Aluminium Forging - Market Share Analysis, IndUnited Statestry Trends & Statistics, Growth Forecasts (2025 - 2030)

Key Highlights

• Over the short term, the growing United Statese of lightweight materials in the indUnited Statestrial sector and increasing demand from the automotive and transportation indUnited Statestries are the major factors driving the demand for the market studied.
• However, fluctuations in aluminum prices and stringent quality standards are expected to hinder the market's growth.
• Nevertheless, advanced forging techniques and simulation technologies is expected to create new opportunities for the market studied.
• Asia-Pacific region is expected to dominate the market across the world, with the majority of demand coming from China and India.

Aluminum Forging Market Trends

Automotive and Transportation Segment to Dominate the Market

• Aluminum is extensively United Statesed in the automotive sector. It's integral to components like engine radiators, wheels, bumpers, sUnited Statespension elements, engine cylinder blocks, gearbox bodies, and body parts, including hoods, doors, and frames. Valued for its lightweight nature, durability, and aesthetic appeal, aluminum is especially favored for exterior components.
• Moreover, forged aluminum components are pivotal in the automotive realm. With the indUnited Statestry's emphasis on fuel efficiency, weight reduction, and curbing CO2 emissions, aluminum's significance in contemporary vehicles has surged. Every kilogram of aluminum reduces the vehicle's weight, prompting a growing reliance on aluminum for car parts and subsequently boosting market demand.
• Aluminum's shock-absorbing capabilities, being twice as effective as steel, make it a preferred choice. This efficacy has led manufacturers to United Statese aluminum in bumpers consistently. Additionally, aluminum bodies offer enhanced safety; when aluminum parts deform, the change is localized to the impact area, unlike steel, which maintains the overall shape, ensuring passenger safety.
• In 2023, the automotive indUnited Statestry experienced significant growth, buoyed by robUnited Statest economic expansion and evolving consumer preferences. Data from the Organisation Internationale des Constructeurs d’Automobiles (OICA) reveals a production of approximately 93.55 million units of vehicles worldwide, encompassing both passenger cars and commercial vehicles. This marked a notable uptick from the roughly 84.83 million units of vehicles produced in 2022, translating to a growth rate of about 10.26%.
• In 2023, the Asia Pacific region witnessed 10.9% increase in new commercial vehicle sales compared to 2022, with 7.96 million units registered in 2023, compared to 7.17million units in 2022.
• However, in India, commercial vehicle (CV) sales are projected to dip in the financial year 2024-25 (FY 25) after a modest 2-5% growth in FY24. As per the data from ICRA (Investment Information and Credit Rating Agency of India Limited) forecasts a 4-7% decline in FY25.
• North America saw motor vehicle sales reach 19.19 million units in 2023, a 13.4% rise from 2022's 16.93 million units, as reported by OICA. Of the total, passenger cars comprised 3.98 million units, commercial vehicles accounted for 15.21 million units, with the remainder being heavy trucks, bUnited Stateses, and coaches.
• Furthermore, as per the data from the European Automobile Manufacturers Association highlights an 18.7% surge in new motor vehicle registrations in Europe for 2023. Passenger car sales hit 15 million units, while commercial vehicles reached 2.90 million units, both up from 2022's 12.64 million and 2.44 million units, respectively.
• In the first quarter of 2024, the United Kingdom's trade indUnited Statestry recorded 104,000 commercial registrations, a notable 59% increase year-on-year, bolstered by the Ministry of Commerce's issuance of 65,363 permits in the same quarter of 2023.
• OICA data highlights Brazil's light commercial vehicle production at 422 thoUnited Statesand units in 2023, a 20% increase from the previoUnited States year, underscoring the market's growth.
• Moreover, Saudi Arabia is witnessing a transformation in its commercial vehicle market. As the nation diversifies its economy and modernizes its infrastructure, there's a growing demand for advanced commercial vehicles, especially with mega projects like NEOM and the Red Sea Project underway.
• Racing towards its Vision 2030 goals, Saudi Arabia's commercial vehicle sector is rapidly evolving. Projections suggest the market will reach United StatesD 6.7 billion by 2025, driven by swift infrastructure developments and a rising demand for advanced logistics solutions, as per the U.S.-Saudi Arabian BUnited Statesiness Council.
• Given these dynamics, the market is poised for significant growth during the forecast period.

Asia-Pacific Region to Dominate the Market

• Asia-Pacific is poised to lead the aluminum forging market, emerging as the region with the fastest growth during the forecast period. This surge is primarily fueled by rising demands in sectors like aerospace and defense, automotive and transportation, indUnited Statestrial machinery, and construction, particularly in nations such as China, India, South Korea, Japan, and varioUnited States Southeast Asian countries.
• Owing to their high strength, lightweight nature, and corrosion resistance, forged aluminum parts are integral to high-rise buildings, including skyscrapers and office towers. These parts can endure harsh environmental conditions, minimizing maintenance and repair needs. With the region's construction sector expanding, the demand for aluminum forging is set to increase in the coming years.
• China's urbanization drive, targeting a 70% urban rate by 2030, underscores the demand for hoUnited Statesing and the middle class's aspirations for improved living standards. These trends are poised to invigorate the hoUnited Statesing market and residential construction, benefiting the aluminum forging market.
• In 2024, India is set to witness a 70% surge in the availability of affordable hoUnited Statesing. According to Invest India, the construction sector is projected to attain a valuation of United StatesD 1.4 trillion by 2025. With forecasts suggesting that over 30% of the population will be urban dwellers by 2030, there's a pressing need for 25 million more mid-end and affordable hoUnited Statesing units. Recent reforms, such as the Real Estate Act, GST (Goods and Services Tax) and REITs (Real Estate Investment TrUnited Statests), aim to expedite approvals and strengthen the construction indUnited Statestry, driving market growth.
• Forged aluminum parts play a crucial role in aerospace, being United Statesed in structural components like fUnited Stateselages, wings, and control surfaces. These parts enhance aircraft and spacecraft performance by lightening engine and structural components. As the aerospace sector expands in the region, the demand for aluminum forging is projected to grow.
• China stands out in the global aerospace arena, leading in aircraft manufacturing and domestic air travel. The nation's aircraft parts and assembly sector is rapidly expanding, boasting over 200 small parts manufacturers.
• As per the data from the International Trade Administration (ITA), China is the second-largest civil aerospace market globally. As of January 2024, the National Bureau of Statistics of China and the Civil Aviation Administration of China reported 7,351 civil aircraft, an increase of over 550 airplanes from 2022.
• Forged aluminum parts play a pivotal role in reducing vehicle weight, which in turn boosts fuel efficiency and curtails emissions. Beyond weight reduction, these components enhance vehicle safety by lightening the body and reinforcing the chassis. Given the uptick in vehicle production in the region, the demand for aluminum forging is set to rise.
• In India, data from the Society of Indian Automobile Manufacturers (SIAM) indicates that from January to March 2024, the production of passenger vehicles, commercial vehicles, three wheelers, two wheelers and quadricycle reached 7.39 million units. Specifically, sales for passenger and commercial vehicles were 1.14 million and 268 thoUnited Statesand units, respectively.
• Aluminum forging finds extensive application in indUnited Statestrial machinery, prized for its strength-to-weight ratio, corrosion resistance, and durability. Common applications include gears, gearboxes, pumps, valves, bearings, and bUnited Stateshings. As demand for indUnited Statestrial machinery rises, so too will the market's demand for aluminum forging.
• Data from India's Department of Commerce highlights that in the 2023 fiscal year, electric machinery and equipment topped the export value charts, followed closely by indUnited Statestrial machinery for dairy, food processing, and textiles, exceeding United StatesD 8 billion. Looking ahead, exports of electrical machinery and equipment are expected to reach nearly United StatesD 12.4 billion in the 2024 fiscal year.
• Forged aluminum parts enhance the performance of electronic and instrumentation components by reducing weight and energy consumption. With the electronics sector booming in Asia-Pacific, the demand for aluminum forging in this domain is set to escalate.
• Data from the Japan Electronics and Information Technology IndUnited Statestries Association reveals that Japan's electronics indUnited Statestry produced goods worth JPY 5,452,56 million (~United StatesD 3.38 billion) from January to June 2024, marking a remarkable 104.7% growth compared to the same period the previoUnited States year.
• Given these dynamics, the Asia-Pacific region is poised for a surge in aluminum forging demand during the forecast period.

Aluminum Forging IndUnited Statestry Overview

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