Permanent Magnet Motor Market

Market Definition

A permanent magnet motor uses permanent magnets to create the magnetic field necessary for its operation. This compact device offers high efficiency and is easy to maintain. 

The market encompasses various motor types including brushless DC (BLDC), permanent magnet synchronous motors (PMSM), and AC motors, used across applications such as automotive, industrial machinery, HVAC, aerospace, and consumer electronics. 

It includes motor components, integrated systems, and end-use solutions deployed in motion control, energy generation, and automation technologies. The report provides a comprehensive analysis of key drivers, emerging trends, and competitive landscape expected to influence the market over the forecast period.

Permanent Magnet Motor Market Overview

The global permanent magnet motor market size was valued at USD 55.71 billion in 2024 and is projected to grow from USD 60.92 billion in 2025 to USD 114.26 billion by 2032, exhibiting a CAGR of 9.39% during the forecast period. 

The growth is attributed to the increasing adoption of electric vehicles and a strategic shift toward rare-earth-free magnet technologies to address raw material scarcity and high production costs.

Major companies operating in the permanent magnet motor industry are J. D. Engg. Works, Motor Specialty Inc., Mark Elektriks, NBE MOTORS PVT. LTD, ABB, Rockwell Automation, Inc, Siemens, Franklin Electric Co., Inc., Allied Motion, Wolong Electric Group, WEG, Robert Bosch GmbH, Mitsubishi Electric Corporation, Emerson Electric Co., GE Vernova, and others.

The rapid adoption of industrial automation and robotics is significantly contributing to the market growth. These motors offer high torque density, energy efficiency, and precise control, making them essential components in robotic arms, automated guided vehicles, and CNC machinery.

Manufacturers across automotive, electronics, and logistics sectors are using permanent magnet motors to improve operational efficiency and meet evolving automation standards. This rising deployment is accelerating product adoption in both original equipment manufacturer (OEM) and retrofit applications.

• According to the International Federation of Robotics (IFR), the adoption of robots in factories worldwide has remained rapid, with global average robot density reaching a record 162 units per 10,000 employees in 2023.

Key Highlights:

1. The permanent magnet motor market size was recorded at USD 55.71 billion in 2024.
2. The market is projected to grow at a CAGR of 9.39% from 2025 to 2032 .
3. Asia Pacific held a market share of 35.03% in 2024, with a valuation of USD 19.52 billion.
4. The DC segment garnered USD 33.39 billion in revenue in 2024.
5. The ferrite segment is expected to reach USD 37.62 billion by 2032.
6. The commercial segment is anticipated to witness the fastest CAGR of 9.51% during the forecast period.
7. North America is anticipated to grow at a CAGR of 9.89% during the forecast period.

Market Driver

Rising Product Demand in Electric Vehicles

The rapid adoption of electric vehicles (EVs) globally is significantly boosting the demand for high-efficiency permanent magnet motors (PMMs). These motors are widely used in EV powertrains due to their superior torque density, high efficiency, compact size, and reduced energy loss compared to induction or switched reluctance motors.

As automotive manufacturers focus on enhancing energy efficiency and extending driving range, the demand for high-performance permanent magnet motors is growing. The growing reliance is contributing to market's expansion across automotive, industrial automation, and renewable energy segments.

• According to the International Energy Agency (IEA), global electric car sales are expected to exceed 20 million in 2025, representing more than 25% of all cars sold globally.

Market Challenge

Thermal Management Issues Impacting Motor Efficiency

Thermal management remains a critical challenge impacting the efficiency and reliability of permanent magnet motors, particularly in high-performance and continuous-duty applications. 

Excessive heat generated during operation can lead to partial or complete demagnetization of the magnets, which can diminish torque output, reduce energy efficiency, and shorten motor lifespan. This directly affects performance consistency and raises maintenance costs, limiting the deployment of these motors in demanding industrial and automotive environments.

To address this issue, manufacturers are investing in high-temperature-resistant magnetic materials and designing advanced cooling mechanisms such as liquid cooling and integrated heat sinks. 

These innovations aim to enhance thermal stability, preserve magnetic properties under elevated temperatures, and ensure consistent motor performance across a range of operating conditions, thereby supporting long-term application viability.

Market Trend

Shift Toward Rare-Earth-Free Magnet Technologies

Continuous research and material innovation are driving the adoption of rare-earth-free magnets in permanent magnet motors. Innovations such as advanced ferrite compounds, iron-nitride alloys, and other alternative materials are being explored for their enhanced thermal stability and cost-effectiveness. 

These breakthroughs align with the industry's focus on reducing reliance on limited and expensive rare earth elements. As a result, new design approaches and material selections are emerging across automotive, industrial, and consumer sectors, which is driving the market.

• In April 2025, scientists at the U.S. Department of Energy's Ames Lab and industry partners developed a rare-earth-free bonded magnet that maintains magnetic performance at high temperatures with coercivity nearly doubling with a 100°C (212°F) rise from room temperature.

Permanent Magnet Motor Market Report Snapshot

Segmentation	Details
By Type	AC, DC
By Material	Ferrite, Neodymium, Samarium Cobalt
By End User	Residential, Commercial, Industrial (Automotive, Textile, Pulp & Paper, Aerospace & Aviation, Electronics, Water & Wastewater Management, Food & Beverage, Chemicals)
By Region	North America: U.S., Canada, Mexico
	Europe: France, UK, Spain, Germany, Italy, Russia, Rest of Europe
	Asia-Pacific: China, Japan, India, Australia, ASEAN, South Korea, Rest of Asia-Pacific
	Middle East & Africa: Turkey, U.A.E., Saudi Arabia, South Africa, Rest of Middle East & Africa
	South America: Brazil, Argentina, Rest of South America

Market Segmentation:

• By Type (AC and DC): The DC segment earned USD 33.39 billion in 2024 due to its superior efficiency, precise speed control, and widespread adoption in automotive and industrial automation applications, making it a preferred choice for key end-use sectors.
• By Material (Ferrite, Neodymium, and Samarium Cobalt): The ferrite segment held 33.24% of the market in 2024, due to its low cost, corrosion resistance, and stable magnetic properties, making it highly suitable for mass production in cost-sensitive applications.
• By End User (Residential, Commercial, and Industrial): The residential segment is projected to reach USD 34.82 billion by 2032, owing to the rising adoption of energy-efficient appliances and HVAC systems, driven by increasing consumer awareness and government regulations promoting sustainable energy use.

Permanent Magnet Motor Market Regional Analysis

Based on region, the global market has been classified into North America, Europe, Asia Pacific, Middle East & Africa, and South America.

Asia Pacific permanent magnet motor market share stood at 35.03% in 2024, with a valuation of USD 19.52 billion. The region is home to a high concentration of manufacturing facilities specializing in electric vehicles, industrial automation, and consumer electronics, particularly in countries that provide cost-effective labor and robust export capabilities. 

The rapid adoption of electric mobility and automation technologies is driving substantial demand for permanent magnet motors, particularly those optimized for efficiency and reliability.  

Moreover, the region benefits from a well-established supply chain for critical magnetic materials and motor components, ensuring steady production and cost-competitive manufacturing by local producers. 

North America is expected to see significant growth at a robust CAGR of 9.89% over the forecast period. The region is witnessing a significant rise in demand for compact, lightweight permanent magnet motors, driven by the expanding aerospace and defense applications. 

These motors are being integrated into drones, aircraft systems, and military-grade equipment to enhance efficiency and performance while reducing weight.

Manufacturers are investing in advancing motor designs to meet rigorous industry standards and operational requirements. This strategic focus is fueling the rapid adoption of permanent magnet motors, positioning North America as the fastest growing region in this sector.

• In March 2025, GE Aerospace announced plans to invest USD 1 billion in its U.S. factories and supply chain to enhance manufacturing capabilities and accelerate the integration of advanced parts and materials essential for the future of aviation.

Regulatory Frameworks

• In the U.S., the Department of Energy (DOE) mandates that manufacturers use approved testing procedures to verify the energy efficiency of permanent magnet motors. Non-compliant products risk regulatory penalties and potential removal from commercial distribution.
• In China, China Compulsory Certification (CCC) is required for permanent magnet motors that fall under specified categories, ensuring adherence to national safety, quality, and environmental standards before they can be legally marketed or sold.

Competitive Landscape

The permanent magnet motor market is undergoing strategic expansions as companies increase manufacturing capacity and extend their geographic footprint. Key players are establishing new production facilities and upgrading existing ones to meet rising demand across industrial, automotive, and energy sectors. 

These expansions focus on optimizing supply chains, improving delivery timelines, and enhancing regional accessibility. The competitive landscape reflects a strong emphasis on scaling operations to reinforce market presence and support long-term growth objectives.

• In April 2024, Rockwell Automation expanded its PowerFlex 6000T medium voltage VFD to support efficient permanent magnet motor applications, enabling high-speed operations up to 120 Hz for industries like oil, gas, HVAC, paper, water, metals, and forestry.

List of Key Companies in Permanent Magnet Motor Market:

• D. Engg. Works
• Motor Specialty Inc.
• Mark Elektriks
• NBE MOTORS PVT. LTD
• ABB
• Rockwell Automation, Inc.
• Siemens 
• Franklin Electric Co., Inc.
• Allied Motion.
• Wolong Electric Group
• WEG
• Robert Bosch GmbH.
• Mitsubishi Electric Corporation
• Emerson Electric Co.
• GE Vernova

Recent Developments (Agreements/ Launches)

• In February 2025, ABB received orders from Chinese and South Korean shipbuilders to equip 18 and 12 LNG carriers, respectively, with permanent magnet shaft generator technology. This system enhances fuel economy by reducing reliance on fuel-intensive auxiliary engines, enabling ship operators to achieve significantly improved fuel efficiency during voyages.
• In October 2024, Mahindra Last Mile Mobility Limited launched the Mahindra ZEO, an innovative electric four-wheeler. It features an advanced permanent magnet synchronous motor with 30 kW power and 114 Nm torque, paired with a 21.3 kWh liquid-cooled battery for high performance.