Aluminum castings are lightweight metal components that are manufactured by pouring molten aluminum into a mold. Some key advantages of aluminum castings are corrosion resistance, durability, light weight, design flexibility, and high thermal and electrical conductivity. They are extensively used in automotive, aerospace, industrial machinery, military, and construction industries due to their mechanical properties and lightweight nature. Aluminum castings help in reducing vehicular weight and improving fuel efficiency without compromising on strength.

The global aluminum casting market is estimated to be valued at US$ 87.11 Mn in 2024 and is expected to exhibit a CAGR of 6.0% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

Market Opportunity:

The growing need for lightweight automotive components to improve fuel efficiency and comply with stringent emission norms presents a key opportunity for the aluminum casting market. Automakers are increasingly adopting aluminum castings in under-hood applications such as engine blocks, brackets, and heads to reduce vehicular weight. Lightweighting with aluminum helps OEMs meet corporate average fuel economy (CAFE) standards mandated by regulatory bodies. The rising popularity of electric and hybrid vehicles, which require lightweighting to enhance driving range per charge, is also projected to propel the demand for aluminum castings from the automotive industry. Eco-friendly automotive manufacturing using aluminum casting can drive substantial market growth over the forecast period.

Porter's Analysis
Threat of new entrants: Low investment cost in die casting equipment and availability of used equipment makes the threat moderate. However, significant capital is required for complex high pressure die casting.

Bargaining power of buyers: Large automakers have significant bargaining power due to their volume demand. Consolidation among automakers further increases their bargaining power.

Bargaining power of suppliers: Global suppliers of aluminum have significant bargaining power due to their scale and suppliers are consolidating to gain scale.

Threat of new substitutes: Magnesium alloys and plastics are substituting aluminum in components; however, restricted usage due to cost and inability to match material properties.

Competitive rivalry: Intense competition exists among die casters on the basis of price, quality, delivery and service. Significant capital required acts as a barrier.

SWOT Analysis
Strengths: Lower weight than other materials, corrosion resistance, recycling capability, broad availability.

Weaknesses: Higher cost than competing materials, melting temperature varies processing requirements.

Opportunities: Increase in aluminum content per vehicle, replacement of steel & iron components.

Threats: Increased global supply may depress prices, consolidation among OEMs increases buyer power

Key Takeaways
The Global Aluminum Casting Market is expected to witness high growth over the forecast period of 2024 to 2031. The market size for 2024 is estimated to be US$ 87.11 Mn. The market is projected to grow at a CAGR of 6.0% during the forecast period.

Regional analysis shows that Asia Pacific dominates the global market with a share of over 50% in 2024 led by China. North America stands as the second largest market for aluminum casting.

Key players operating in the aluminum casting market are Keysight Technologies, Fluke Corporation (Fortive Corporation),Rohde & Schwarz, Yokogawa Electric Corporation, Agilent Technologies, Anritsu Corporation,Tektronix (Fortive Corporation),EXFO Inc., B&K Precision Corporation, Hioki E.E. Corporation,Chauvin Arnoux Group, AMETEK, Inc., National Instruments Corporation, Gossen Metrawatt, Keithley Instruments (Tektronix). The Asia Pacific region is expected to be the fastest growing region, especially China, due to the increasing automotive production as well as the region having a dominant share of key players.

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https://www.newsstatix.com/aluminum-casting-market-market-size-and-share-analysis/

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