Key Players
Competitive Landscape
Motor makers approve a core supplier after measuring loss curves, strength and dimensional repeatability on sample parts, then lock the grade into the platform. Any later change means new tooling and new validation, so the first approved powder grade keeps the platform. JMAG published side-by-side loss and power density results for 3P, 5P and 7P grades in August 2026, the kind of data motor teams use in that choice.[1]
Powder producers compete on loss at high frequency and press-ready flow, part makers compete on tooling and dimensional control, and alloy groups compete on saturation and strength. Magnet and core suppliers will keep investing in grades for electric drives, with the magnetic materials market expected to rise 7.1% on a CAGR basis.
Company developments mapped to drivers, trends and opportunities (2026-2036)
| Development | Driver | Trend | Opportunity |
|---|---|---|---|
| August 2025: Proterial develops Permendur YEP-2V. | Demand for compact aircraft motors. | Iron-cobalt cores. | eVTOL and premium drives. |
| August 2026: JMAG benchmarks Somaloy 700 7P. | High-speed axial flux motors. | Lower high-frequency loss. | Traction and aircraft stators. |
| September 2026: Mahle presents magnet-free MCT motor. | Rare earth supply risk. | Magnet-free drives. | Truck drive axle cores. |
Source: Future Market Insights, Soft Magnetic Composite Market Report, 2026-2036.
Motor programmes now ask core suppliers for simulation-ready material data before sampling, so producers that publish full loss curves will be shortlisted earlier.
Who leads the soft magnetic composite market?
Leadership splits between powder and alloy suppliers. Among specialty alloy suppliers, Carpenter Technology reported fiscal 2026 net sales of USD 3,124.2 million across specialty alloys.[6] That scale puts Carpenter among the largest alloy suppliers in the field. Elsewhere, Somaloy grades from Höganäs were the benchmark materials in an August 2026 axial flux study.[1] Benchmark status in design studies keeps Höganäs grades first in line for axial flux motors.
Which companies have documented positions?
Positions vary by material and by motor type. Proterial holds a position in premium cores with Permendur YEP-2V, an iron-cobalt soft magnetic material.[4] That grade gives Proterial access to aircraft and high-torque motor programmes. Carpenter Technology serves several end-use markets with specialty soft magnetic alloys.[6] Spread across markets, Carpenter is less exposed to any single motor cycle. Mahle is developing the magnet-free MCT motor with commercial vehicle makers.[5] As a motor maker, Mahle will be a buyer of high-grade cores once the design reaches production.
What should buyers evaluate before approving a supplier?
Buyers test core loss across the operating frequency range, permeability, green and sintered strength, and dimensional tolerance. On top of that, lot-to-lot consistency, coating stability at high temperature and second-source options also decide approval.
How is competition expected to change through 2036?
Producers with high-frequency grades and motor design support will gain share as axial flux drives scale. Likewise, part makers with automated pressing will take more volume from machined laminated cores.
Representative Company Overview
| Company | Positioning | Recent development |
|---|---|---|
| Carpenter Technology | Specialty alloy producer | July 2026: fiscal 2026 net sales of USD 3,124.2 million. |
| Proterial | Specialty materials maker | August 2025: Permendur YEP-2V for motor cores. |
| Höganäs | Iron powder and soft magnetic composite producer | August 2026: Somaloy 700 7P benchmarked in axial flux motor. |
Research Methodology
The companies included in the report represent current market structure and do not indicate a market-share ranking. Market estimates combine company results, industry association data and government statistics.
