The inorganic metal finishing industry is an inseparable part of the production cycle (from metal ore extraction to its end application) of any metal component. As these technologies enhance the component's capabilities, in terms of corrosion and wear resistance, bonding, and appearance, they play a crucial role in the success of a metal component in service. In the past, the worldwide inorganic metal finishing technologies (IMFT) market has been stable with few or no major changes, especially in the U.S. and Europe. However, with the onset of the new millennium, which has brought about fast growth of Asian economies and the resulting rapid industrial expansion, the IMFT market in this region has grown significantly. As the inorganic metal finishing industry is an application-driven industry, the expansion of almost all industries, such as automotives, aircraft manufacturing, electronics and electrical appliances, computers and communications, hardware, etc., has driven the growth of various IMFTs.
According to a soon-to-be-released report RGB-325 Inorganic Metal Finishing Technologies from Business Communications Co., Inc, the worldwide IMFT market, which includes technologies such as electroplating, galvanizing, anodizing, electroless plating, conversion coatings, cladding, and electropolishing, is currently estimated at $21.1 billion. It is expected to rise at an annual average growth rate (AAGR) of approximately 7.4%, to reach $30.3 billion by 2010.
The market for electroplating is currently the largest (nearly 46% of the total IMFT market), and it will continue to retain the position until 2010. However, the growth rate will be the lowest in comparison to other technologies. This will be due to the popularity of other techniques, such as electroless nickel-plating over chrome electroplating (which causes serious environmental and health hazards and is facing stern government regulations), and is one of the largest electroplating methods.
Galvanizing, anodizing, electroless plating, and electropolishing are expected to grow at higher growth rates in comparison to the rest of the IMFTs. Currently, these technologies together constitute approximately 40% of the total IMFT market. Their growth will be driven by an increase in demand of their end applications, such as automotives, machinery and heavy equipment, hardware, aerospace and defense, etc., especially in the Asia-Pacific region. The demand for anodizing, especially, will be driven by the increasing use of aluminum in various industries.
IMFTs find application in all the industries that use metal and metal components. Of these, the application of IMFTs in the computers and communications, and electronics and electrical appliances industries will witness the highest growth. The high volume application areas of IMFTs, which include automotives, aerospace and defense, machinery and heavy equipment, and hardware, will grow at a lower AAGR of approximately 5%-7% each.
Some of the key players of the industry include Atotech Deutschland Gmbh, Roy Metal Finishing, and Pioneer Metal Finishing. Atotech's inorganic metal finishing revenues account for approximately 1.75% of the worldwide IMFT market.
