Car manufacturers across the globe are focusing on light weighting their vehicles for better fuel efficiency by utilizing aluminum in the body and different parts of vehicles. Use of aluminum is increasing in modern cars. Aluminum casting, extrusion, forging, and sheets are used to manufacture car parts such as closures, chassis, suspensions, and wheels. Employment of aluminum allows direct weight saving of up to 50%, as compared to other materials that are used in vehicles. Manufacturers are focusing on reducing mass of the vehicle to achieve benefits such as better acceleration, which is directly reflected by the power-to-weight ratio. Light weighting allows downsizing of breaks, improves road handling by reducing the weight of the vehicle, thus increasing vehicle stability.
Regulatory bodies of different countries across the globe have started implementing stringent CO2 emission standards in order to reduce global warming. The average CO2 emission from vehicles in Europe is projected to decrease by an average of 3.9% from 2010 to 2020. Similarly, countries such the U.S., China, and India are imposing tough emission norms. This is anticipated to drive the automotive aluminum alloy OE market at a rapid pace during the forecast period. Growing demand for electric vehicles across the globe, owing to stricter emission norms by regulatory bodies and rise in preference for battery electric vehicles by consumers, is anticipated to boost the usage of aluminum alloy during the forecast period. Rise in demand for vehicle safety and fuel-efficient vehicles among consumers is expected to drive the automotive aluminum alloy OE market during the forecast period.
The global automotive aluminum alloy OE market has been segmented based on application, vehicle type, electric vehicle type, and region. In terms of application type, the automotive aluminum alloy OE market has been segregated into engine components, wheels, driveline, heat exchangers, and others. In order to reduce overall weight of the vehicle, manufacturers are opting for lightweight wheels which provide better acceleration and stability, increase comfort, and reduce the weight of the wheels and hammering effect on uneven roads. Therefore, the wheels sub-segment is likely to grow during the forecast period. Heat exchangers are extensively employed in vehicles for various applications such as engine cooling, fuel cooling, condenser and evaporators for air conditioning system. Aluminum alloy has high thermal conductivity, corrosion resistance property and good formability owing to which aluminum is used in heat exchangers. Hence, the heat exchanger segment is projected to expand at a significant pace during the forecast period.
In terms of electric vehicle, the automotive aluminum alloy OE market has been classified into battery electric vehicles, hybrid electric vehicles, and plug-in hybrid electric vehicles. Demand for aluminum alloys is likely to increase during the forecast period due to the introduction of lightweight alternative power trains in electric vehicles and the rise in demand for heat exchangers to cool electronics and batteries. Light weighting is an easy way to make electric vehicles energy-efficient. Implementation of stringent emission norms by governments and green transport initiatives are likely propel the demand for electric vehicles across the globe. These, in turn, are anticipated to drive the aluminum alloy market during the forecast period.
In terms of regions, the automotive aluminum alloy OE market has been divided into North America, Europe, Asia Pacific, Middle East & Africa, and Latin America. Geographical analysis is based on production trends, political reforms, regulation changes, and demand. Asia Pacific dominates the global automotive aluminum alloy OE market owing to the presence of a prominent automotive industry in China, Japan, and India. Rise in vehicle production across this region is anticipated to boost the automotive aluminum alloy OE market during the forecast period. Increase in production and sales of electric vehicles, especially in China, is expected to drive the automotive aluminum alloy OE market in the country during the forecast period. In Europe, an average of 140 kg aluminum is used in vehicles. Rising trend of electric vehicles in Europe is anticipated to boost the usage of aluminum in the automotive industry. Increase in the number of lightweight vehicles and stringent emission norms are expected to drive the aluminum alloy market in North America during the forecast period.
Key players operating in the global automotive aluminum alloy OE market are expected to benefit from the formation of strategic alliances with other global players. These players have strong global presence, firm establishments, and diverse product portfolios. Prominent players operating in the global automotive aluminum alloy OE market include Arconic, AUSTEM COMPANY LTD., Constellium N.V., Bharat Forge, UACJ Corporation, FLEX-N-GATE CORPORATION, GORDON AUTO BODY PARTS CO., LTD., KIRCHHOFF Automotive GmbH , ALERIS, Magna International Inc., Novelis, Norsk Hydro ASA , NanShan Group, and Granges.
Automotive Aluminum Alloy (OE) Market - Overview
This report analyzes and forecasts the OE market for automotive aluminum alloy at the global and regional level. The OE market has been forecasted, based on revenue (in US$ Mn) from 2018 to 2026. The study includes drivers and restraints of the global automotive aluminum alloy OE market. It also covers the impact of these drivers and restraints on the demand for aluminum during the forecast period. Furthermore, the report highlights opportunities in the automotive aluminum alloy OE market at the global and regional level.
The report comprises a detailed value chain analysis, which provides a comprehensive view of the global automotive aluminum alloy market. The Porter’s Five Forces model for the automotive aluminum alloy OE market has also been included to help understand the competitive landscape of the market. The study encompasses market attractiveness analysis, wherein all segments are benchmarked based on their market size, growth rate, and general attractiveness.
The study provides a decisive view of the global automotive aluminum alloy OE market for vehicles by segmenting it in terms of by application, electric vehicle, vehicle type, and region. These segments have been analyzed based on present and future trends. Regional segmentation includes the current and forecast demand for automotive aluminum alloys in North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. The report also covers demand for individual application segments in all regions.
The study includes profiles of major companies operating in the global automotive aluminum alloy OE market. Key players operating in the automotive aluminum alloy market include Arconic, AUSTEM COMPANY LTD., Constellium N.V., Bharat Forge, UACJ Corporation, FLEX-N-GATE CORPORATION, GORDON AUTO BODY PARTS CO., LTD., KIRCHHOFF Automotive GmbH , ALERIS, Magna International Inc., Novelis, Norsk Hydro ASA , NanShan Group, and Granges. Market players have been profiled in terms of attributes, such as company overview, financial overview, business strategies, recent developments, and manufacturing footprints. The OE market for automotive aluminum alloy is primarily driven by the rising demand for vehicles across the globe and enhancing vehicle electrification.
The report provides the estimated OE market size of automotive aluminum alloy for 2017 and forecast for the next nine years. The global market size of automotive aluminum alloy has been provided in terms of revenue and volume. Market numbers have been estimated based on key application, electric vehicle type, and vehicle type for regional segments of automotive aluminum alloy market. Market size and forecast for each major application type, electrical vehicle type, and vehicle type have been provided in terms of global and regional/country markets.
In order to compile the research report, we have conducted in-depth interviews and discussions with a number of key industry participants and opinion leaders. Primary research represents the bulk of research efforts, supplemented by extensive secondary research. We have reviewed key players’ product literature, annual reports, press releases, and relevant documents for competitive analysis and market understanding. Secondary research also includes a search on recent trade, technical writing, internet sources, and statistical data from government websites, trade associations, and agencies. This has proven to be a reliable, effective, and successful approach for obtaining precise market data, capturing industry participants’ insights, and recognizing business opportunities.
Secondary research sources typically referred to include, but are not limited to, company websites, annual reports, financial reports, broker reports, investor presentations, and SEC filings, internal and external proprietary databases, relevant patent and regulatory databases, national government documents, statistical databases, and market reports, news articles, press releases, and webcasts specific to companies operating in the market, American Automobile Association, European Automobile Manufacturers Association, Automotive Research Association of India, Organization International des Constructeurs d'Automobile (OICA), Factiva, EUROPEAN ALUMINIUM AV., The Aluminum Association (North America) and etc.
Primary research involves e-mail interactions, telephonic interviews, linked-in interviews, and face-to-face interviews for each market, category, segment, and sub-segment across geographies. We have conducted primary interviews on an ongoing basis with industry participants and commentators in order to validate the data and analysis. Primary interviews provide firsthand information on market size, market trends, growth trends, competitive landscape, market outlook, etc. These help validate and strengthen secondary research findings. These also help develop the analysis team’s expertise and market understanding.
The automotive aluminum alloy OE market has been segmented as follows:
- Global Automotive Aluminum Alloy OE Market, by Application
- Engine Component
- Heat Exchangers
- Body Parts
- Global Automotive Aluminum Alloy OE Market, by Electric Vehicle Application
- Engine Component
- Heat Exchangers
- Body Parts
- Global Automotive Aluminum Alloy OE Market, by Vehicle Type
- Passenger Vehicle type
- Light Commercial Vehicle type
- Heavy Commercial Vehicle type
- Global Automotive Aluminum Alloy OE Market, by Region
- North America
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- Middle East & Africa
- South Africa
- Rest of Middle East & Africa
- Latin America
- Rest of Latin America
- North America