The electron beam machines market is projected to grow at a CAGR of 4.03% to reach a market size of US$923.820 million in 2025 from US$728.846 million in 2019. The demand for electron beam machines is estimated to grow in the coming years on account of an increasing need for advanced machines with greater accuracy in order to meet the stringent product quality and industry regulations and standards. In addition, in order to increase the accuracy, flexibility, and precision of the different production processes, the market payers are increasingly adopting electron beam machines in order to improve the quality aspect of the production process. However, high cost of the equipment, and need of skilled labor is restraining the market growth. Consequently, laser beam machines, which are also used to carry out operations in different industries are a substitute for the electron beam machines and remains a challenge to the widespread adoption of these machines.
Geographically, North America is estimated to hold a considerable share over the forecast period owing to R&D investments in order to accelerate the development of different end-user industries. Additionally, the early adoption of technologies is contributing to the region being one of the key regional markets globally. The Asia Pacific region is expected to witness significant growth over the forecast period owing to initiatives such as “Make in India” being taken by the government in order to boost the manufacturing sector in countries such as India. In addition, the well-positioned automobile industry in China and India are also contributing to the growing demand for these of this region.
Growing requirement for precision during component manufacturing process is driving the market growth.
Due to the rapid industrialization, the manufacturing sector is advancing at a significant pace and is leading to requirement of the quality products. There is an increasing need for electron beam machines in the manufacturing of different parts and components, in order to cater to the different applications in various sectors such as automobiles, aerospace, semiconductors among others. This is attributable to the fact that the usage of these machines is able to provide a more accurate joining of two dissimilar products (when it is used or the welding purposes); they are able to provide a greater degree of flexibility and precision whilst designing different components. The changes and amendments in the industry regulations and standards have encouraged the end-users to make use of technologically advanced machines to ensure their product compliers with the different industry standards such as ISO (The International Organization for Standardization) standards, including the ISO 990 (which deals with the quality), ISO 45001 which deals with occupational health and safety) among others. The ANSI (American National Standard Institute) standards are also in place, which affects the different aspects of products of end-user industries. Therefore, these factors are augmenting the market growth over the forecast period.
In addition, the semiconductor and the automobile industry make use of the electron beam machines more often as they are suitable for the fabrication and joining of small parts accurately with a high degree of precision. Moreover, there are some of the market players, involved in advancing the quality and the accuracy of the machines, thereby making them more reliable and the process they perform more accurately. For example, in August 2019, ScandiNova Systems AB, which is among one of the welding companies dealing in the provision of pulse power systems announced the launch of their new product called the “E110D-I”. This product is an electron beam gun (E-gun) modulator, the purpose of which is to improve the efficiency, the pulse-to-pulse stability and is designed in such a way that it can be used to operate all kinds of Diode E-guns with peak power up to 30kW and a voltage level of 30Kv. Therefore, this product launch among other enhancements in the product by other market players will improve the accuracy of electron beam machines and therefore, cause a surge in the demand by end-user user industries and drive the market growth further over the forecast period.
The welding segment is anticipated to hold a noteworthy share in the market.
By the application, the electron beam machine market has been segmented into welding, drilling, fabrication, and melting. The welding segment is anticipated to hold a noteworthy share in the market owing to the wide application of these machines across various industries including automotive, aerospace, and defense among others. The application segment is anticipated to propel at a notable rate on account of the growing investments by the key market players in the R&D for the development of new systems and solutions to meet the growing market requirements. However, the recent advent of deadly COVID-19 disease is projected to inhibit the market growth to some extent during the short run due to the temporary halt in the activities across the numerous industry verticals.
The European region offers good growth opportunities
The region is the home of major players and with the increasing investment in research and development, the market is expected to grow at a significant rate during the forecast period. Also, there is an increasing demand for welding and fabrication technology in aerospace and automotive industries which is propelling the demand for electron beam machines. Increasing collaborative partnerships between companies also widens up the growth potential of the market and due to its excellent process of micro finishing, it is widely adopted among various end-users in the region. For instance, recently BEAMIT (based in Italy) announced its collaboration with TEMA Energy to produce (gas turbines components) power generation, oil & gas, and aviation components with metal additive manufacturing which encompasses electron beam melting technology. Also, in April 2019, General Electric Additive opened its Arcam EBM center of excellence in Gothenburg, Sweden with the capacity for 500 employees. The investment is made to increase the company’s manufacturing footprint and focus on R&D to meet that growing demand globally.