Union Materials
Union Materials Corp. is a South Korea-based, KOSPI-listed manufacturer of fine ceramics cutting tools and ferrite magnets, serving automotive (including Bosch), home appliance, aerospace, and industrial customers globally through its own plants and a 40+ distributor network.
- Company typePublic
- Founded2000
- HeadquartersDaegu, South Korea
- Headcount11–50
- GTM typeB2B
- OfferingHardware or Manufacturing
What Union Materials does
Union Materials Corp. is a South Korea-based, KOSPI-listed manufacturer of fine ceramics and ferrite magnets, operating two plants in Daegu (ceramics) and Pohang (ferrite magnets) plus a sales office in Seoul and a Vietnam subsidiary established in 2019. The company traces its operational roots to 1962 (via Union Cement Industrial) and was spun off as a standalone entity in 2000, listing on the Korea Exchange in September 2009. Its product portfolio spans ceramic cutting tools (ceramic, cermet, PCBN/PCD inserts, tool holders, milling cutters, endmills, hydraulic expansion chucks) marketed under the CERABIT brand, industrial ceramics (faucet discs, metalized parts, bio-ceramics, fiber optic ferrules), and ferrite magnets (arc/segment type for DC motors and rectangular block type for industrial applications), with proprietary variants including SiAlON, SiC-Whisker, and the patented XT rare-earth substitute ferrite material.
The company's underlying technology is rooted in inorganic materials processing, powder metallurgy, sintering, precision machining, and metalizing/plating, with the HIP (Hot Isostatic Press) process as a key differentiator for cutting tool wear resistance. Union Materials monetizes exclusively through hardware sales of manufactured components, with pricing ranging from unit pricing (approx. USD 2,000 per cavity tooling charge) to multi-year supply contracts. Go-to-market is decentralized: it relies on a global distributor network of more than 40 partners across 28+ countries and active participation in major international trade exhibitions (CIMT, EMO, JIMTOF, IMTS, SIMTOS, Ceramic Expo), supplemented by direct inquiry handling in Seoul. Customer segments are predominantly B2B industrial, with automotive (notably Bosch, a six-time Global Excellence Partner awardee), home appliance motor manufacturers, aerospace machining shops, and general industrial component buyers; over 70% of sales are exported.
In 2024 the company reported consolidated revenue of 1,084 billion KRW (approx. USD 770M) and a consolidated operating loss of -165 billion KRW, against a backdrop of recent product launches (ST800, SZ1000, carbide end mills) and continued international expansion. Certifications (ISO 9001, IATF 16949, ISO 14001) and awards (Korea World-Class Product, World Class 300, Bosch Global Excellence Partner) support its positioning as a specialty industrial supplier rather than a commodity vendor.
Union Materials firmographics
Firmographics- Name
- Union Materials
- Legal name
- 유니온머티리얼주식회사
- Website
- https://unionmaterials.com
- Company type
- Public
- Founded year
- 2000
- Operating status
- Operating
- Headcount range
- 11–50 employees
- Short description
- Union Materials Corp. is a South Korea-based, KOSPI-listed manufacturer of fine ceramics cutting tools and ferrite magnets, serving automotive (including Bosch), home appliance, aerospace, and industrial customers globally through its own plants and a 40+ distributor network.
- Ownership category
- akta.pro rank
Union Materials industry classification
Industry- Product category
- Fine Ceramics and Ferrite Magnet Manufacturing
- NAICS
- Cutting Tool and Machine Tool Accessory Manufacturing (333515)
- akta.pro primary industry
- Metal Cutting Tools, Tooling & Workholding (Cutters, Inserts, Chucks, Fixtures) (IMAHADAB)
Keywords
Where Union Materials is headquartered
LocationHeadquarters
- HQ city
- Daegu
- HQ country
- South Korea
- HQ region
- Asia
Offices4 records
Markets served
Union Materials business model
Business model- GTM type
- B2B
- Offering type
- Hardware or Manufacturing
- Cost components
- Operations, Supply Chain, Technology or R&D, Infrastructure, Marketing or Sales, Personnel
Revenue model
- Ferrite Magnet Manufacturing and Sales: Manufacturing and supplying internationally recognized high-quality ferrite magnets for automotive, home appliance, and industrial applications. Produces arc magnets and rectangular block type magnets with annual capacity of 13,100 MT.
- Fine Ceramics Products: Ceramic cutting tools including ceramic inserts, cermet, PCBN/PCD, tool holders, milling cutters, endmill/drills, hydraulic expansion chucks. Also industrial ceramics for faucet discs, ferrule for fiber optics, metalized parts, bio-ceramics.
- Industrial Ceramics Components: Custom ceramic parts for automobile industry, electrical and electronic engineering, and machinery industries. Includes dental implants, extruding dies, fixtures, guides, oxygen sensors, shafts, seals, balls, nozzles.
Pricing tiers
| Model | Billing | Price |
|---|---|---|
| Unit Pricing | Multi-year contract | Tooling charges per cavity |
Go-to-market motion1 record
Distribution channels1 record
Marketing channels4 records
Union Materials product offering
Product offeringCore offering
Union Materials manufactures and sells fine ceramic cutting tools (ceramic, cermet, PCBN/PCD inserts, tool holders, milling cutters, endmills/drills, hydraulic expansion chucks) and industrial ceramic components (faucet discs, metalized parts, bio-ceramics), as well as hard ferrite arc and block type magnets. The products are engineered for precision machining of hard-to-cut materials and for DC motor applications in automotive, home appliance, and industrial markets, with the company operating dedicated plants in Daegu and Pohang and sales offices in Seoul.
Product overview
Union Materials is a manufacturer of fine ceramics and ferrite magnets, organized into two main product divisions. Fine Ceramics division includes cutting tools (Ceramic, Cermet, PCBN/PCD inserts, Tool Holders, Milling Cutters, Endmill/Drill, Hydraulic Expansion Chucks) and industrial ceramics (Faucet Discs, Metalized Parts, Bio-Ceramics). The Ferrite Magnet division produces ARC (Segment) Type magnets for D/C motors and Rectangular (Block) Type magnets for industrial applications. The company also offers specialized materials including SiAlON, SiC-Whisker, and XT ferrite materials. Products serve automotive, aerospace, electrical/electronic, and general industrial sectors worldwide.
Differentiator
Problem solved
Functional benefit
Brands
- CERABIT: Ceramic cutting tool brand operated by Union Materials. Union entered the ceramic cutting tool business in 1986 under this brand name.
Products and services
- Ceramic Cutting Tools Inorganic material cutting tools die-pressed and sintered using fine, pure raw materials with high thermal shock resistance, excellent fracture toughness, and wear resistance achieved through HIP (Hot Isostatic Press) treatment; sold to precision machining manufacturers under the CERABIT brand.
- Cermet Cutting Tools Composition between titanium carbide or titanium nitride and carbide as metal binder, combining ceramic's high hardness with metal's toughness for high wear resistance, high-speed cutting, and excellent surface finishing; grades TX510, TX515, TX520, TX530, TX910, TX915, TX920, TX930 for machining manufacturers.
- PCBN/PCD Cutting Tools Ultra-hard cutting tools consisting of polycrystalline cubic boron nitride (PCBN) with metallic or ceramic binder, available as tip brazed and solid CBN, plus polycrystalline diamond (PCD) tools brazed to carbide inserts for hard material machining customers.
- Tool Holders Optimized standard and special tool holders providing an effective tooling system when paired with the company's inserts and milling cutters; sold to industrial machining customers globally.
- Milling Cutters High-performance face and other milling cutters offering high-speed cutting and excellent surface roughness with precise run-out for machining manufacturers.
- Endmill/Drill Micro-grain tungsten carbide end mills and drills offering longer tool life, better productivity, high precision, and excellent surface quality, with various coated options available for industrial machining customers.
- Hydraulic Expansion Chuck Hydraulic expansion chucks with T.I.R. accuracy and repeatability of ≤3μm that deliver precise solid lock-up between tool and chuck for less tool wear and longer tool life in high-speed machining applications.
- Faucet Disc Precision-engineered ceramic discs for faucets produced with world-class surface grinding and geometrical accuracy and chemicophysical stability, at a capacity of 20 million units per year for plumbing OEMs.
- Metalized Parts World's largest supplier of metalizing ceramics, with strong metalizing and plating capabilities applied to insulating products such as ceramics used in microwave oven magnetrons and vacuum interruptors for electronics customers.
- Bio-Ceramics and Others Industrial and bio-ceramic products leveraging wear-resistance, anti-corrosion, thermal shock-resistance, and electrical insulation, including dental implants, extruding dies, fixtures, guides, oxygen sensors, shafts, seals, balls, nozzles, and cutters for medical and general industrial buyers.
- Ferrite Magnet (Hard Ferrite) Hard ferrite magnets manufactured using in-house technologies with 40+ years of accumulated expertise, including arc (segment) magnets for DC motors and rectangular block type magnets for industrial applications; sold to automotive, home appliance, and industrial motor manufacturers globally.
- ARC (Segment) Type Ferrite Magnet Arc segment magnets for DC motors in automotive and home appliance applications, with more than 100 shapes and sizes available and computer-simulated optimal domain orientation for motor noise reduction and performance gains.
- Rectangular (Block) Type Ferrite Magnet Block ferrite magnets for industrial applications in two standardized dimensions: 150mm x 100mm x 4-10mm thickness and 100mm x 100mm x 12-25.4mm thickness.
- ST800 Alumina Ceramic Cutting Tool New alumina-based ceramic cutting tool grade that delivers balanced hardness and toughness for high-hardness steel machining applications, available for industrial machining customers.
- SZ1000 Zirconia Ceramic Cutting Tool New zirconia-based ceramic cutting tool grade that offers enhanced impact resistance and tool life for machining cast iron and alloy steel, targeted at industrial machining customers.
Quantifiable outcome
- 13,100 MT annual arc magnet capacity
- +2 more outcomes
Companies that use Union Materials
Customer profileNamed customers1 record
Segments3 records
Ideal customer profiles3 records
Union Materials technology and API
TechnologyTechnology focussed No
API detail
- Has API
- No
- API docs
- API detail
Core technology
AI maturity
App detail
Feature4 records
Union Materials partnerships and signals
Strategic signalPartnerships
Seven partnerships are on record, tiered primary and core.
- JDM INTERNATIONAL, INC (USA)primaryAuthorized distributor for Union Materials products in USA. Handles Ferrite Magnet and Fine Ceramics (Cutting tool, etc). Located at 633 E. Fernhurst Dr. #402, Katy, TX 77450, USA. Contact: [email protected], Tel: +1(281)556-5180
- JCO INTERNATIONAL Co., Ltd (Canada)primaryAuthorized distributor in Canada handling Fine Ceramics (cutting tool). Located at #9439, 22ST SW Calgary, Alberta T2V1S2, Canada. Contact: [email protected], Tel: +1 (403) 714-0575
- GS GLOBAL EUROPE GMBH (Germany)primaryAuthorized distributor in Germany handling Fine Ceramics (Cutting Tool). Located at Mergenthalerallee 77, 65760 Eschborn, Germany. Contact: [email protected], Tel: +49(0)6196-481756
- GS GLOBAL JAPANprimaryAuthorized distributor in Japan handling Ferrite Magnet and Fine Ceramics (cutting tool). Located at 5TH FLOOR, NISSO22 BLDG., 11-10, 1-CHOME, AZABUDAI, MINATO-KU, TOKYO, JAPAN. Contact: [email protected]
- HIROSHI NEXUS CORP (Japan)primaryAuthorized distributor in Japan handling Ferrite Magnet and Fine Ceramics (cutting tool). Located at 1-57, Fukiage-cho, Showa-ku, Nagoya, Japan. Contact: [email protected]
- GS GLOBAL CORP SHANGHAI OFFICE (China)primaryAuthorized distributor in China handling Ferrite Magnet. Located at RM 1004, 1699 Bldg, 1699 Gubei Rd., Minhang District, Shanghai, China. Contact: [email protected]
- Korea Fine Ceramic Association (KFCA)coreUnion Materials exhibits together with KFCA at international exhibitions such as Ceramic Expo 2022. Booth No. 1126 at Ceramic Expo 2022 in Cleveland, Ohio, USA.
Scale indicators10 records
Recent moves10 records
Expansion highlights6 records
Union Materials competitors and assessment
Company assessmentBroad incumbents
- NGK Insulators: Major Japanese manufacturer of industrial ceramics (honeycomb substrates, semiconductor process components, ceramic cutting tools) — overlaps directly with Union Materials' industrial ceramics and metalized parts business, and operates globally across similar automotive and electronics end markets.
- TDK Corporation: Japanese electronics and magnetics giant with a substantial ferrite magnet product line serving automotive and industrial motor applications — directly comparable to Union Materials' ferrite magnet business, though TDK operates across a much wider electronics and components portfolio.
- Mitsubishi Materials Corporation: Japanese diversified materials company with a major cutting tools division producing carbide, cermet, and ceramic inserts for turning, milling, and drilling — a direct competitor to Union Materials' CERABIT ceramic cutting tools, particularly in Asian markets.
- Kyocera Corporation: Japanese diversified ceramics and electronics manufacturer with a large fine ceramics division producing cutting tools, industrial ceramic components, and semiconductor parts — directly comparable product categories to Union Materials' fine ceramics portfolio, but at vastly greater scale and with a much broader portfolio.
- Hitachi Metals (now Proterial): Japanese specialty materials manufacturer with leading positions in ferrite and rare earth magnets, electrical steels, and specialty components — competes with Union Materials in the automotive and industrial motor magnet market at much greater scale and broader product offering.
Direct peers
- Kennametal: US-based global manufacturer of metalworking tools and wear-resistant solutions, including carbide and ceramic inserts, tool holders, and milling products — a direct competitor to Union Materials in ceramic cutting tools and tooling systems for industrial machining.
- Sandvik Coromant (Sandvik AB): Global leader in metal cutting tools (inserts, milling cutters, drills, tool holders) and part of Sandvik AB — directly comparable to Union Materials' ceramic and cermet cutting tool business, serving the same machining customer base with overlapping hard-to-cut material applications.
- Morgan Advanced Materials: UK-based manufacturer of advanced technical ceramics, including metalized ceramic components, seals, and ceramic cutting tools — closely comparable to Union Materials' industrial ceramics and metalized parts business across automotive, electronics, and industrial customers.
- CoorsTek: US-headquartered global manufacturer of technical ceramics serving automotive, aerospace, electronics, and industrial markets — directly comparable to Union Materials' industrial ceramics and metalized ceramic components business, with overlapping customer base in automotive and electronics.
- CeramTec: German specialty ceramics manufacturer producing advanced ceramic components for medical, automotive, and industrial applications, including ceramic cutting tools — a direct peer to Union Materials' industrial ceramics division with similar customer profiles and technical capabilities.
Market position
Strengths5 records
Weaknesses5 records
Competitive moat5 records
Key risks6 records
Key highlights7 records
Customer concentration
Union Materials social profiles
Digital presenceUnion Materials compliance and trust
Trust signalCompliance5 records
Union Materials financial estimates
Financial estimateRevenue estimate
Valuation estimate
Union Materials leadership team
Management profileNumber of profiles
Profiles1 record
Union Materials subsidiaries and ownership
Company hierarchySubsidiaries1 record
Union Materials funding detail
Funding detailFunding overview
Funding rounds
Investors
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
Union Materials M&A and investment
M&A and investmentM&A
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about Union Materials
What does Union Materials do?
Union Materials manufactures and sells fine ceramic cutting tools (ceramic, cermet, PCBN/PCD inserts, tool holders, milling cutters, endmills/drills, hydraulic expansion chucks) and industrial ceramic components (faucet discs, metalized parts, bio-ceramics), as well as hard ferrite arc and block type magnets. The products are engineered for precision machining of hard-to-cut materials and for DC motor applications in automotive, home appliance, and industrial markets, with the company operating dedicated plants in Daegu and Pohang and sales offices in Seoul.
Is Union Materials a public or private company?
Union Materials is a public company. It is classified as public and is currently operating.
When was Union Materials founded?
Union Materials was founded in 2000. It employs 11 to 50 people.
Where is Union Materials based?
Union Materials is headquartered in Daegu, South Korea, in the Asia region.
How does Union Materials make money?
Three revenue lines are on record. Ferrite Magnet Manufacturing and Sales are the primary driver. The others are fine Ceramics Products and industrial Ceramics Components.
Who are Union Materials's main competitors?
Broad incumbents on record are NGK Insulators, TDK Corporation, Mitsubishi Materials Corporation, Kyocera Corporation and Hitachi Metals (now Proterial). Direct peers are Kennametal, Sandvik Coromant (Sandvik AB), Morgan Advanced Materials, CoorsTek and CeramTec.
Does Union Materials have an API?
No public API is recorded for Union Materials.
What industry is Union Materials in?
Union Materials's product category is Fine Ceramics and Ferrite Magnet Manufacturing. Its primary akta.pro industry code is IMAHADAB, Metal Cutting Tools, Tooling & Workholding (Cutters, Inserts, Chucks, Fixtures). Its NAICS code is 333515.