The global Nano metals market is expected to grow at a compound annual growth rate of 13.70% over the forecast period. The market is expected to be driven by the rising demand in automotive, healthcare, construction, healthcare, and other industries. There has been a substantial rise in healthcare, infrastructure and construction spending, globally, because of the rise in population and other related factors. According to the United Nations, by the year 2050, the population is expected to be around 9 billion people. Urbanization will also play an imperative role in overall market growth. The United Nations projected that by the year 2030, the world is expected to have 43 megacities, with over 10 million people living in them. 68% of the global population is projected to live in urban areas, by the year 2050, from 55% in the year 2018.
Increase in Healthcare Expenditure
The market is expected to be driven by the surge in healthcare expenditure by the nations, globally. According to the data given by the World Health Organization, the global spending on healthcare was at USD 7.8 trillion, in the year 2017, and was about 10% of the overall GDP. The United States had a major share of the total expenditure. According to the data given by the United States Department of Health and Human Services, the country’s healthcare spending rose by 4.6% from the year 2018, to reach USD 3.8 trillion, in the year 2019. The overall share of gross domestic’s product on healthcare expenditure was at 17.7% in the year 2019. Other countries have been investing a significant sum of capital into healthcare expenditure, in the last few years. India has seen a surge in its healthcare expenditure in the last few years. According to the data given by the Indian Government, the overall public expenditure on healthcare was at 1.8% of the GDP in the year 2020. The Indian Government had stated its goal to increase the public expenditure on healthcare to 2.5% of the country’s GDP, by the year 2025. The total expenditure budget on medical research was at approx. USD 290 million, in the year 2020. China also has a major share in the total healthcare expenditure. According to the OECD, China had been spending 5.047% of its overall GDP on healthcare, in the year 2019. European Nations have been investing a significant sum of capital into healthcare expenditure. Germany, France, and Sweden had spent 11.65%, 11.18%, and 10.88% of their overall GDP on healthcare in the year 2019. The increasing healthcare spending is expected to drive the overall market growth, as nano metals-based antimicrobials provide long-lasting solutions and bactericidal effects, without any major toxic effects. Silver Nano Metals play a major role in healthcare, as the material is usually known for its anti-microbial properties and applications. In June 2020, The CDMF (Brazil), The Universität Jaume I of Castello (Spain and the Institute of Biomedical Sciences of the University of Sao Paulo joined and collaborate to develop a fabric, which contained silver nanoparticles, to disable the SARS-CoV-2 virus in the laboratory tests. The teams stated that the material was removed approx. 99.9% of the virus in just two minutes of contact.
Increase in Research and Development
The market is expected to be driven by the increase in government spending on research and development, globally. The governments and major private players have been investing a significant amount of capital into research and development, to introduce and discover novel materials, products, and solutions for different end-user industries. According to the United Nations Educational, Scientific and Cultural Organization, the global spending on R&D had been at approx. USD 1.7 trillion. About 10 major countries account for approx. 80% of the global spending on R&D. The countries had pledged to surge and expand their R&D budget to address sustainable goals, by researching novel materials, such as composites, nano metals, and others. The United States and China are the leading spenders in R&D, with the overall spending has been around USD 476 billion and USD 372 billion, respectively. Japan and Germany spend around USD 170 and USD 110 billion, respectively. South Korea, France, India, The United Kingdom, and Brazil, are other major spender in R&D, with approx. USD 73 billion, USD 61 billion, USD 52 billion, USD 44 billion, and USD 42 billion, respectively. Nano metals are usually used for recycling complex metals, reducing corrosion, and other applications, which is expected to drive the overall spending, on the R&D of nanotechnology and metals.
Growth in the Automotive Sector
There has been a surge in the demand for nano metals in the automotive sector, which is expected to drive the market in the coming years. According to the data given by Select USA, a government-affiliated Investment Site, The United States has been one of the biggest automotive markets in the world, with total sales of lightweight vehicles, reached 17.2 million units, in the country, in the year 2018. The country is also the second biggest market for vehicle production and sales. Major automotive companies from different regions and nations such as Korea, Japanese, and Europe had invested more than USD 75 billion in the country. Total Foreign direct investment in the automotive industry was USD 114.6 billion, in the year 2018. Around USD 18 billion is spent on R&D in the automotive industry in the country, to develop novel nano metals, and other materials, to reduce weight and increase flexibility. China is also expected to have a major share in the market, as it has been the world’s biggest automotive market, both in terms of sales and production. According to the data given by the government, the country produced approx. 21.36 million passenger cars, and approx. 4.3 million commercial vehicles, in the year 2019. India is also expected to have a major share in the market, because of the high production and manufacturing facilities, rising population, and increasing disposable income. According to the India Brand Equity Foundation, a division of the country’s ministry of commerce, the country manufactured and produced 26.36 million vehicles in the financial year 2020. The country also registered a CAGR growth of 1.29%, between the financial years 2016 & 2020, with sales of over 21.55 million, in the financial year 2020. With the push for safer and fuel-efficient vehicles, nano steel is expected to register significant growth in the coming years. The major advantage of nano steel is that it can deliver a unique combination of ductility and strength. The automotive industry is spending significant capital to develop third-generation and advanced and innovative high strength steels. The overall R&D in the automotive sector had been around USD 110 billion, globally. These factors are expected to drive the market growth, during the forecast period.