Global Automotive Lightweight Materials Market: Analyst’s Estimations
Fossil fuels are in limited resources and cause strong pollution. On the back of escalating concerns regarding global warming, a number of nations have come together to promote efforts that can help in curtailing greenhouse gas emission or at least increase energy efficiency. As a result, the automotive industry has come to a crossroads where future vehicles need to be driven by electric charge or be made lightweight for greater fuel efficiency. Metals such as steel, magnesium, and aluminum and plastic compounds such as polypropylene and high density polyethylene are ideal materials for the changing times.
This business intelligence study projects the demand in the global automotive lightweight materials market to propagate at a CAGR of 8.3% during the forecast period of 2017 to 2024. Volume-wise, this study has forecasted that there will be a demand of 139,046 kilo tons of lightweight materials from the automotive industry by 2024 across the world. Revenue-wise, the global automotive lightweight materials market is estimated to attain a valuation of US$301,362.2 mn by the end of 2024.
Lightweight materials are of high importance for automotive manufactures irrespective of whether they are producing conventional fossil fuel vehicles or concentrating on the commercialization of electric cars. With these materials, the overall weight of the vehicle goes considerably down and in turn they consume lesser fuel or require reduced battery charge for acceleration and sustaining speed. Apart from this striking benefit, the automotive lightweight materials market is also driven by stringent regulations regarding CO2 emission in several countries. On the other hand, high cost of lightweight materials as compared to steel and aluminum is a restraint that needs to be overcome before this market attains its true potential.
Plastic Materials Segment Poised for Strong Growth
Based on material, the market for automotive lightweight materials is segmented into plastic, metal, composites, and rubber. As of 2017, the metal segment provided for the maximum chunk of revenue, at US$102,841.4 mn, and is primed to maintain its dominant position until 2024 end. However, the demand for the plastic segment is projected for a much stronger CAGR of 9.8% during the forecast period of 2017 to 2024, expanding its demand share nearly to a third of the global demand by 2024. Metals are largely used in vehicles all over the world. AHSS and UHSS are employed in the body, chassis, and suspensions of automobiles. Aluminum and magnesium alloys are also finding their way into automotive components due to their ability to provide a lightweight structure while also being as strong and rigid as conventional steel.
Plastics, on the other hand, are versatile in terms of adopting to new shape designs without compromising on comfort, safety, stability of the car, and appearance. Polypropylene (PP), high density polyethylene (HDPE), polyvinyl chloride (PVC), acrylonitrile butadiene styrene (ABS), polycarbonate (PC), and polyurethane (PU) are sub-segments of plastic materials used by the automotive industry. Plastic’s strength and durability also plays an important role in expanding the average lifespan of a vehicle to over 12 years by providing better protection against corrosion, for instance.
The report also bifurcates the automotive lightweight materials market on the basis of vehicle type, into passenger cars, commercial vehicles, and heavy trucks and buses, and by application into structural, interior, exterior, and under bonnet. The passenger cars segment has been further sub-segmented into compact cars, mid-size cars, premium cars, and luxury cars.
North America and Europe Most Lucrative Regions
Geographically, North America and Europe were the two regions with maximum potential as of 2017, and both are expected to hold onto their leading position in terms of demand until 2024 too. In terms of revenue, the North America automotive lightweight materials market is estimated to be worth US$98,156.7 mn by 2024, whereas the European market for the same will attain a valuation of US$97,732.7 mn by the same year. Both these regions are driven by growing adoption of electric vehicles and the presence of several leading automotive players. China and India are expected to lead in term of demand from the Asia Pacific region, as both emerging economies are heavily populated.
ArcelorMittal, Grupo Antolin, Lear Corporation, and LyondellBasell Industries Holdings B.V. are a few key players in the global automotive lightweight materials market.
Global Automotive Lightweight Materials Market: Overview
This report analyzes and forecasts the market for Automotive Lightweight Materials at the global and regional level. The market has been forecast based on revenue (US$ Mn) & Volume (Kilo Tons) from 2017 to 2024. The study includes drivers and restraints of the global Automotive Lightweight Materials market. It also covers the impact of these drivers and restraints on demand for Automotive Lightweight Materials during the forecast period. The report also highlights opportunities in the Automotive Lightweight Materials market at the global and regional level.
The report comprises a detailed value chain analysis, which provides a comprehensive view of the global Automotive Lightweight Materials market. Porter’s Five Forces model for the Automotive Lightweight Materials market has also been included to help understand the competitive landscape in the market. The study encompasses market attractiveness analysis, wherein various application areas of automotive lightweight materials are benchmarked based on their market size, growth rate, and general attractiveness.
Global Automotive Lightweight Materials Market: Scope of the Study
The study provides a decisive view of the global Automotive Lightweight Materials market by segmenting it in terms product and end use. These segments have been analyzed based on present and future trends. Regional segmentation includes the current and forecast demand for Automotive Lightweight Materials in North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.
The report provides the estimated market size of Automotive Lightweight Materials for 2016 and forecast for the next seven years. The global market size of Automotive Lightweight Materials has been provided in terms of volume and revenue. Market numbers have been estimated based on product, vehicle type and application segment of Automotive Lightweight Materials. Market size and forecast for each major product, vehicle type and application have been provided in terms of global and regional markets.
Global Automotive Lightweight Materials Market: Research Methodology
In order to compile the research report, we 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 reviewed key players’ product literature, annual reports, press releases, and relevant documents for competitive analysis and market understanding. Secondary research also includes a search of recent trade, technical writing, internet sources, and statistical data from government websites, trade associations, and agencies. This has proven to be the most reliable, effective, and successful approach for obtaining precise market data, capturing industry participants’ insights, and recognizing business opportunities.
Secondary research sources that are 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, and 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, OICA, ACES, Autoworld, GALM, etc.
Primary research involves e-mail interactions, telephonic interviews, and face-to-face interviews for each market, category, segment, and sub-segment across geographies. We conduct 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, and outlook, etc. These help validate and strengthen secondary research findings. These also help develop the analysis team’s expertise and market understanding.
Global Automotive Lightweight Materials Market: Competitive Analysis
The study includes profiles of major companies operating in the global Automotive Lightweight Materials market. Key players profiled in the report include Automotive Lightweight Materials market include BASF SE, The Dow Chemical Company, Momentive Performance Materials, LANXESS AG, Lear Corporation, Faurecia S.A., Magna International and others. Market players have been profiled in terms of attributes such as company overview, financial overview, business strategies, recent developments, and SWOT analysis.
The report segments the global Automotive Lightweight Materials market as:
- Polypropylene (PP)
- High Density Polyethylene (HDPE)
- Polyvinyl Chloride (PVC)
- Acrylonitrile Butadiene Styrene (ABS)
- Polycarbonate (PC)
- Polyurethane (PU)
- Other Alloys
By Vehicle Type
- Passenger Cars
- Compact Cars
- Commercial Vehicles
- Heavy Trucks and Buses
- Under Bonnet
- North America
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- Latin America
- Rest of Latin America
- Middle East & Africa (MEA)
- South Africa
- Rest of MEA