San Francisco, 17 April 2024: The Report Aluminum Die Casting Market Size, Share & Trends Analysis Report By Application (Transportation, Industrial, Building & Construction), By Production Process, By Region, And Segment Forecasts, 2023 - 2030

The global aluminum die casting market size is expected to reach USD 105.63 billion by 2030, registering CAGR of 5.4% from 2023 to 2030 according to a new report by Grand View Research, Inc. The growth of the telecommunication sector coupled with the increasing demand for lightweight materials from the automotive and aerospace industries is expected to propel the market growth in the coming years.

Die casting is a process, performed by forcing molten aluminum into a steel die (mold) under pressure. Based on production process, the market is segregated into pressure die casting and other processes. Pressure die casting is further segmented into high and low, where the former constitutes a larger share due to its higher production rates. On average, European vehicles consist of 80-100 kilograms of high pressure die casting (HPDC) components. Other types of die casting include vacuum and squeeze, which find use in applications, such as solar sensors and turbine blades.

Aluminum die casting components are extensively used in numerous industries, including transportation, industrial, building and construction, telecommunication, consumer durables, and energy. The transportation industry is anticipated to maintain its lead during the forecast period as it is the key consumer of aluminum die casting. Aluminum die cast parts are used in general road and sports road transportation, heavy vehicles, and aerospace sectors.

Asia Pacific is anticipated to register the fastest growth rate over the forecast period. Progress in manufacturing activities in developing economies of the region is propelling the product demand. For instance, in September 2020, Hyundai Motor began production at its second plant in Vietnam. This is expected to increase the production capacity by 140.0%.

Rising product demand has led to increased competitive rivalry in the market. Major market players are set to gain a competitive edge and recover their losses from the previous year owing to the pandemic, by means of strategic initiatives such as mergers & acquisitions in addition to increasing production capacities.

Request sample report of Aluminum Die Casting Market@ https://www.grandviewresearch.com/industry-analysis/aluminum-die-casting-market/request/rs1

Increasing usage of aluminum in various applications, such as transportation and telecommunication, is expected to boost market growth during the forecast period. A rising preference for high strength and lightweight castings is a prominent driving factor. Manufacturers are required to comply with the regulations, to enhance fuel efficiency and reduce harmful emissions, in the transportation industry. This is possible by the incorporation of lightweight materials in production of the vehicles.

Aluminum Die Casting Market Report Highlights

• Based on application, telecommunication is expected to register the highest CAGR of 7.3% in terms of revenue during the forecast period owing to increasing technological advancements and rising investments in the sector
• In the pressure die casting production process segment, HPDC held the largest revenue share of over 74.0% in 2022 and is anticipated to maintain its lead during the forecast period. This can be attributed to the high preference for HPDC among casting manufacturers owing to the high efficiency of the process
• Asia Pacific held the largest revenue share of more than 50.0% in 2022 on account of the increasing investments in developing economies pertaining to capacity expansions, especially in the transportation industry
• In North America, the U.S. accounted for a revenue share of over 64.0% in 2022. Rising construction spending, coupled with EV production in the country, is expected to prove fruitful for the market growth during the coming years

The U.S. is a prominent producer and consumer of aluminum die casting. The upward growth trajectory of the U.S. market was severely impacted in 2020 as the product demand reduced drastically on account of the emergence of the COVID-19 pandemic, which led to a downfall in both production and consumption activities. However, during this period, the acquisition activities increased significantly wherein global players targeted regional players.

For instance, in March 2020, Martinrea International Inc., which is engaged in the design, development, and manufacturing of propulsion systems and lightweight structures, announced that it has acquired the structural components business segment of Metalsa S.A. de C.V. The acquisition has resulted in the addition of six plants including facilities in the U.S., Mexico, Germany, South Africa, and two in China. The strategic initiative is projected to propel the growth of Martinrea International Inc., thereby expanding its product portfolio and customer base.

Even though, the product demand is expected to remain steady during the forecast period. The rise in military spending in the country, coupled with rising investments in automation and robotics, is anticipated to prove fruitful for the market growth. The U.S. has been ranking first in terms of military spending in the world for the past many years. The utilization of castings in military aircraft and other equipment is likely to augment due to the rising spending in the military sector.

Aluminum Die Casting Market Report Scope

The growth of the building and construction industry is another growth driver for the market. For instance, construction spending in the U.S. increased by 1.7% from December 2020 to January 2021. This is a positive sign for the market. Aluminum die castings find application in windows, curtain walling, shop partitions, cladding, and prefabricated buildings, among others, in the construction industry.

The market growth declined in 2020 and was expected to remain sluggish in 2021 as well because of the pandemic. A steep decline in raw material prices, unemployment, minimal production, and disruptions in transport impacted the manufacturing of the aluminum die castings. For example, primary aluminum prices peaked at USD 1,810 per ton on January 21, 2020, and dropped to 1,421.5 on April 8, 2020.

List of Key Players of Aluminum Die Casting Market

• Alcast Technologies
• BUVO Castings
• Chongqing CHAL Precision Aluminium Co., Ltd.
• Consolidated Metco, Inc.
• Endurance Technologies Limited
• FAIST Group
• GF Casting Solutions
• GIBBS
• Martinrea Honsel Germany GmbH
• Madison-Kipp Corporation
• Ryobi Limited