According to Acumen Research and Consulting, the global Automotive Aluminum market is expected to grow at noteworthy CAGR around 8.4 % throughout the forecast period and reach around US$ 62 billion by 2026.
It offers great security and durability combined with increased fuel efficiency and decreased emissions as well as offers the most common metal in cars and commercial vehicles. Furthermore, due to its strength and environmental advantages, demand for aluminum in automotive applications is accelerating. The recovery from aluminum has generated a demand that is anticipated to gain considerable traction in the next few years.
The report provides analysis of global Automotive Aluminum market for the period 2015-2026, wherein 2019 to 2026 is the forecast period and 2018 is considered as the base year.
The growth drivers are the expansion of the automotive industry and increased automotive output. Increasing demands for cars are probable to boost the demand for aluminum parts in these areas in North America, Europe and Asia Pacific nations, namely, the United States, Germany and China. Germany is expected to guarantee long-term growth prospects for the coming years with its close partnership with Original Equipment Manufacturers (OEMs) for high-end passenger vehicles such as Audi, Mercedes and BMW.
Due to its high strength, light weight, recyclability, resistance to corrosion and heat and electrical conductivity, aluminum is mainly used in the automotive sector. It is widely used in passenger vehicles, lorries and buses. In addition, approximately 90% of the used aluminum is recycled at the end of vehicle life. Aluminum has recently increased the effectiveness of vehicles by multiple auto makers in multiple parts, such as the hybrid engine compartment, the roof, the damper strut console and the doorframes. For example, Mercedes Benz GLA and Mercedes Benz S class (W222) had a material of approximately 240 kg or 380 kg aluminum as of2016, respectively.
For many car producers, the growing use of secondary or recycled aluminium is a central area. Novelis joined Jaguar Land Rover in February 2016 to introduce a fresh RC5754 alloy with a large content of recycled vehicles of 75 percent in the automotive industry.
The power train segment will grow at CAGR by over 9% in terms of volume from 2019 to 2026.The increased interest in hybrid technology and fuel consumption have had a beneficial influence on the electric cars markets, together with improvement of fuel efficiency and reductions in fuel pollution. In light of the growing demand for electric vehicles in the coming years, hybrid-electric powertrain containing aluminum will represent many possibilities. In terms of income, the request for corporate structures represented more than 30% of the market share in 2018. Increased manufacturing capacity in China, the U.S. and India is ascribed to development. For example, Toyota announced in August 2018 that it intends to open a fresh manufacturing plant in Guangzhou, China, with a capacity rise of about 23 percent a annual.
Aluminum spun cast wheels are used in car manufacturing since they reduce the system weight leading to reduced spring rates and reduced vibration damping. The suspension segment accounted for around 29% of the world automotive aluminum market in terms of volume in 2018 and is anticipated to grow by 6.5% in 2019 to 2026 at CAGR.
End Use Stance
In 2018, passenger vehicles represented almost 70 percent of the market in terms of revenues. The growing demand for lightweight passenger car products is the consequence of the worldwide rigorous CO2 emission legislation. The use of aluminum can significantly reduce the weight of multiple components of a vehicle, leading in increased fuel effectiveness. An increased demand of light commercial vehicles is probable to encourage development in manufacturing of cartons, tiny trucks and electric tiny lorries as a result of changes in transport and logistics, together with strict fuel emitting norms. Using lightweight materials such as aluminum, security alternatives, fuel expenses and effective transport by car in light commercial vehicles. Auto manufacturers ' government initiatives are expected to generate market growth possibilities. In July 2018, the Indian govt announced that the load capability of vehicles would be increased in order to prevent surplus loading and decrease the consumer logistical expenses. In turn, the demand for heavy trucks in Canada is expected to increase.
As regards revenues, Asia Pacific is expected to stay over the forecast era the biggest regional market. In 2018, the area represented more than 35% of the share in revenues. The growing demand for cars, combined with growing investments in national car industry, is the major growth factor in nations such as China and India. The Volkswagen Group announced in July 2018 its investment in India for approximately USD 1.1 billion in 2021, with a view to expanding its presence in the nation. North America is expected to grow by around 11% in terms of income during the forecast era at the lowest CAGR. In the coming years, consumer preference for high-quality, fuels-efficient motor vehicles and tight CAFE laws will increase the use of aluminum in the auto industry in the region to enhance vehicled fuel efficiency. The establishment of fresh plants, policies and innovations is expected to drive the European automotive industry. BMW announced plans, for example, to invest USD 1.7 billion in a fresh vehicle manufacturing company in Hungary in July 2018. The creation of new manufacturing plants in the European automotive sector is therefore projected to boost the demand for aluminum.
Global Automotive Aluminum Market, By End Use
Global Automotive Aluminum Market, By Application
Global Automotive Aluminum Market, By Geography
The market research study on “Automotive Aluminum Market - Global Industry Analysis, Market Size, Opportunities and Forecast, 2019 - 2026” offers detailed insights on global Automotive Aluminum market segments with market dynamics and their impact. The report also covers basic technology development policies.
It offers an assessment of the recent industry trends for each sub-segment between 2015 and 2026, and anticipates income development at worldwide, regional and nation levels. For this research, on the grounds of the end use, application, and region ARC segmenteted the worldwide Automotive Aluminum market report:
Key Players & Strategies
The market suppliers focus on organic development strategies in order to reach a competitive advantage. Constellium introduced, for example, its fresh automotive structure in Zilina, Slovakia, in November 2018. The new plant is a strategy of expansion into the market in Eastern Europe. It manufactures parts for the body structure and aluminum crash management systems.
Key Player in this industry included are UACJ Corporation, AMG Advanced Metallurgical Group, Martinrea Honsel Germany GmbH, Constellium N. V., Bodine Aluminum, Inc., Farinia Group, Endurance Technologies Limited, Dynacast, Aluminium Bahrain (Alba), Aleris, Federal-Mogul Holding Corporation, Dana Holding Corporation, Kaiser Aluminum, ranges Innovative Aluminum Engineering, Norsk Hydro ASA, Ryobi Ltd, NEMAK Innovative Lightweighting, Gibbs Die Casting Corporation, and CITIC Dicastal Co., Ltd.
The growth drivers of automotive aluminum market are the expansion of the automotive industry and increased automotive output.
According to Acumen Research and Consulting, the automotive aluminum market value is anticipated to be worth around US$ 62 billion in 2026.
The automotive aluminum market is anticipated to grow over 8.4% CAGR during the forecast period 2019 to 2026.
The power train segment will grow at CAGR by over 9% in terms of volume from 2019 to 2026.
In 2018, passenger vehicles represented almost 70% of the market in terms of revenues.
As regards revenues, Asia Pacific is expected to stay over the forecast era the biggest regional market. In 2018, the area represented more than 35% of the share in revenues.
North America is expected to grow by around 11% in terms of income during the forecast era at the lowest CAGR.