Automotive Magnesium Alloy Market -Outline
The use of magnesium alloy in vehicles can, and does, lower overall weight and improve each of these conditions. Many large automotive companies have already replaced steel and aluminum with automotive magnesium alloy in various parts of their products. Audi, Daimler (Mercedes-Benz), Ford, Jaguar, Fiat and Kia Motors Corporation are just a few of these companies. Automotive magnesium alloy is currently being used in gearbox, front end and IP beams, steering column and driver’s air bag housings as well as in steering wheels, seat frames and fuel tank covers.
The usage of magnesium alloy in automotive applications can provide more than just a weight savings. For a number of years, the desire to identify challenges, solutions, and opportunities regarding the use of automotive magnesium alloy has been growing. Magnesium usage on the front end of a vehicle provides not just a lower overall mass for the car, but also allows for the shifting of the center of gravity towards the rear of the car improving handling and turning capabilities. In addition, frequencies that reduce vibration and overall noise can be achieved through the tuning of magnesium parts. Steel components in vehicles can be replaced by a single cast piece of magnesium adding to the strength of the material and allowing for housings to be cast into place. This castability also requires less tooling and gauges which lowers manufacturing cost.
Automotive magnesium alloy is defined as the mixture of magnesium with other metals such as aluminum, silicon, copper, zinc, manganese, zirconium, and rare earth metals. Aluminum is a common alloying element. It possesses various properties such as hexagonal lattice structure, high strength, high thermal stability, rigidity, high specific strength, and ductility which make it a light metal alloy that is used extensively in the manufacturing of automobile and original equipment manufacturing (OEM). Automotive magnesium alloy is used in the manufacturing of various interior parts of a vehicle, chassis such as in crank shaft, mounts, housings, oil pumps, cylinder crankcase, radiator support or carrier magnesium alloys, and other body parts which improve the aero dynamic performance of the vehicle by reducing its overall weight in the front of the vehicle. Magnesium alloys, in their cast forms, are generally used in applications such as high-performance vehicles, die-cast magnesium, camera bodies, and components in lenses. It also possesses properties such as scratch resistance as compared to aluminum and steel and helps in reducing vibrations and noise. In terms of chemical composition, most of the commercial magnesium alloys contain aluminum (3% to 13%) and manganese (0.1% to 0.4%). Many of them also contain zinc (0.5% to 3%) and some are hardened by heat treatment. They are suitable for use in more than one product form. For the purpose of extrusion, a wide range of shapes, bars, and tubes are made from M1 alloy where low strength is sufficient.
Factors such as trend in the automotive industry toward reducing the weight of vehicles to improve its performance is a major driver of the automotive magnesium alloy market. In addition to this, increase in investment in automotive manufacturing by emerging economies such as China and India is also boosting the automotive magnesium alloy market. Furthermore, improved R&D in providing vehicles with specifications such as aerodynamics and center of gravity is also propelling the growth of the automotive magnesium alloy market.
Factors such as poor corrosion resistance properties, variable properties of magnesium alloy in high pressure die cast (HPDC) parts, etc. are hindering the growth of the automotive magnesium alloy market. Moreover, magnesium, being a flammable element, is a major deterrent to the growth of the automotive magnesium alloy market.
On the basis of product type, the automotive magnesium alloy market can be segmented into wrought magnesium alloy and cast magnesium alloy.
In terms of end-use application, the automotive magnesium alloy market can be divided into passenger vehicles and commercial vehicles.
Based on geography, the automotive magnesium alloy market can be classified into North America, Latin America, Europe, Asia Pacific, and Middle East & Africa. Among these, Asia Pacific is the dominant market for automotive magnesium alloy owing to the increasing annual production of vehicles in the region. In North America, the U.S. is the leading market for automotive magnesium alloy due to the surge in demand for luxury vehicles from the high-class consumers in the country. In Europe, Germany and Italy are the rapidly expanding market led by the significant investments in the automotive industry.
Key players operating in the automotive magnesium alloy market include Stolfig GmbH, Takata Corporation, Autoliv, Nanjing Yunhai Special Metals Company Limited, DongGuan Eontec Company Limited, DY Group, and Shanghai Meridian Magnesium Products Company Limited.
This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.
Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:
- Customer Experience Maps
- Insights and Tools based on data-driven research
- Actionable Results to meet all the business priorities
- Strategic Frameworks to boost the growth journey
The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.
The following regional segments are covered comprehensively:
- North America
- Asia Pacific
- Latin America
- The Middle East and Africa
The EIRS quadrant framework in the report sums up our wide spectrum of data-driven research and advisory for CXOs to help them make better decisions for their businesses and stay as leaders.
Below is a snapshot of these quadrants.
1. Customer Experience Map
The study offers an in-depth assessment of various customers’ journeys pertinent to the market and its segments. It offers various customer impressions about the products and service use. The analysis takes a closer look at their pain points and fears across various customer touchpoints. The consultation and business intelligence solutions will help interested stakeholders, including CXOs, define customer experience maps tailored to their needs. This will help them aim at boosting customer engagement with their brands.
2. Insights and Tools
The various insights in the study are based on elaborate cycles of primary and secondary research the analysts engage with during the course of research. The analysts and expert advisors at TMR adopt industry-wide, quantitative customer insights tools and market projection methodologies to arrive at results, which makes them reliable. The study not just offers estimations and projections, but also an uncluttered evaluation of these figures on the market dynamics. These insights merge data-driven research framework with qualitative consultations for business owners, CXOs, policy makers, and investors. The insights will also help their customers overcome their fears.
3. Actionable Results
The findings presented in this study by TMR are an indispensable guide for meeting all business priorities, including mission-critical ones. The results when implemented have shown tangible benefits to business stakeholders and industry entities to boost their performance. The results are tailored to fit the individual strategic framework. The study also illustrates some of the recent case studies on solving various problems by companies they faced in their consolidation journey.
4. Strategic Frameworks
The study equips businesses and anyone interested in the market to frame broad strategic frameworks. This has become more important than ever, given the current uncertainty due to COVID-19. The study deliberates on consultations to overcome various such past disruptions and foresees new ones to boost the preparedness. The frameworks help businesses plan their strategic alignments for recovery from such disruptive trends. Further, analysts at TMR helps you break down the complex scenario and bring resiliency in uncertain times.
The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:
1. What can be the best investment choices for venturing into new product and service lines?
2. What value propositions should businesses aim at while making new research and development funding?
3. Which regulations will be most helpful for stakeholders to boost their supply chain network?
4. Which regions might see the demand maturing in certain segments in near future?
5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?
6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?
7. Which government regulations might challenge the status of key regional markets?
8. How will the emerging political and economic scenario affect opportunities in key growth areas?
9. What are some of the value-grab opportunities in various segments?
10. What will be the barrier to entry for new players in the market?
Note: Although care has been taken to maintain the highest levels of accuracy in TMR’s reports, recent market/vendor-specific changes may take time to reflect in the analysis.