Aluminum Forging Market By Product Type (Open Die Forging, Close Die Forging and Ring Rolled Forging), By Application (Aerospace, Automotive, Defense and Others) – Growth, Future Prospects and Competitive Analysis, 2019 – 2027

Market Synopsis

The global aluminum forging market is anticipated to expand at a CAGR of 5.4% during the forecasted period from 2019 to 2027, beginning at a value of US$ 11.60 Bn in 2018. The significant surge in demand for aluminum in the automotive and aerospace sectors stands out as a pivotal driver for this market growth. Aluminum forging involves the process of compressing aluminum under pressure. Through this technique, industries like defense, mining, construction, and automotive obtain high-strength, lightweight aluminum components. The increasing demand for aluminum forging due to its attributes like low density, malleability, and toughness significantly influences market growth. Consequently, we project robust growth for the aluminum forging market throughout the forecast period.

Regional Insights

In North America, we anticipate a CAGR of 5.5% in revenue terms during the forecast period. The rise in U.S. defense aircraft orders from other nations is predicted to boost market growth. For example, Jordan placed an order for 70 new F-16 fighter jets in 2022, and Bahrain is scheduled to receive 70 F-16 fighter jets by 2024.

Europe is projected to grow at a CAGR of 5.1% in revenue over the forecast period. In 2022, Germany held 35.0% of the European market’s revenue share and remains a leading producer of aluminum forged components in Europe. The rising demand for lightweight components by the automotive sector in the country drives this product’s demand. In December 2022, for instance, Mercedes, a German-based company, ordered low-carbon aluminum from Norsk Hydro, adhering to European emission standards. Mercedes plans to use these aluminum forged components in several car models in 2023, aiming for net-zero carbon emissions by 2030.

For the forecast period, the Asia Pacific region is expected to grow at a CAGR of 6.6% in terms of revenue. The region’s increasing investment in modernizing their defense and aerospace sectors could amplify market growth. In 2018, Asia Pacific dominated the aluminum forging market in terms of value, accounting for roughly 35% of the revenue share that year. The booming manufacturing industry in developing economies like China and India significantly influences this growth. Moreover, significant investments directed towards the construction and manufacturing sectors further boost the region’s growth. Given these factors, we anticipate the Asia Pacific will maintain its market leadership throughout the forecast.

Key Players

Prominent players in the aluminum forging market include Aichi Steel, Alcoa Corporation, Bharat Forge Limited, Nippon Steel Corporation, ThyssenKrupp AG, Aluminum Precision Products, American Handforge, KITZ CORPORATION, Ellwood Group Inc, Arconic Inc., and more.

Market Drivers

The global aluminum forging market’s main driver is the escalating demand for lightweight materials in transportation sectors like automotive, aerospace, and marine. Aluminum forgings possess a superior strength-to-weight ratio and outstanding corrosion resistance, making them perfect for structural and safety components in vehicles and aircraft. The rise of renewable energy industries, such as wind and solar power, also propels the demand for aluminum forgings in turbines and frames. Furthermore, the increasing need for aluminum forgings in the defense sector, for applications like armor plating, continues to stimulate the market’s growth.

Aerospace and automotive sectors are the primary consumers of aluminum forging. In aerospace, it’s used for making airframe components, landing gears, and engine parts. The growing demand for lightweight components and heightened focus on fuel efficiency are expected to amplify the market’s growth. In the automotive sector, aluminum forging aids in creating suspension components, engine parts, and transmission systems. The rising popularity of electric and hybrid vehicles could further heighten the demand.

Market Trends

Rising demand for aluminum forged products is evident in the automotive and transport sectors. In automobiles, aluminum is frequently used in components like engine radiators, wheels, bumpers, engine blocks, gearbox bodies, and exterior parts like doors and frames due to its lightness, durability, and aesthetic appeal. With the automotive industry’s emphasis on fuel efficiency and CO2 emission reduction, aluminum’s role in modern vehicles becomes even more crucial. It’s worth noting that using more aluminum in vehicles reduces their overall weight, prompting manufacturers to produce more car parts from aluminum.

Aluminum’s shock absorption capability, which is twice as effective as steel, is another notable feature. This property has led manufacturers to use aluminum in bumpers for many years. Moreover, in a collision, an aluminum body retains its shape better than steel, ensuring the safety of the vehicle’s occupants. In 2021, global vehicle production and sales witnessed an uptick. According to the Organisation Internationale des Constructeurs d’Automobiles (OICA), vehicle production hit 8,01,45,988 in 2021, marking a 3% increase from the previous year.

Market Restraints

The global aluminum forging market does face challenges. Fluctuations in aluminum prices can strain manufacturers’ profit margins. The substantial capital investment needed to establish forging facilities might discourage newcomers. The growing popularity of alternative materials like composites and plastics for specific applications may also impact market growth.

Recent Developments

The automotive sector is expected to maintain its dominance in the aluminum forging market. It was the most significant contributor in terms of value in 2018, accounting for about a third of the revenue share in that year. The increasing application of aluminum in the automotive sector due to its lightweight, low density, and other benefits has elevated its role in vehicle production. Thus, we predict the automotive sector will continue to lead the aluminum forging market throughout the forecast period.

Historical & Forecast Period

This report provides an analysis for each segment from 2017 to 2027, using 2018 as the base year. The forecast period’s Compounded Annual Growth Rate (CAGR) for each segment is calculated from 2019 to 2027.

Report Scope by Segments

The aluminum forging market report provides market size and estimates based on market dynamics and key trends observed in the industry. The report provides a holistic view of the global aluminum forging market based on product type, application, and geography. Key segments covered in the report are as follows:

Segmentation  Product Type Segment (2017–2027; US$ Bn)

• Open Die Forging
• Close Die Forging
• Ring Rolled Forging

Application Segment (2017–2027; US$ Bn)

• Aerospace
• Automotive
• Defense
• Others (Construction, Mining, etc.)

Geography Segment (2017–2027; US$ Bn)

• North America (U.S. and Rest of North America)
• Europe (U.K., Germany, France, and Rest of Europe)
• Asia Pacific (Japan, China, India, and Rest of Asia Pacific)
• Rest of World (Middle East & Africa (MEA), Latin America)

Unique data points of this report

• Statistics on aluminum forging worldwide
• Recent trends across different regions in terms of adoption of aluminum forging across various applications
• Notable developments going on in the aluminum forging market
• Attractive investment proposition for segments as well as geography
• Comparative scenario for all the segments for years 2018 (actual) and 2027 (forecast)

Chapter 1 Preface
1.1 Report Scope and Description
1.1.1 Study Purpose
1.1.2 Target Audience
1.1.3 USP and Key Offerings
1.2 Research Scope
1.3 Research Methodology
1.3.1 Phase I – Secondary Research
1.3.2 Phase II – Primary Research
1.3.3 Approach Adopted
1.3.4 Top-Down Approach
1.3.5 Bottom-Up Approach
1.3.6 Phase III – Expert Panel Review
1.3.7 Assumptions
1.4 Market Segmentation

Chapter 2 Executive Summary
2.1 Market Snapshot: Global AF Market
2.1.1 Global AF Market, by Product Type, 2018 (US$ Mn)
2.1.2 Global AF Market, by Application, 2018 (US$ Mn)
2.1.3 Global AF Market, by Geography, 2018 (US$ Mn)

Chapter 3 Market Dynamics
3.1 Introduction
3.2 Market Dynamics
3.2.1 Market Drivers
3.2.2 Market Restraint
3.3 Attractive Investment Proposition, by Geography, 2018
3.4 Market Positioning of Key AF Manufacturers, 2018

Chapter 4 Global Aluminum Forging (AF) Market, by Product Type
4.1 Overview
4.1.1 Global AF Market Value Share, by Product Type, 2018 & 2027 (Value, %)
4.2 Open Die Forging
4.2.1 Global Open Die Forging Market Value, 2017 – 2027 (US$ Mn)
4.3 Close Die Forging
4.3.1 Global Close Die Forging Market Value, 2017 – 2027 (US$ Mn)
4.4 Ring Rolled Forging
4.4.1 Global Ring Rolled Forging Market Value, 2017 – 2027 (US$ Mn)

Chapter 5 Global Aluminum Forging (AF) Market, by Application
5.1 Overview
5.1.1 Global AF Market Value Share, by Application, 2018 & 2027 (Value, %)
5.2 Aerospace
5.2.1 Global AF Market Value from Aerospace, 2017 – 2027 (US$ Mn)
5.3 Automotive
5.3.1 Global AF Market Value from Automotive, 2017 – 2027 (US$ Mn)
5.4 Defense
5.4.1 Global AF Market Value from Defense, 2017 – 2027 (US$ Mn)
5.5 Others (Construction, Mining, etc.)
5.5.1 Global AF Market Value from Others (Construction, Mining, etc.), 2017 – 2027 (US$ Mn)

Chapter 6 North America Aluminum Forging (AF) Market Analysis, 2017 – 2027 (US$ Mn)
6.1 Overview
6.2 North America AF Market Analysis, by Product Type, 2017 – 2027 (US$ Mn)
6.2.1 Market Analysis
6.3 North America AF Market Analysis, by Application, 2017 – 2027 (US$ Mn)
6.3.1 Market Analysis
6.4 North America AF Market, by Country, 2017 – 2027 (US$ Mn)
6.4.1 Market Analysis
6.4.2 U.S.
6.4.3 Rest of North America

Chapter 7 Europe Aluminum Forging (AF) Market Analysis, 2017 – 2027 (US$ Mn)
7.1 Overview
7.2 Europe AF Market Analysis, by Product Type, 2017 – 2027 (US$ Mn)
7.2.1 Market Analysis
7.3 Europe AF Market Analysis, by Application, 2017 – 2027 (US$ Mn)
7.3.1 Market Analysis
7.4 Europe AF Market, by Country, 2017 – 2027 (US$ Mn)
7.4.1 Market Analysis
7.4.2 U.K.
7.4.3 Germany
7.4.4 France
7.4.5 Rest of Europe

Chapter 8 Asia Pacific Aluminum Forging (AF) Market Analysis, 2017 – 2027 (US$ Mn)
8.1 Overview
8.2 Asia Pacific AF Market Analysis, by Product Type, 2017 – 2027 (US$ Mn)
8.2.1 Market Analysis
8.3 Asia Pacific AF Market Analysis, by Application, 2017 – 2027 (US$ Mn)
8.3.1 Market Analysis
8.4 Asia Pacific AF Market, by Country, 2017 – 2027 (US$ Mn)
8.4.1 Market Analysis
8.4.2 China
8.4.3 Japan
8.4.4 India
8.4.5 Rest of Asia Pacific

Chapter 9 Rest of the World (RoW) Aluminum Forging (AF) Market Analysis, 2017 – 2027 (US$ Mn)
9.1 Overview
9.2 RoW AF Market Analysis, by Product Type, 2017 – 2027 (US$ Mn)
9.2.1 Market Analysis
9.3 RoW AF Market Analysis, by Application, 2017 – 2027 (US$ Mn)
9.3.1 Market Analysis
9.4 RoW AF Market, by Region (US$ Mn)
9.4.1 Market Analysis
9.4.2 Middle East & Africa (MEA)
9.4.3 Latin America

Chapter 10 Company Profiles
10.1 Aichi Steel
10.2 Alcoa Corporation
10.3 Bharat Forge Limited
10.4 Nippon Steel Corporation
10.5 thyssenkrupp AG
10.6 Aluminum Precision Products
10.7 American Handforge
10.8 KITZ CORPORATION
10.9 Ellwood Group Inc.
10.10 Arconic Inc.

List of Figures

FIG. 1 Global Aluminum Forging (AF) Market: Research Methodology
FIG. 2 Market Size Estimation – Top Down & Bottom up Approach
FIG. 3 Global AF Market Segmentation
FIG. 4 Global AF Market, by Product Type, 2018 (US$ Mn)
FIG. 5 Global AF Market, by Application, 2018 (US$ Mn)
FIG. 6 Global AF Market, by Geography, 2018 (US$ Mn)
FIG. 7 Attractive Investment Proposition, by Geography, 2018
FIG. 8 Market Positioning of Key AF Manufacturers, 2018
FIG. 9 Global AF Market Value Share, by Product Type, 2018 & 2027 (Value, %)
FIG. 10 Global Open Die Forging Market Value, 2017 – 2027 (US$ Mn)
FIG. 11 Global Close Die Forging Market Value, 2017 – 2027 (US$ Mn)
FIG. 12 Global Ring Rolled Forging Market Value, 2017 – 2027 (US$ Mn)
FIG. 13 Global AF Market Value Share, by Application, 2018 & 2027 (Value, %)
FIG. 14 Global AF Market Value from Aerospace, 2017 – 2027 (US$ Mn)
FIG. 15 Global AF Market Value from Automotive, 2017 – 2027 (US$ Mn)
FIG. 16 Global AF Market Value from Defense, 2017 – 2027 (US$ Mn)
FIG. 17 Global AF Market Value from Others (Construction, Mining, etc.), 2017 – 2027 (US$ Mn)

List of Tables

TABLE 1 Market Snapshot: Global Aluminum Forging (AF) Market Value
TABLE 2 North America AF Market Value, by Product Type, 2017 – 2027 (US$ Mn)
TABLE 3 North America AF Market Value, by Application, 2017 – 2027 (US$ Mn)
TABLE 4 North America AF Market Value, by Country, 2017 – 2027 (US$ Mn)
TABLE 5 Europe AF Market Value, by Product Type, 2017 – 2027 (US$ Mn)
TABLE 6 Europe AF Market Value, by Application, 2017 – 2027 (US$ Mn)
TABLE 7 Europe AF Market Value, by Country, 2017 – 2027 (US$ Mn)
TABLE 8 Asia Pacific AF Market Value, by Product Type, 2017 – 2027 (US$ Mn)
TABLE 9 Asia Pacific AF Market Value, by Application, 2017 – 2027 (US$ Mn)
TABLE 10 Asia Pacific AF Market Value, by Country, 2017 – 2027 (US$ Mn)
TABLE 11 RoW AF Market Value, by Product Type, 2017 – 2027 (US$ Mn)
TABLE 12 RoW AF Market Value, by Application, 2017 – 2027 (US$ Mn)
TABLE 13 RoW AF Market Value, by Region, 2017 – 2027 (US$ Mn)
TABLE 14 Aichi Steel: Company Snapshot (Business Description; Product Portfolio; Financial Information; Business Overview and Recent Development)
TABLE 15 Alcoa Corporation: Company Snapshot (Business Description; Product Portfolio; Financial Information; Business Overview and Recent Development)
TABLE 16 Bharat Forge Limited: Company Snapshot (Business Description; Product Portfolio; Financial Information; Business Overview and Recent Development)
TABLE 17 Nippon Steel Corporation: Company Snapshot (Business Description; Product Portfolio; Financial Information; Business Overview and Recent Development)
TABLE 18 thyssenkrupp AG: Company Snapshot (Business Description; Product Portfolio; Financial Information; Business Overview and Recent Development)
TABLE 19 Aluminum Precision Products: Company Snapshot (Business Description; Product Portfolio; Financial Information; Business Overview and Recent Development)
TABLE 20 American Handforge: Company Snapshot (Business Description; Product Portfolio; Financial Information; Business Overview and Recent Development)
TABLE 21 KITZ CORPORATION: Company Snapshot (Business Description; Product Portfolio; Financial Information; Business Overview and Recent Development)
TABLE 22 Ellwood Group Inc.: Company Snapshot (Business Description; Product Portfolio; Financial Information; Business Overview and Recent Development)
TABLE 23 Arconic Inc.: Company Snapshot (Business Description; Product Portfolio; Financial Information; Business Overview and Recent Development)