Aluminium Die Casting Market in Europe

Contributed by: Anonymous
August 31, 2021

WHAT IS ALUMINIUM DIE CASTING Aluminum die casting is a manufacturing process that produces geometrically complex, defined, accurate and textured-surface metal parts. The aluminum alloy is widely used for die casting as it is lightweight as well exhibits high-dimensional stability for producing low-density and durable end products. Furthermore, aluminum has high corrosion resistance, electrical and thermal conductivity, stiffness, durability, and excellent strength-to-weight ratio, in comparison to other metal alloys. Owing to this, aluminum casts are widely employed across various sectors, including automotive, electrical and electronics, transportation, building and construction, telecommunication, consumer durables, and energy, among various others.

MARKET SIZE & GROWTH

In Europe, Automotive sector accounts for more than 80% share of the aluminium die casting market. Europe automotive parts aluminium die casting market is valued at $52.57 billion in 2018 and estimated to reach a value of $78.12 billion in 2024, with a CAGR of 7.3%.

  • The European industry, as a whole, has more than doubled the average amount of die-cast parts that are being used in passenger cars for the past 20 years. With just 50kg of aluminum parts per passenger vehicle in 1990, to over 500kg of it in the AUDI A8 model, the market for automotive parts die casting is evolving in the region and is expected to maintain a moderate growth for the coming five years.
  • CAFE standards and EPA policies, in order to cut down automobile emissions and increase fuel efficiency, are driving the automakers to reduce the weight of the automobile by employing lightweight non-ferrous metals. Demand from the commercial vehicle segment is one other factor that is driving the market.

With new capital investments, anticipated economic stability, and expected political reforms, the aluminium die casting industry in Europe is poised to experience moderate growth over the coming years.

COUNTRY WISE SEGMENTATIONCountry-wise, Germany, Italy, and Russia are expected to occupy the top three spots in Europe for aluminium die casting products consumption, accounting for nearly 60% of the total market. Although France is the second-largest ferrous casting country within the European region, when it comes to non-ferrous castings and die casting in particular, the country lags behind Germany and Italy. Czech Republic and Poland are the other important markets in the European region.

COMPETITIVE LANDSCAPEThe European market for automotive parts die casting industry is fairly fragmented. Major players, such as Rheinmetall AG, GF Automotive, Martinrea, Nemak, and Brabant Alucast have together accounted for a major share of the market in the region. These companies have focused their revenues on R&D to come up with better production processes and alloys. This strategy will assist in the production of premium quality die-cast parts for the European automotive and industrial sectors.

CAUSE OF CONCERNThe recent shift toward electric vehicles in the automotive industry is expected to act as a major restraint to the casting industry. A combustion engine contains approximately 220 casted parts, but only about 25 are needed for an electrical drive. Also, the number of people employed in the European non-ferrous casting foundries have been volatile since the past five years.

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