PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1485722
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1485722
Automotive Aluminum Alloy (OE) Market size was valued at USD 18,885 million in 2023, expanding at a CAGR of 5.3% from 2024 to 2032.
Automotive aluminum alloy refers to the various types of aluminum alloys used in manufacturing automotive parts and frameworks, particularly in Original Equipment (OE) production. These alloys are chosen for their lightweight properties, ability to resist corrosion, and the ratio of strength to weight, all of which are essential characteristics in improving fuel efficiency and overall vehicle performance. Aluminum alloys used in automotive applications are typically tailored to meet specific performance requirements, such as high strength for structural components like body panels, chassis, and engine blocks, or excellent formability for extrusions and castings.
Automotive Aluminum Alloy (OE) Market- Market Dynamics
Increasing Demand for lightweight vehicles is expected to drive the growth of the market
Consumers are placing a growing emphasis on fuel efficiency, performance, and environmental sustainability when selecting vehicles. Vehicles constructed with lightweight aluminum alloys can fulfill these preferences while providing performance that is either comparable or superior to heavier alternatives. Data indicates that by lightening the U.S. light-duty vehicle fleet, there is a potential for a maximum cumulative energy savings of 66.1 billion GJ by 2050 under a conventional-vehicle-dominated business-as-usual penetration scenario. Additionally, advancements in aluminum alloy manufacturing, including alloy design, processing techniques, and surface treatments, offer opportunities to improve the performance, durability, and cost-effectiveness of aluminum components in vehicles. Nevertheless, adherence to strict regulatory standards could impede market growth.
Automotive Aluminum Alloy (OE) Market- Key Insights
As per the analysis shared by our research analyst, the global market is estimated to grow annually at a CAGR of around 5.3% over the forecast period (2024-2032)
Based on Electric Vehicle Type segmentation, Hybrid electric vehicle was the leading type in 2023
Based on Application segmentation, Heat Exchangers was the leading type in 2023
Based on region, Asia Pacific was the leading revenue generator in 2023
The Global Automotive Aluminum Alloy (OE) Market is segmented based on Vehicle Type, Electric Vehicle Type, Application, and Region.
The market is segmented into three distinct categories according to the type of vehicle: Passenger Vehicle, Light Commercial Vehicle, and Heavy Commercial Vehicle. Various factors, including regulatory standards, technological advancements, consumer preferences, and economic conditions, greatly influence the market dynamics for OE aluminum alloys across different vehicle types.
The market is segmented into three categories according to Electric Vehicle Type: Battery electric vehicle, Hybrid electric vehicle, and Plugin hybrid electric vehicle. Hybrid electric vehicle holds the largest market share. Aluminum alloys are essential in HEVs because of their lightweight characteristics. The decreased vehicle weight contributes to enhancing fuel efficiency and extending the electric range of hybrid vehicles.
The market is segmented into four categories according to Application: Engine Components, Wheels, Driveline, Heat Exchangers, Body Parts, and Others. Heat Exchangers lead the market. Heat exchangers play a crucial role in vehicles by regulating engine temperatures, air conditioning systems, and other thermal management functions.
Automotive Aluminum Alloy (OE) Market- Geographical Insights
The market is geographically spread across North America, Latin America, Europe, Asia Pacific, and the Middle East and Africa. These regions are further segmented by countries contributing to business activities. Asia Pacific leads the market, driven by the increasing demand for electric vehicles. Particularly, China has become a global center for electric vehicle production. Aluminum alloys are the preferred choice in EV manufacturing because of their lightweight properties, playing a crucial role in electric vehicle production. China represented almost 60% of all new electric car registrations worldwide. In 2022, China accounted for over 50% of all-electric cars on global roads, totaling 13.8 million, as reported by the International Energy Agency. Europe is the second-largest region for market growth, attributed to continuous advancements in aluminum alloy manufacturing.
The competitive landscape of the Automotive Aluminum Alloy (OE) Market is dominated by several manufacturers, each vying to uphold or improve their market share through competitive strategies. These companies engage in competition based on various factors such as product quality, performance, cost, supply chain capabilities, and customer service. Moreover, forming partnerships with automotive OEMs, investing in research and development, and establishing a strong geographic presence are crucial elements in sustaining competitiveness in the automotive aluminum alloy OE market. With the automotive industry shifting towards electrification, autonomy, and sustainability, the rivalry among aluminum alloy suppliers is projected to escalate, fostering further innovation and technological advancements in materials and manufacturing processes.
Norsk Hydro ASA, a Norwegian-based aluminum producer, recently commenced construction on its aluminum recycling facility in Rackwitz, Germany. This expansion, valued at 40 million euros (USD40.6 million), will facilitate the production of HyForge forge stock using post-consumer aluminum.
AMG Advanced Metallurgical Group N.V. is delighted to announce that AMG Vanadium has secured a substantial new long-term agreement to process and recycle spent catalysts from a major oil refinery operator in North America.
GLOBAL AUTOMOTIVE ALUMINUM ALLOY (OE) MARKET KEY PLAYERS- DETAILED COMPETITIVE INSIGHTS
Norsk Hydro ASA
ThyssenKrupp AG
KOBE STEEL, LTD.
AMG Advanced Metallurgical Group N.V.
Constellium
NIPPON STEEL CORPORATION
AGCO Corporation
ArcelorMittal
Alcoa Corporation
Novelis Deutschland GmbH
UACJ Corporation
Arconic
AUSTEM COMPANY LTD.
Bharat Forge
FLEX-N-GATE CORPORATION
GORDON
KIRCHHOFF Automotive GmbH
Magna International Inc.
Others