation experts, research analysts, and key opinion leaders specializing in the vacuum furnaces market.
The market study also profiles key players in the vacuum furnaces market, including ALD Vacuum Technologies India Pvt. Ltd, HHV LTD, and Centorr Vacuum Industries.