Fiber laser Market Snapshot
The fiber laser market will register positive growth with the overall valuation forecast to surpass US$ 3.1 Bn in 2021. The market’s worth will increase at a compound annual growth rate (CAGR) of 11.1% between 2021 and 2031.
Global sales are expected to rise at 10.7% in 2021 after a period tepid growth in 2020. With shipments reaching nearly 115,000 units, FMI presents a positive growth outlook for the market.
FMI also predicts that the IPG Photonics Corporation hold around 50% of global market share, TRUMPF GmbH Co. KG holds 17% of global market share, Lumnetum Operations LLC AG holds 8%, Wuhan Raycus Fiber Laser Technologies Co. Ltd holds 9%, and Fujikura Ltd holds 4% of global market share in 2021.
Key Points Covered in Fiber laser Market Study
- Market estimates and forecast 2021 – 2031
- Key drivers and restrains impacting market growth
- Segment-wise, Country-wise, and Region-wise Analysis
- Competitive Mapping and Benchmarking
- Brand share and Market Share Analysis
- Key Product Innovations and Regulatory Climate
- COVID-19 Impact On Fiber Laser Market
- Recommendation on Key Winning Strategies
2016 – 2020 Fiber laser Market Outlooks in Comparison to 2021 – 2031 Forecasts
Fiber lasers are an integral part of laser marking systems as they assist in achieving high dimensional accuracy in manufactured electronic products. Rapid industrialization and increasing demand for consumer electronics will fuel the demand for fiber lasers in upcoming years. Fiber laser market will grow at 11.1% CAGR from 2021 to 2031, says FMI in its recent report.
Fiber lasers are optically pumped using laser diodes, in which all the fiber components are coupled to one another. In some systems bilk optics are used while in others an internal fiber coupling system is synced with external bulk optics.
Recent technological advancements towards developing high quality laser beams for fine material processing especially in electronics engineering is expected to emerge as key market driver in upcoming years.
Manufacturers are looking to lower the cost of production and design environment-friendly laser technology. Furthermore, fiber laser devices are finding application in ophthalmic surgeries and dental welding. These factors will augment the growth of fiber laser market during the forecast period.
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What is Driving Demand for Fiber laser Devices?
Fiber lasers are becoming popular among manufacturers owing to their high productivity and return of investment especially in fine and micro material processing applications. Increasing demand for miniaturization of integrated circuits and wafers along with rising demand for mobile and smart electronic devices is expected to drive the market growth in material processing applications.
They are used in marking applications, since they offer highly precise marking and are applicable to wide range of material surfaces and end user industries. Marking done using fiber laser is difficult to counterfeit, non-contracting, and offers band protection. These factors will positively influence the market growth.
They are used in marking printed circuits, plates, engine parts, machining tools and much more. Increasing use of 3D printing for developing modular designs and flexible machine concepts will accelerate the fiber laser market growth through 2031.
High demand of powerful fiber lasers for processing thicker materials and eliminate undesired pulse pedestals will create new opportunities for market players in the near future.
Why is Fiber Laser Gaining Traction In Micro Cutting Applications?
Fiber lasers are increasingly used in cutting applications, as optical fiber is used as an active gain medium, which can be twisted to manage any directional changes. Fiber lasers have high flexibility and thus help in developing compact cutting heads.
It is also free from any moving component which makes the maintenance of fiber lasers easier than CO2 laser. Fiber laser is also equipped with modern and effective cooling mechanisms allowing it to operate long duration without losing its efficacy.
Fiber laser is replacing chemical etching and solid state laser cutting especially in electronic and medical industry, where accurate micro-cutting is required. These factors along with increasing demand for thin sheet cutting and processing devices will propel the growth of the market over the assessment period.
Why is Demand for Fiber Laser increasing in China?
China is forecast to create lucrative growth opportunities in fiber laser market owing to increasing demand for fabricated metal products and high power cutting options. Rise in manufacturing activities along with industrialization has led to increase in demand of fiber lasers in the country.
Adoption of “Made in China” industrial strategy by Chinese government to upgrade its manufacturing sector and become the world factory by 2025 is the key factor driving the demand for fiber laser in the country. Furthermore, China remains one of the leading manufacturers of semiconductors, making it a lucrative market for market players.
Metal fabrication industry is a key contributor in China’s gross domestic product (GDP). Fiber laser metal cutting is an integral process in the fabricated metal product manufacturing and is expected to benefit from new industrial policies designed by the government.
Growing applications of fiber lasers in sheet metal and thin material welding along with their increasing popularity in metal cutting sector will generate significant revenue in Chinese market over the forecast period.
How big is the Opportunity of Fiber Lasers Sales in Germany?
Fiber laser market in Germany will showcase significant growth over the forecast period due to the increasing demand in semiconductor and integrated circuit manufacturing industry.
With advancement in manufacturing technology, modern manufacturing industries are looking towards adopting compact laser cutting and welding machines to enhance their productivity. Increasing demand for miniature electronic components is driving the fiber laser market demand in the country.
Fiber lasers are widely used in high precision cutting and perforation of semiconductor wafers and electronic circuits and thin metal welding in automotive body manufacturing. Increasing demand for electric and autonomous vehicles will fuel the demand for integrated circuits, which consequently will boost the fiber laser market growth in Germany.
In its 2020 report, the Federal Motor Transport Authority (KBA) reported that more than 394,000 electric cars were registered in Germany. Increasing use of light detection and ranging (LiDAR) system in modern automotives will positively influence the market growth in the country.
As per FMI analysis, Germany is recognized as a primary European market, and it is expected to continue exhibiting high demand for fiber laser through the forecast period.
What is Driving Fiber Laser Market in the U.S.?
North America is expected to grow at more than 10.9% CAGR during the forecast period, according to FMI. As per the research, the U.S. is expected to account for majority of the North America market share through 2031.
Presence of highly advance industrial sector in the U.S. is one of the leading factors supporting market growth in the country. The CMS Office of the Actuary estimated that the manufacturing industry accounts for 10.8% in the U.S. economy in terms of Gross Domestic Product (GDP).
Furthermore, the U.S. is one of the global leaders in consumer electronics and automotive manufacturing, making it a lucrative market for fiber laser market players. Rising per capita income along with growing economic conditions is fueling the automotive production in the country. Since fiber laser is used in high power application like welding of lightweight automotive body panels; increase automobile production will augment the market growth in U.S.
What are the Prospects Fiber Lasers Sales in Japan?
In 2021, Japan will account for over 10% sales in East Asia. Increasing production of lightweight automobiles to reduce carbon emission is anticipated to drive the fiber laser market in the country.
According to Japan Automobile Manufacturers Association more than 7.70 million cars were manufactured and 2.98 million cars were sold in 2019. As Japan is focusing on becoming the global leader in electric vehicle market, the demand of fiber laser for manufacturing of body panels will increase significantly in upcoming years.
In addition, Japan is one of the leading exporters and producers of fiber laser machines in the world, which results in steady market growth in the country. Manufacturers are investing in fiber laser market to cater the increasing demand for high quality products.
Rising demand of accurate shapes from aerospace and military sectors along with rapid automation in manufacturing industry will boost the market growth in the country.
Why Are Continuous Wave Fiber Laser High in Demand?
In terms of laser type, fiber laser type is segmented into continuous wave fiber laser, pulsed laser, and quasi continuous wave fiber laser. Continuous wave fiber laser is predicted to account for more than 76.4% of global revenue share in 2021, owing to its high effectiveness against reflective metals.
Continuous wave fiber laser are extensively used by aerospace and automotive manufacturers, as it is highly precise, stable, and offers excellent beam quality for material processing application. It also offers higher reliability and power efficiency against conventional laser welding.
Pulsed laser is expected to gain significant growth during the forecast period especially in marking applications as it has low maintenance, long service life, and faster cycle time for high volume production.
Why Are High Power Fiber Laser Gaining Popularity?
Increasing use of sheet metal to reduce the weight and improve fuel economy and lower manufacturing cost of automobile is forecast to drive the sales of fiber lasers over the forecast period. Adoption of lightweight materials in designing and manufacturing of aerospace body panels and other components will further fuel the market growth.
Fiber laser is experiencing high demand in thin metal cutting applications as a consequence of its unparallel combination of precision and productivity and high cost effectiveness in comparison with conventional cutting technologies like plasma torch and carbon-dioxide laser.
Which Application Type Is Experiencing High Demand?
By application type, material processing is predicted to hold largest share in fiber laser market. The rise in demand from this sector can be attributed to rapid industrialization in emerging economies.
Increasing demand of high quality laser beams for etching process in electronics manufacturing industry and growing emphasis on developing high energy efficient processing utilities are the key growth drivers in this segment.
Rapid adoption of fiber laser in producing barcodes, traceable labels, and other marking applications in e-commerce industry will drive the sales of fiber laser in the future.
Other applications of fiber laser include inspection and quality assurance in diamond industry, semiconductor wafer manufacturing and perforating operations, and 3D printing.
Future Market Insights (FMI) states that IPG Photonics Corporation, TRUMPF GmbH + Co. KG, Lumnetum Operations LLC, Wuhan Raycus Fiber Laser Technologies Co. Ltd. and Fujikura Ltd. are the top five market players operating in fiber laser market. They collectively account for more than 89% of global market share in 2021.
In an attempt to gain obtain significant competitive advantage in this high consolidated market, market players are focusing on designing and developing high power and eco-friendly fiber laser system.
For instance, in March 2021, Videojet Technologies launched “Lightfoot™” fiber laser solution for high speed beverage canning. This new fiber laser system combines the standard reliability of a Videojet fiber laser with high speed of dual Lightfoot marking heads to meet the every growing beverage canning and production needs.
In November 2020, LVD launched new large-format fiber laser cutting machine called “Taurus” specially designed for extra-large sheet metal cutting capacity. The machine can laser cut wide range of parts, thus increasing productivity and optimizing material usage.
Similarly in June 2020, Coherent introduced new 4000 W “HighLight FL4000CSM-ARM” fiber laser ideal for automotive applications. This new system offers advance welding capabilities for difficult to weld metals and aligns to welding requirements for e-mobility, energy storage, and general electrical interconnects consisting of dissimilar materials.
Fiber laser Market – Report Scope
2021 – 2031
Historical Data Available for
2019 – 2027
US$ Mn for Value & Units for Volume
Key Regions Covered
North America, Latin America, Europe, Asia Pacific, China, and Middle East & Africa
Key Countries Covered
U.S., Canada, Brazil, Mexico, Argentina, Rest of Latin America, Germany, U.K., France Italy, China, India, Japan, GCC Countries, South Africa, Israel, Turkey, Iran, Rest of Middle East & Africa, Australia, New Zealand, South Korea, the Philippines, Malaysia, and Thailand
Key Segments Covered
By Laser Type, By Output Power, By Application, And By Region
Key Companies Profiled
IPG Photonics Corporation, TRUMPF GmbH + Co. KG, Maxphotonics Co., Ltd., Coherent Inc., Newport Corporation, Wuhan Raycus Fiber Laser Technologies Co., Ltd., Lumentum Operations LLC, Fanuc Corporation, Furukawa Electric Co., Ltd., Keopsys S.A., Fujikura Ltd., and NLIGHT, Inc.
Market Overview, Market Background, Market Forecast, Segmental Analysis, Regional Profiling and Competition Analysis
Customization & Pricing
Available upon Request
Key Questions Answered in the Report
What is fiber laser market size?
Driven by vertical integration and product innovation initiatives, the fiber laser market size is forecast to reach US$ 3.1 Billion in 2021 with a CAGR of 11.1%.
At what rate did the fiber laser market expand in the last five years?
Between 2016 and 2020, the fiber laser sales grew at 8.1% CAGR.
What are the key trends shaping the fiber laser market?
Increasing vertical integration and rise in product innovation initiatives are few of the key trends shaping the fiber laser market.
Who are the key exporters operating in fiber laser market?
U.S., Japan, and Germany are the leading exporters of fiber laser in the world.
What is the North America fiber laser market outlook?
Demand registered in North America will continue rising, backed by rapid industrialization and booming automotive industry in U.S. and Canada, the North America market is anticipated to expand at 10.9% CAGR during the forecast period.
Who are the leading companies in fiber laser market?
IPG Photonics Corporation, TRUMPF GmbH + Co. KG, Lumnetum Operations, LLC, Wuhan Raycus Fiber Laser Technologies Co., Ltd. and Fujikura Ltd. are the top companies operating in the market.
What is the share of top companies in fiber laser market?
As of 2021, IPG Photonics Corporation hold around 50% of global market share, TRUMPF GmbH Co. KG holds 17% of global market share, Lumnetum Operations LLC AG holds 8%, Wuhan Raycus Fiber Laser Technologies Co. Ltd holds 9%, and Fujikura Ltd holds 4% of global market share.
At what rate will fiber laser sales increase in Europe?
Fiber laser sales will increase at 10.2% CAGR in Europe, backed by thriving semiconductor manufacturing segment and increase in export of fiber laser equipments from the U.K., Germany and other countries.
What is the global year-on-year growth in fiber laser market in 2021?
The global fiber laser market exhibited a prolific year-on-year growth rate of 10.7% in 2021.
What are the key statistics for fiber laser market in Japan and South Korea?
Currently in 2021, Japan and South Korea collectively hold around 10% of global fiber laser market share.
Key Segments Covered In Fiber laser Market Study:
By Laser Type:
- Continuous Wave Lasers
- Pulsed Lasers
- Quasi Continuous Wave Laser
- Low Power (Up to 100 Watts)
- Medium Power (100W-2,000W)
- High Power (More than 2,000 W)
- Welding & Other High Power Applications
- Fine & Micro Processing
- Communications and Advanced Applications
- North America
- Latin America
- Asia Pacific
- Middle East and Africa