Hawk/Net Shape Technologies’ Matthew Bulger talked about the current state of the PIM market in North America at PIM 2007 in Florida. Speaking as current chair of the Metal Injection Moulding Association (MIMA), he said that although business is accelerating at a slower pace than in Asia or Europe, member business confidence levels have certainly increased in the past few years, and are continuing to do so. In 2006, there was a steady rise in new tool orders and as a result, employment confidence levels increased.

Metal part sales in 2006 were $175 million in comparison to $100 million in 2003. This, he said, is an acceptable growth rate, although perhaps not as steep as had been expected.

The medical market dominates US PIM sales, earning 36 per cent market share. Hardware, firearms and automotive markets also dominate a large share of PIM produce, each responsible for just less than a fifth of the market.

Mr Bulger predicted that in 2008 the medical market will continue to surpass its sales and remain the most dominant and profitable market for PIM. He said that this will be followed by the automotive and telecom markets, which will take a large share in PIM profitability. The forecast, he predicted, looks much the same for 2009.
Improved material development was one of the dominant factors that contributed to improved growth rates in North America. Bulger also attributed the growth to tighter tolerances, lower power and material costs and better educated engineers. According to MIMA members, there is now more awareness around PIM and he believes that this better understanding of PIM’s capabilities and applications is also to thank for the improved growth rates.

But there is still a long way to go. “Marketing and awareness building of the technology is a good place to start", he said. “Material development is needed and costs need to be further reduced to improve value. Dimensional tolerance control still has a steep hill to climb in order to meet standards”. Standardisation is a problem with which the industry has battled for years, and an area which still needs improvement. “Poor delivery on promised results is unacceptable and needs to change”, said Mr Bulger. And ultimately, lack of critical mass in the industry is standing in the way of further growth.

“Our goal is to focus on industry-wide projects that will help ‘lift all boats’”, he added. “This is part of an overall MPIF program to help coordinate R&D and Marketing efforts for the entire PM Industry.” All players in the MIM chain can play a role in improving the tolerance of MIM parts, and better powder consistency is a good place to start. Improved internal process controls and uniformity in furnaces are also areas which need some work.

All MIMA respondents are interested in progressing R&D. But statistics show that very few are actually spending money in this area. Titanium and functionally gradient materials top the list of research areas, as does lower cost powder, new alloy development and better moulded part quality.

Yoshiyuki Kato presented his own paper on the MIM market in Asia. He broke up the continent and presented results on each country individually.

There are 30 MIM companies in Japan and in 2006, the market size was $130m. Business trends lie heavily within the automotive market. The Japanese PIM market’s future plans involve further penetration of automotive engine parts, medical resources and other high performance parts production. “The Japanese market is growing at an encouraging pace”, said Mr Kato. “In 2002 it was worth Yen 8.5million, and in 2006 this figure increased to Yen 14.2million.” That represents annual growth rates of around 17 per cent. The telecom and industrial parts markets are also prospering in Japan. The dominant material used is stainless steel – which is responsible for over half of production.

Those in the know predict that smaller European MIM component makers will have a big challenge satisfying the tough registration requirements of the new REACH legislation In Korea, the MIM market has a smaller presence, with only nine MIM companies. Telecommunications and the automotive sector dominate the market share and the industry depends heavily on electronic parts, especially mobile phone parts. There are between 80-100 injection machines in Korea, and 28-30 furnaces. “The business unit is small”, he said.

Taiwan has 15 companies in the MIM market and most focus on parts for tools. The majority of the materials used are low alloy steels. “The Taiwan MIM market is very competitive,” said Kato. “The interest in the industry is very high and although the major MIM companies have achieved excellent growth, the smaller companies have struggled”. The Taiwan MIM market has a good relationship with the Chinese market.

Statistics for the Chinese MIM market aren’t readily available. There are anywhere between 15 and 30 MIM companies in China. Most of these specialise in the telecommunications industry, fire arms and watch parts. The trend is for low end parts production and domestic use. “At the moment there are several companies in China which plan to start up in the MIM business. The industry is increasing, although at present the business unit is small”.

Malaysia, Australia, Thailand and India make up the rest of the MIM market, although there are only five companies within this space. They are heavily focused on the automotive industry and on sanitary parts. “Their strong point is their low cost”, Kato said. There is high motivation for business in Asia and the interest in MIM technology for auto parts production is expected to grow in the future.

Paul Davies, of Sandvik Osprey, presented the case for the current European situation in the global PIM market. With Europe growing, both in nations and in population, it continues to boast a stable, growing economy. This is reflected in the steady growth of the PIM market.

He spoke of the new REACH regulation and predicted that smaller European MIM component makers will have a big challenge satisfying its registration requirements.
In contrast to the decline of the domestic automotive industry in North America (Ford slashed production by 21 per cent), European car sales have increased slightly, and PIM involvement in the automotive industry continues to prosper, making up 51 per cent of PIM market share. Consumer and mechanical markets also have substantial shares, averaging a fifth of the PIM market each.

“The key materials in the European PIM market are stainless steel and nickel based alloys for turbocharger applications”, he went on. “Cost and capacity issues are being addressed and powder producers should be able to provide enough to keep the industry alive”. There is an expanding range of alloy powders and thus, increased scope for MIM applications. All in all, things are looking promising for the PIM industry on European turf.