According to a new market report published by Lucintel, the future of aluminum in the global automotive industry looks strong with increasing penetration of lightweight materials and rising vehicle production. Aluminum in the global automotive industry is forecast to grow at a CAGR of 7.4% from 2015 to 2020. The major drivers of growth for this market are government regulations, a growing demand for lightweight, fuel efficient vehicles, and better price performance benefits of aluminum compared to other lightweight materials. High tensile strength, corrosion resistance, and recyclability of aluminum alloys are additional factors contributing to accelerated growth.
In this market, cast aluminum, rolled aluminum, and extruded aluminum are some of the major product forms used for automotive applications. Cast aluminum is the largest segment by product forms and is expected to remain the same during the forecast period. Lucintel predicts that the demand for rolled aluminum is likely to experience the highest growth in the forecast period supported by growing application of rolled aluminum in the structural component of the vehicle. On the basis of its comprehensive research, Lucintel forecasts that structural components, engine, and wheel and brakes are expected to show above average growth during the forecast period.
Within the aluminum in automotive industry, the passenger car segment is expected to remain as the largest market by volume consumption. The development of new applications and material joining technologies for automotive industry is expected to spur growth for this segment over the forecast period.
Asia Pacific (APAC) is expected to remain the largest market due to increase in the passenger car and light commercial vehicle production in China and India. North America and Europe are expected to witness significant growth over the forecast period because of strict government regulations for fuel economy and carbon emission reduction.
For market expansion, the report suggests innovation and new product development; this is where the unique characteristics of aluminum material can be capitalized. The report further suggests the development of partnerships with customers to create win-win situations and the development of low-cost solutions for the end users.
Emerging trends, which have a direct impact on the dynamics of the industry, include the increasing use of aluminum in chassis and structural applications and advanced manufacturing technology. Alcoa Inc., Aleris International, Novelis Inc., Norsk Hydro ASA (ADR), and Constellium N.V. are among the major suppliers of aluminum material to the automotive industry. Some companies are opting for joint venture and M&A as a strategic initiative for driving growth.
Lucintel, a leading global strategic consulting and market research firm, has analyzed opportunities for aluminum in global automotive industry by application, product form and region, and has come up with a comprehensive research report, “Growth Opportunities for Aluminum in Global Automotive Industry 2015-2020: Trend, Forecast, and Market Analysis.” The Lucintel report serves as a spring board for growth strategy as it provides a comprehensive data and analysis on trends, key drivers, and directions. The study includes a forecast of opportunities for aluminum in global automotive industry through 2020, segmented by application, product form and region as follows:
By application [Volume (Mil lbs /Kilotons) and $ Mil shipment analysis for 2009 – 2020]:
· Engine
· Transmission and Driveline
· Heat Transfer
· Wheels and Brakes
· Structural Components
· Others
By product form [Volume (Mil lbs /Kilotons) and $ Mil shipment analysis for 2009 – 2020]:
· Cast Aluminum
· Rolled Aluminum
· Extruded Aluminum
· Others
By region [Volume (Mil lbs /Kilotons) and $ Mil shipment analysis for 2009 – 2020]:
· North America
· Europe
· Asia Pacific
· Rest of World
This 200-page research report will enable you to make confident business decisions in this globally competitive marketplace. For a detailed table of contents, contact Lucintel at +1-972-636-5056 or click on this link http://www.lucintel.com/reports/mass_transportation/growth_opportunities_for_aluminum_in_global_automotive_industry_2015_2020_trend_forecast_and_market_analysis_june_2015.aspx or helpdesk@lucintel.com.
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