Metal casting: Key market research findings
- Increase in the production of light vehicles drives the market
- APAC dominates the market geographically
- Key vendors—Alcoa, Bharat Forge, Hitachi Metals, and Precision Castparts
Technavio’s market research analysts estimate the global metal casting market to grow at a CAGR of over 6% between 2016 and 2020. The rise in the production of light vehicles is the primary driver for the market. The growth in the of production of light vehicles is expected to create an increased demand for new vehicles, and thereby the replacement of old metal casting products with more energy-efficient metal casting solutions. Currently, the APAC region dominates the global metal casting market by accounting for a market share of more than 61%. The growth of the automotive and industrial sectors in APAC, especially in emerging economies such as India and Indonesia, is expected to boost growth in the metal casting market in APAC by 2020.
The new market research report from Technavio presents a breakdown and analysis of the metal casting segments by product.
“The increase in demand for hybrid vehicles is an ongoing trend in the market. Used both in passenger and commercial cars, hybrid technology in vehicles are becoming increasingly popular due to their relatively better fuel efficiency. Stringent legislations imposed by regulatory bodies with respect to vehicle emissions is also augmenting the demand for hybrid vehicles across the globe. During the forecast period, Japan and the US are expected to account for the majority share of the demand for hybrid vehicles,” says Anju Ajaykumar, Lead Analyst, Heavy Industry, Technavio Research.
During 2015, the ferrous casting segment accounted for more than 81% of the total market share to dominate the global metal casting market. This segment of the market is thriving due to the need for greater tensile strength. The increasing demand for ferrous casting from the automotive industry is expected to propel growth in the global ferrous casting market during the forecast period.
The key vendors in the global metal casting market include Alcoa, Bharat Forge, Hitachi Metals, and Precision Castparts. The international providers in the metal casting market have developed a wide range of energy efficient metal heat treatment solutions, and these vendors are offering products for almost all end-user applications. Also, the market has many local vendors that are mostly catering to demand from a particular end-user application. Rising investments in the automotive sector in Asia and Africa will drive the metal casting market during the forecast period. For instance, during 2015 two of the world’s biggest automobile makers had announced investments in South Africa of more than $737 million. Such investments provide a prospective market for the metal casting vendors.
A more detailed analysis is available in the Technavio report, Global Metal Casting Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
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