Laser Welding System Market Expected to Reach $6.3 Billion by 2032—Allied Market Research

According to a new report published by Allied Market Research, titled, “Laser Welding System Market," The laser welding system market size was valued at $2.9 billion in 2020, and is estimated to reach $6.3 billion by 2032, growing at a CAGR of 6.9% from 2023 to 2032.

Laser welding or laser beam welding (LBW) is a process that uses a concentrated heat source in the form of a laser to melt materials, which fuse as they cool. This is a versatile process, and it welds thin materials at fast welding speeds while also creating tight, deep welds for thicker materials.

The rise in demand for precise welding solutions across various industries such as automotive, aerospace, electronics, and medical devices is expected to boost the laser welding system market growth. In the automotive sector, laser welding plays a pivotal role in assembling body-in-white (BIW) structures, where the quality and precision of welds are of utmost importance. In addition, automotive manufacturers aim to reduce vehicle weight and enhance fuel efficiency, laser welding offers an efficient means of joining lightweight materials like aluminum and advanced high-strength steels.

The laser welding system is extensively used for automotive components such as solenoids, engine parts, air conditioning units, alternators, fuel injectors, and filters. Moreover, there are various types of laser welding that are currently used for automotive applications such as blue direct diode, fiber, pulsed, disk lasers, and others. Thus, rising automobile sale is anticipated to drive the demand for the laser welding system market. The rise in the adoption of fiber lasers is gradually replacing diode-pumped solid-state (DPSS) lasers in ultrafast laser applications. Similarly, continuous wave (CW) fiber lasers are replacing CO2 and DPSS lasers in macro-material processing applications, owing to the femtosecond to picosecond range pulse duration of fiber lasers. Furthermore, ribbon core fibers are suitable for military applications due to their enhanced stability and resistance to thermal damage. The growth in various industries such as automotive, aerospace, medical, and electronics is expected to boost the laser welding system market growth.

Furthermore, the surge in emphasis on automation and the implementation of Industry 4.0 principles in manufacturing are driving the adoption of laser welding systems. These systems seamlessly integrate with robotic platforms, leading to increased productivity and consistency on production lines. For instance, in the aerospace industry, laser welding robots are utilized to assemble intricate components found in aircraft engines and structures. This integration contributes to enhanced operational efficiency and reduced manufacturing costs. However, high upfront costs are anticipated to restrain the growth of the laser welding system market during the forecast period.

In 2020, Asia-Pacific accounted for the highest share of the laser welding system market share and is expected to grow during the forecast period. Moreover, the market in LAMEA is anticipated to grow, owing to an increase in the automotive sector.

Various manufacturers in the laser welding systems market such as TRUMPF, Coherent, IPG Photonics, Jenoptik, and Laser Star Technologies offer a wide variety of laser welding systems for automotive, medical, and electronics industry applications. For instance, Coherent and II-VI collaborated to supply turnkey automotive and electrification welding solutions. These include high-strength alloy welding for automotive body-in-white applications and mass-production copper welding for electrification applications.

Currently, the market is mainly impacted by the global economic downturn which is a big restraining factor for the entire industrial and construction sectors. The current inflation is a result of the Ukraine-Russia conflict, as well as the quantitative easing that was performed in various countries across the world to tackle the economic downturn during the coronavirus outbreak. Furthermore, raw material and energy costs have become highly volatile, and many nations are experiencing high rates of inflation, such as countries in Europe, Latin America, and North America. However, India and China are performing relatively well.

Key Benefits For Stakeholders

• The report provides an extensive analysis of the current and emerging laser welding system market trends and dynamics.
• In-depth laser welding system market analysis is conducted by constructing market estimations for the key market segments between 2020 and 2032.
• Extensive analysis of the laser welding systems market is conducted by following key product positioning and monitoring of the top competitors within the market framework.
• A comprehensive analysis of all regions is provided to determine the prevailing opportunities.
• The laser welding system market forecast analysis from 2023 to 2032 is included in the report.
• The key market players within the laser welding system market are profiled in this report and their strategies are analyzed thoroughly, which helps understand the competitive outlook of the laser welding system industry