by Forging is a manufacturing process involving the shaping of metal using localized compressive forces. Parts made via forging are integral to automotive, aerospace, construction, and other industrial applications. The forging process produces complex, high-strength components with unparalleled reliability. Common forged parts include shafts, gears, crankshafts, connecting rods, axles, manifolds, and more. The automotive industry represents one of the largest end-use markets for forged components. Modern vehicles contain hundreds of forged parts that strengthen frames, improve fuel efficiency, and enhance overall safety.
The global forging market is estimated to be valued at US$ 81.12 Bn in 2023 and is expected to exhibit a CAGR of 12% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
The forging industry is flourishing as a result of rising automotive production worldwide. According to industry estimates, over 90 million vehicles will roll off assembly lines in 2023. As transportation continues to be a core part of everyday life and commerce, automakers are ramping up manufacturing to meet growing demand. Steady increases in vehicle output directly correlate to heightened requirements for high-performing forged components that are instrumental to new car and truck builds.
Additionally, the use of advanced materials in automotive applications has stimulated substantial forging activity. Lightweight aluminum and high-strength steel alloys allow automakers to develop lighter, more fuel-efficient vehicle models without compromising structural integrity. These specialty metals necessitate customized forging techniques compared to traditional steels and irons. Technical enhancements in forging processes enable domestic and overseas parts suppliers to efficiently produce complex aluminum and advanced high-strength steel components for engine, drivetrain, and chassis systems. Both drivers bode well for sustained expansion of the global forging industry over the coming decade.
Segment Analysis
Forging Market is segmented into automotive, aerospace, oil&gas, construction, agriculture, and others. The automotive segment dominates the market and accounts for over 45% of total shares. Within automotive, components for engine, transmission, axles, and suspension witness higher demand due to growing vehicular production across the globe. Furthermore, stringent emission standards compelling auto manufacturers to use forged parts that are lighter and more durable.
PEST Analysis
Political: Trade policies and regulations impact pricing and supply of raw materials in forging industry. Government incentives and standards regarding fuel efficiency and emissions further influence component adoption.
Economic: Global economic growth, rising disposable income, and spending on infrastructure and transportation boost forging demand. Fluctuations in oil prices and currency exchange rates pose challenges.
Social: Growing urbanization and preference for private transport modes increase automotive production and subsequently forging usage.
Technological: Advanced computer modelling, robotics, and additive manufacturing allow designers to optimize part design and reduce weight. Use of special steels improves component strength.
Key Takeaways
The Global Forging Market Size is expected to witness high growth supported by increasing use across automotive, aerospace, oil & gas industries.
Regional analysis: Asia Pacific dominates the market with over 40% share led by China, Japan and India. China is the largest producer and consumer of forgings attributed to robust growth in automotive and industrial sectors. The North American and European regions are also prominent markets whereas Middle East & Africa regions are emerging markets for forging given rising infrastructure spending.
Key players: Key players operating in the Forging Market are Canada Forge, All Metals & Forge Group, Bharat Forge Limited, Anderson Shumaker, Alcoa, and SNT. Bharat Forge is a leading supplier of forged components to vehicle and industrial engine manufacturers globally.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
