Aluminum Casting Market Size, Share, Growth, Trends and Forecast Report
by Susan Hill Business ConsultantThe
global aluminum casting market size is expected to reach
USD 86.5 billion by 2025, according to a new report by Grand View Research,
Inc., registering a 9.1% CAGR during the forecast period. The growth of
aluminum content in automobiles and increasing demand from the building and
construction sector in Asia Pacific are key factors driving the market.
Automobile
manufacturers are under increasing pressure to meet regulatory requirements
pertaining to the environmental impact of vehicles. Corporate Average Fuel
Economy (CAFE) has doubled its target for average fuel-efficiency from 2012 to
2025 owing to increasing emission of greenhouse gases. Weight reduction in
vehicles through the use of aluminum is set to play a crucial role in these
conditions in order to meet regulatory requirements.
The building
and construction sector in Asia Pacific is largely driven by developing
countries in the region, such as China, India, Malaysia, and Indonesia. In
2018, the Malaysia residential and non-residential sector observed a growth of
nearly 4.4% in real terms. Similarly, the building sector in Indonesia
registered a growth of around 6.2% during the same timeline.
Environmental
policy changes in China is projected to critically impact market growth over
the coming years. The Chinese Ministry of Ecology and Environment launched a
three-year action plan (2020 action plan) in June 2018 to curb pollution in the
country. In line with this, the government is pursuing a winter policy that
aims to reduce aluminum production from November to March every year until
2020. This has severely affected businesses of small and medium aluminum
enterprises.
As per the
China Non-Ferrous Industry Association, medium-sized aluminum smelters take a
hit if prices of aluminum are as low as USD 2,206 per ton while complying with
new pollution norms or policies. The current price scenario of aluminum in
China reached nearly USD 1,988 per ton in the Shanghai Metal Exchange as of
February 2019, hinting at the challenge the market faces.
Lightweight
materials are becoming crucial in industries such as automotive,
aviation/aerospace, and wind energy, and are likely to receive increasing
attention in the coming years. In the automotive industry, demand for
lightweight material is projected to grow at an unprecedented rate and its use
in manufacturing is expected to double by 2030.
Carbon
fiber is one of
the lightweight materials with high potential across various applications. At
present, the cost of carbon fiber is enormous as compared to other materials,
which has restricted its use to premium products. However, the price is
anticipated to decline over the next two decades, bringing carbon fiber significantly
closer to aluminum in terms of accessibility to the average consumer.
Further key
findings from the report suggest:
- In terms of
revenue, the die casting process segment is anticipated to reach USD 48.9
billion by 2025 at a predicted CAGR of 10.1%
- Based on type,
the high pressure die casting segment was pegged at 4,217.5 kilotons in
2018
- By volume, the
transportation end-use segment dominated the global market with a share of
59.0 % in 2018
- Europe aluminum
casting market is anticipated to reach USD 17.6 billion by 2025, emerging
as the second largest regional market by revenue
- In terms of
revenue, Middle East and Africa is anticipated to witness a CAGR of 5.7%
over the forecast period, fueled by demand for casting products within the
building and construction segment
- Some of the key
companies present in the market are Consolidated Metco, Inc.; Alcoa
Corporation; Dynacast; Ryobi Ltd.; Endurance Technologies Limited; Walbro;
and Alcast Technologies.
Access full
research report on global aluminum casting market:
www.grandviewresearch.com/industry-analysis/aluminum-casting-market
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Created on Oct 23rd 2019 08:44. Viewed 342 times.