Aluminum Casting Market to Multiply 1.8X through 2029, Finds Fact.MR
Published : 27 Mar 2020 Industry: Chemical & Materials
Proliferating two-wheeler demand across developing nations will drive demand for aluminum casting of components. Countries like Indonesia, India, and China are investing heavily in increasing product quality standards for automotive and industrial manufacturing. Stringent statutory laws that warrant an increase in fuel efficiency and an equal decrease in carbon footprint of industries contributes to the demand for aluminum components. The global aluminum casting market paints a remunerative picture with a healthy 6% CAGR during the forecast period (2019-2029). Automotive trends such as development of light weight electric vehicles acts as a central driver of growth through 2029. Product properties such as dimensional stability and high-temperature resistance position aluminum casting of components as an ideal alternative for many end-use industries.
Key Takeaways of Aluminum Casting Market study
- Die casting aluminum casting process leads revenue generation with more than 50% share of the total market revenue. Mass-adoption of this process in manufacturing of engine parts, flywheels, cylinders, and gear components is driving the demand for die casting of aluminum components.
- Permanent mold casting is the second largest revenue generating process with a total market value share upwards of 40%. Large scale production capabilities coupled with superior finish quality gives this segment an impressive ~7% CAGR through 2029.
- In terms of end-use segments, transportation, the earliest adopter of aluminum casting processes accounts for a massive 60% of the total market value. The segment offers continued growth of over 6% CAGR from 2019 to 2029.
- Industrial end-use segment is the second most lucrative for aluminum casting manufacturers. The segment offers strong gainful opportunities with more than 7% of the total market demand. Consumer demand for high performance products is further increasing the demand for aluminum parts in various consumer products.
- North America and Europe collectively account for over 41% of total sales. Early adopters in this region are also home to technological advancements in aluminum casting processes, and applications. Innovation and increasing disposable income of consumers will continue to offer steady growth in these regions.
- Asia Pacific (East Asia and South Asia & Oceania) holds the second largest market share with promising future growth prospects. East Asia offers over 8% CAGR and South Asia & Oceania exhibits a stellar 8.5% CAGR during the forecast period.
High Performance Applications to Widen Growth Prospects
Increasing disposable income of millennial consumers creates demand for sports utility vehicles such as motorcycles in developed countries of North America and Europe. High performance two-wheelers rely on lightweight alloys such as aluminum to provide strength and dimensional stability under high-pressure situations. Similar adoption trends in various consumer products is accelerating the demand for aluminum casting processes. Another growth driver is advancements in material science which helps aluminum manufacturers penetrate into untapped markets. Innovations in permanent mold casting will pave way for mass-adoption of aluminum casting in large-scale industrial end uses.
Find More Valuable Insights on the Aluminum Casting Market
Fact.MR, in its new offering, provides an unbiased analysis of the global aluminum casting market, with historical data on demand (2013-2018) and expected projections for the period 2019-2027. The report discloses compelling insights into the demand for aluminum casting based on end-use (transportation, industrial, building & construction, and others), process (die casting (pressure die casting, and others), permanent mold casting, and others), across six major regions (North America, Latin America, Europe, East Asia, South Asia & Oceania, and Middle East & Africa).
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