A huge price war has recently erupted in the Global Heat Treating Market because local vendors are finding it difficult to compete with international market players in terms of quality, features, and service. Furthermore, high initial investment costs make it difficult for emerging companies to make headway against already well-established international and regional vendors.
To increase their operational efficiency, several organizations are streamlining their operational processes. In addition, to develop cost-effective, quality products that are competitive in the international markets, companies are now automating their factory operations for improved business operation.
Thankfully for vendors, several companies across industries such as Automotive, Aerospace, and Rail Industries has vastly increased the adoption of heat treatment processes to improve production. The value of the Global Auto Component market alone is expected to more than double to US$ 2.31 trillion by 2016, which means that the automotive industry will be producing more products, most of which require heat treatments. Materials used in any automobile consist of approximately:
- 70 percent iron and steel
- 9 percent plastic
- 6 percent aluminum
- 3 percent glass
- 12 percent other miscellaneous materials.
Various types of heat treatment and surface engineering processes are applied to these materials to enhance the performance of the automotive components.
In order to combat intense market competition, companies are integrating heat treatment processes with the production lines as an operational strategy. The seamless integration of heat treatment in production lines allows the manufactured part to be heat treated, inspected and finished, all in the same place. This increases the operational efficiency of manufacturing organizations.
Until recently, machine shops had to make several different stops in order to get their parts heat treated, inspected and finished which was both time consuming and costly. This new trend has already had a positive impact on the Global Heat Treating Market and is expected to help fuel market growth at a CAGR of 7.27 percent for the 2012-2016 period.
For more information, view our 2012-2016 Global Heat Treating Market report.
