Automotive Components Forging

Automotive Components Forging Market Outlook

The global automotive components forging market is projected to reach USD 80 billion by 2035, growing at a CAGR of 5.6% from 2025 to 2035. This growth is primarily driven by the rising demand for lightweight and high-strength components in vehicles, which enhance performance and fuel efficiency. Moreover, the increasing production of electric vehicles (EVs) globally is creating opportunities for manufacturers to develop advanced forged components that meet the unique requirements of EVs. Additionally, the automotive industry's shift towards sustainable practices and the adoption of advanced manufacturing technologies, such as automation and 3D printing, are also set to contribute significantly to market growth. Investment in research and development to innovate new materials and processes further supports this upward trend in the automotive components forging market.

Growth Factor of the Market

The automotive components forging market is experiencing substantial growth due to several interconnected factors. Firstly, the increasing consumer preference for high-performance vehicles has propelled automakers to seek advanced forged components that offer durability and reliability. Secondly, stringent regulations regarding emissions and energy efficiency have prompted manufacturers to innovate and employ lightweight materials, thereby enhancing vehicle performance while reducing fuel consumption. Thirdly, the rise of electric vehicles presents a unique opportunity for the forging market, as EVs require specialized components that can handle high torque and stress at reduced weights. Additionally, advancements in forging technologies, including precision forging and automated processes, have led to improved production efficiency and product quality, further stimulating market growth. Lastly, the expansion of the automotive industry in emerging economies, combined with growing investments in infrastructure, is expected to boost the demand for forged components significantly.

Key Highlights of the Market

• The automotive components forging market is expected to reach USD 80 billion by 2035.
• Growth is driven by the demand for lightweight components and electric vehicles.
• Advanced manufacturing technologies are enhancing production efficiencies.
• Emerging economies are contributing significantly to market expansion.
• Stringent regulations on emissions are encouraging innovations in component design.

By Product Type

Engine Components:

Engine components are vital in the automotive components forging market as they constitute one of the most critical parts of a vehicle. The forging of engine components leads to the creation of parts like crankshafts, camshafts, and connecting rods, which require high strength and durability. High-quality forgings are essential to withstand the extreme conditions within an engine, such as high temperatures and pressures. The demand for engine components is driven by the increasing production of vehicles, particularly in the passenger and commercial vehicle segments. Innovations in engine technology, including turbocharging and direct injection, are also necessitating the development of more robust and lightweight engine components, further fueling the market for forged engine parts.

Transmission Components:

Transmission components play a crucial role in vehicle performance and efficiency, guiding power from the engine to the wheels. Forged transmission parts, including gears, shafts, and housings, are critical for ensuring smooth gear transitions and handling high torque loads. The market for forged transmission components is expanding due to the rising demand for automatic and CVT (Continuously Variable Transmission) systems in modern vehicles. Additionally, the automotive industry is focusing on improving vehicle efficiency and performance, leading to increased investments in high-strength forged transmission components. As a result, the transmission component segment is expected to witness significant growth, driven by both technological advancements and consumer preferences.

Steering & Suspension Components:

Steering and suspension components are essential for vehicle safety and handling, making the forging of these parts a critical aspect of automotive manufacturing. Forged components such as control arms, tie rods, and steering knuckles are designed to withstand significant stress and strain during operation. The demand for high-performance steering and suspension systems is being driven by the growing emphasis on vehicle dynamics and ride quality. Additionally, the increasing adoption of advanced driver-assistance systems (ADAS) necessitates the development of more sophisticated steering and suspension components. With the automotive market evolving towards more performance-oriented and safe vehicles, the forging of steering and suspension components is poised for robust growth.

Braking Components:

Braking components are critical for ensuring vehicle safety by providing reliable stopping power. The forging of braking components such as calipers, rotors, and brackets is essential for achieving the robustness and precision required in modern braking systems. With the increasing focus on safety in the automotive industry, the demand for high-quality forged braking components is on the rise. Advanced materials and forging techniques are being employed to enhance the performance and durability of braking systems, particularly in high-performance and electric vehicles. Additionally, the ongoing evolution of automotive technologies, including regenerative braking systems, is expected to create new opportunities for forged braking components in the market.

Electrical Components:

The rise of electric vehicles is significantly impacting the demand for forged electrical components, including connectors, housings, and various supporting parts. As electric vehicles become more prevalent, the need for high-strength, lightweight components that can handle the unique demands of electric drivetrains is increasing. Forged electrical components offer advantages in terms of thermal conductivity and mechanical strength, making them ideal for use in EV applications. Moreover, advancements in battery technology and growing investments in charging infrastructure are driving the need for reliable and efficient forged electrical components. The electrical component segment is therefore expected to see substantial growth as the automotive industry transitions towards electrification.

By Application

Passenger Vehicles:

The passenger vehicle segment is one of the largest applications for forged automotive components, driven by the massive production volumes and consumer demand for personal mobility. Forged components are essential in ensuring the safety, reliability, and performance of passenger vehicles. The increasing focus on lightweight materials to improve fuel efficiency is encouraging automakers to incorporate more forged components in their vehicles. Additionally, the rise of electric and hybrid vehicles is pushing manufacturers to innovate and produce specialized forged components that can optimize performance while maintaining vehicle integrity. As the global automotive market continues to grow, the demand for forged components in passenger vehicles is expected to remain strong.

Commercial Vehicles:

The commercial vehicle sector, including trucks and buses, presents a significant market for forged automotive components due to the rigorous demands of heavy-duty applications. Forged components such as axles, frames, and suspension parts are crucial for ensuring durability and reliability under heavy loads and harsh conditions. The growth of the logistics and transportation sectors globally is driving the demand for commercial vehicles, which in turn fuels the need for high-quality forged components. Furthermore, advancements in commercial vehicle technology, including telematics and fuel-efficient drivetrains, are increasing the complexity and performance requirements of forged components used in these vehicles. As such, the commercial vehicle segment is poised for steady growth over the next decade.

Electric Vehicles:

The electric vehicles segment is emerging as a significant area for growth in the automotive components forging market, driven by the transition towards sustainable and eco-friendly mobility solutions. The demand for high-strength, lightweight forged components is essential for optimizing the performance of electric drivetrains and battery systems. As the market for electric vehicles continues to expand, manufacturers are increasingly focusing on developing specialized forged components that can meet the unique demands of EV applications, such as high torque and energy efficiency. Additionally, the supporting infrastructure for electric vehicles, including charging stations and batteries, is also driving the need for innovative forged components. This segment is expected to witness robust growth as more consumers adopt electric vehicles, supported by government incentives and technological advancements.

By Distribution Channel

OEMs:

The OEM (Original Equipment Manufacturer) distribution channel is a dominant segment in the automotive components forging market. OEMs require high-quality forged components to meet stringent standards for vehicle safety and performance. The relationship between OEMs and forging manufacturers is critical, as they collaborate closely to ensure that components meet specific design and engineering requirements. Additionally, the trend towards more complex vehicle designs and advanced technologies is increasing the demand for customized forged components among OEMs. As automotive production continues to rise globally, the OEM distribution channel is expected to remain a key driver of the forging market.

Aftermarket:

The aftermarket segment is witnessing significant growth due to the increasing demand for replacement and performance-enhancing components. As vehicles age, the need for durable and high-quality forged parts becomes essential for maintaining vehicle performance and safety. The growth of the automotive aftermarket is supported by trends such as vehicle customization and enhancing performance, which often require premium forged components. Furthermore, the rise of e-commerce platforms is making it easier for consumers and repair shops to access high-quality forged parts, driving further growth in this segment. The aftermarket for forged components is expected to see sustained growth, fueled by the increasing number of vehicles on the road and the demand for high-performance parts.

By Material Type

Steel:

Steel is the most widely used material in the automotive components forging market due to its excellent mechanical properties, affordability, and versatility. Forged steel components offer high strength and durability, making them suitable for critical applications such as engine and transmission parts. The demand for steel forged components is driven by the automotive industry's ongoing emphasis on safety and performance, as well as the need for lightweight alternatives to traditional materials. Innovations in steel manufacturing and treatment processes are further enhancing the performance characteristics of forged steel components, thus supporting their continued use in a diverse range of automotive applications. As a result, the steel segment is expected to maintain a significant share of the automotive components forging market.

Aluminum:

Aluminum has gained popularity in the automotive components forging market due to its lightweight nature and excellent corrosion resistance. The use of forged aluminum components is increasingly seen in applications where weight reduction is critical, such as in electric and hybrid vehicles. The demand for aluminum forged components is driven by the automotive industry's push towards fuel efficiency and reducing emissions, as lighter vehicles consume less fuel. Additionally, advancements in aluminum forging technology are allowing manufacturers to produce complex geometries with enhanced performance characteristics, making aluminum a preferred choice for many automotive applications. The aluminum segment is expected to witness significant growth as automakers continue to adopt lightweight materials to meet regulatory requirements and consumer preferences.

Copper:

Copper is increasingly being used in the automotive components forging market, particularly for electrical components due to its excellent electrical conductivity. Forged copper components are critical in the production of connectors, terminals, and other electrical systems in vehicles, especially with the rise of electric and hybrid vehicles. The demand for high-performance electrical components is driving the adoption of forged copper parts, as they provide reliability and efficiency in power distribution. Furthermore, as the automotive industry moves towards electrification, the need for advanced copper components is expected to grow significantly. Overall, the copper segment is positioned for growth, supported by the expanding electric vehicle market.

Magnesium:

Magnesium is recognized for its lightweight properties and has emerged as a favorable material in the automotive components forging market, particularly for applications requiring reduced weight without compromising strength. Forged magnesium components are commonly used in automotive applications where weight reduction is essential, such as engine blocks and transmission housings. The growing trend toward lightweight vehicles is driving the demand for magnesium forged parts, as they contribute to improved fuel efficiency and enhanced performance. While the adoption of magnesium in automotive applications is still developing, ongoing research and advancements in forging techniques are expected to facilitate its broader use. This segment is anticipated to grow as manufacturers explore innovative ways to incorporate magnesium into their product lines.

By Region

The North American automotive components forging market is projected to experience significant growth, driven by the presence of major automotive manufacturers and a robust supply chain ecosystem. The U.S., in particular, is a hub for automotive innovation, with substantial investments in technologies like electric vehicles, which are expected to increase the demand for specialized forged components. The region is anticipated to witness a CAGR of 4.8% during the forecast period, with OEMs focusing on enhancing vehicle performance and safety standards, further propelling the market for forged components.

In Europe, the automotive components forging market is also displaying robust growth, primarily due to stringent regulations regarding emissions and a strong emphasis on vehicle safety and performance. Countries such as Germany and France are leading the way in automotive manufacturing, with a rising demand for advanced forged components in electric and hybrid vehicles. The European market is expected to contribute significantly to the global market share, and the increasing trend towards sustainability is likely to bolster the adoption of lightweight forged components throughout the region. As a result, the European automotive components forging market is poised for steady growth in the coming years.

Opportunities

As the automotive industry continues to evolve, significant opportunities are emerging within the automotive components forging market. One prominent opportunity lies in the expansion of electric vehicles, as manufacturers are increasingly required to develop specialized forged components that meet the unique demands of electric drivetrains. This shift towards electrification presents a lucrative market for forging companies that are willing to innovate and adapt their product offerings. Moreover, the increasing investment in research and development to explore new materials and forging techniques is opening doors for the creation of advanced components that can further enhance vehicle performance and safety. Furthermore, the adoption of digital technologies, such as Industry 4.0 solutions, is also streamlining production processes and enhancing efficiency, allowing manufacturers to better meet customer demand while reducing operational costs.

Another area of opportunity is the growing emphasis on sustainability within the automotive industry. As consumers become more environmentally conscious, there is an increasing demand for lightweight and fuel-efficient vehicles. Forged components, with their ability to provide strength while reducing weight, align perfectly with these sustainability goals. Furthermore, the trend towards recycling and reusing materials in manufacturing processes offers a pathway for forging companies to contribute to environmental conservation while also enhancing their competitive edge in the market. Additionally, emerging markets in Asia, Africa, and Latin America present opportunities for market expansion as vehicle production and consumption continues to rise in these regions, supported by urbanization and increasing income levels.

Threats

Despite the promising growth prospects, the automotive components forging market faces several threats that could hinder its progress. One major concern is the volatility of raw material prices, particularly for metals like steel and aluminum, which can impact production costs and profit margins for manufacturers. Fluctuations in global demand and supply dynamics also contribute to the uncertainty surrounding raw material pricing, making it challenging for forging companies to maintain stable operations. Additionally, the ongoing geopolitical tensions and trade disputes could disrupt supply chains and impact the availability of critical materials, potentially leading to increased operational costs and delays in production.

Moreover, technological advancements in alternative manufacturing processes, such as additive manufacturing (3D printing), pose a threat to traditional forging methods. As 3D printing technology continues to develop, there is a possibility that it could eventually replace conventional forging techniques for certain applications, particularly in low-volume production scenarios. This shift could lead to a reduction in demand for forged components, forcing manufacturers to adapt or risk becoming obsolete. Furthermore, the automotive industry's rapid transition towards electrification and the development of autonomous vehicles may shift component requirements, potentially rendering some forged components less relevant. Consequently, companies in the automotive components forging market must remain vigilant and adaptable to navigate these potential threats effectively.

Competitor Outlook

• Thyssenkrupp AG
• Alcoa Corporation
• Magna International Inc.
• Precision Castparts Corp.
• ArcelorMittal
• Sumitomo Metal Industries, Ltd.
• Hitachi Metals, Ltd.
• JFE Steel Corporation
• GKN PLC
• Finkl Steel
• Thyssenkrupp Materials NA, Inc.
• American Axle & Manufacturing, Inc.
• Forged Solutions Group
• Clyde Blowers Capital Limited
• ATI Forged Products

The competitive landscape of the automotive components forging market is characterized by a blend of established players and emerging companies, all striving for a significant share in a rapidly evolving industry. Major corporations such as Thyssenkrupp AG and Alcoa Corporation dominate the market by leveraging their extensive experience and technological expertise in forging processes. These companies are continuously investing in research and development to innovate and enhance their offerings to meet the growing demands of the automotive sector, particularly in high-performance and lightweight components. Additionally, they maintain strong relationships with OEMs, ensuring a steady flow of business while also staying ahead of industry trends.

Another key player in this market is Magna International Inc., which has built a strong reputation for its advanced engineering capabilities and comprehensive product portfolio. The company focuses on providing cutting-edge forged components for various vehicle applications, including electric vehicles, thereby positioning itself as a leader in this emerging segment. Additionally, companies like Precision Castparts Corp. are known for their expertise in high-quality forgings and have established a robust presence in both the OEM and aftermarket segments. As the automotive industry continues to embrace new technologies and materials, these companies are well-positioned to capitalize on the opportunities presented by the shifting landscape.

Emerging players in the automotive components forging market are also making their mark by introducing innovative forging techniques and specialized products. For instance, companies like Forged Solutions Group and ATI Forged Products are focusing on niche applications, catering to specific needs within the market. These companies are often agile and adaptable, allowing them to respond quickly to changing customer demands and technological advancements. The competitive dynamics of the automotive components forging market are expected to intensify as companies continue to innovate and seek new collaborations to enhance their market presence and stay ahead of the competition.

• 1 Appendix

  • 1.1 List of Tables
  • 1.2 List of Figures

• 2 Introduction

  • 2.1 Market Definition
  • 2.2 Scope of the Report
  • 2.3 Study Assumptions
  • 2.4 Base Currency & Forecast Periods

• 3 Market Dynamics

  • 3.1 Market Growth Factors
  • 3.2 Economic & Global Events
  • 3.3 Innovation Trends
  • 3.4 Supply Chain Analysis

• 4 Consumer Behavior

  • 4.1 Market Trends
  • 4.2 Pricing Analysis
  • 4.3 Buyer Insights

• 5 Key Player Profiles

  • 5.1 GKN PLC
    • 5.1.1 Business Overview
    • 5.1.2 Products & Services
    • 5.1.3 Financials
    • 5.1.4 Recent Developments
    • 5.1.5 SWOT Analysis
  • 5.2 Finkl Steel
    • 5.2.1 Business Overview
    • 5.2.2 Products & Services
    • 5.2.3 Financials
    • 5.2.4 Recent Developments
    • 5.2.5 SWOT Analysis
  • 5.3 ArcelorMittal
    • 5.3.1 Business Overview
    • 5.3.2 Products & Services
    • 5.3.3 Financials
    • 5.3.4 Recent Developments
    • 5.3.5 SWOT Analysis
  • 5.4 Thyssenkrupp AG
    • 5.4.1 Business Overview
    • 5.4.2 Products & Services
    • 5.4.3 Financials
    • 5.4.4 Recent Developments
    • 5.4.5 SWOT Analysis
  • 5.5 Alcoa Corporation
    • 5.5.1 Business Overview
    • 5.5.2 Products & Services
    • 5.5.3 Financials
    • 5.5.4 Recent Developments
    • 5.5.5 SWOT Analysis
  • 5.6 ATI Forged Products
    • 5.6.1 Business Overview
    • 5.6.2 Products & Services
    • 5.6.3 Financials
    • 5.6.4 Recent Developments
    • 5.6.5 SWOT Analysis
  • 5.7 Hitachi Metals, Ltd.
    • 5.7.1 Business Overview
    • 5.7.2 Products & Services
    • 5.7.3 Financials
    • 5.7.4 Recent Developments
    • 5.7.5 SWOT Analysis
  • 5.8 JFE Steel Corporation
    • 5.8.1 Business Overview
    • 5.8.2 Products & Services
    • 5.8.3 Financials
    • 5.8.4 Recent Developments
    • 5.8.5 SWOT Analysis
  • 5.9 Forged Solutions Group
    • 5.9.1 Business Overview
    • 5.9.2 Products & Services
    • 5.9.3 Financials
    • 5.9.4 Recent Developments
    • 5.9.5 SWOT Analysis
  • 5.10 Magna International Inc.
    • 5.10.1 Business Overview
    • 5.10.2 Products & Services
    • 5.10.3 Financials
    • 5.10.4 Recent Developments
    • 5.10.5 SWOT Analysis
  • 5.11 Precision Castparts Corp.
    • 5.11.1 Business Overview
    • 5.11.2 Products & Services
    • 5.11.3 Financials
    • 5.11.4 Recent Developments
    • 5.11.5 SWOT Analysis
  • 5.12 Clyde Blowers Capital Limited
    • 5.12.1 Business Overview
    • 5.12.2 Products & Services
    • 5.12.3 Financials
    • 5.12.4 Recent Developments
    • 5.12.5 SWOT Analysis
  • 5.13 Sumitomo Metal Industries, Ltd.
    • 5.13.1 Business Overview
    • 5.13.2 Products & Services
    • 5.13.3 Financials
    • 5.13.4 Recent Developments
    • 5.13.5 SWOT Analysis
  • 5.14 Thyssenkrupp Materials NA, Inc.
    • 5.14.1 Business Overview
    • 5.14.2 Products & Services
    • 5.14.3 Financials
    • 5.14.4 Recent Developments
    • 5.14.5 SWOT Analysis
  • 5.15 American Axle & Manufacturing, Inc.
    • 5.15.1 Business Overview
    • 5.15.2 Products & Services
    • 5.15.3 Financials
    • 5.15.4 Recent Developments
    • 5.15.5 SWOT Analysis

• 6 Market Segmentation

  • 6.1 Automotive Components Forging Market, By Application
    • 6.1.1 Passenger Vehicles
    • 6.1.2 Commercial Vehicles
    • 6.1.3 Electric Vehicles
  • 6.2 Automotive Components Forging Market, By Product Type
    • 6.2.1 Engine Components
    • 6.2.2 Transmission Components
    • 6.2.3 Steering & Suspension Components
    • 6.2.4 Braking Components
    • 6.2.5 Electrical Components
  • 6.3 Automotive Components Forging Market, By Material Type
    • 6.3.1 Steel
    • 6.3.2 Aluminum
    • 6.3.3 Copper
    • 6.3.4 Magnesium

• 7 Competitive Analysis

  • 7.1 Key Player Comparison
  • 7.2 Market Share Analysis
  • 7.3 Investment Trends
  • 7.4 SWOT Analysis

• 8 Research Methodology

  • 8.1 Analysis Design
  • 8.2 Research Phases
  • 8.3 Study Timeline

• 9 Future Market Outlook

  • 9.1 Growth Forecast
  • 9.2 Market Evolution

• 10 Geographical Overview

  • 10.1 Europe - Market Analysis
    • 10.1.1 By Country
      • 10.1.1.1 UK
      • 10.1.1.2 France
      • 10.1.1.3 Germany
      • 10.1.1.4 Spain
      • 10.1.1.5 Italy
  • 10.2 Asia Pacific - Market Analysis
    • 10.2.1 By Country
      • 10.2.1.1 India
      • 10.2.1.2 China
      • 10.2.1.3 Japan
      • 10.2.1.4 South Korea
  • 10.3 Latin America - Market Analysis
    • 10.3.1 By Country
      • 10.3.1.1 Brazil
      • 10.3.1.2 Argentina
      • 10.3.1.3 Mexico
  • 10.4 North America - Market Analysis
    • 10.4.1 By Country
      • 10.4.1.1 USA
      • 10.4.1.2 Canada
  • 10.5 Middle East & Africa - Market Analysis
    • 10.5.1 By Country
      • 10.5.1.1 Middle East
      • 10.5.1.2 Africa
  • 10.6 Automotive Components Forging Market by Region

• 11 Global Economic Factors

  • 11.1 Inflation Impact
  • 11.2 Trade Policies

• 12 Technology & Innovation

  • 12.1 Emerging Technologies
  • 12.2 AI & Digital Trends
  • 12.3 Patent Research

• 13 Investment & Market Growth

  • 13.1 Funding Trends
  • 13.2 Future Market Projections

• 14 Market Overview & Key Insights

  • 14.1 Executive Summary
  • 14.2 Key Trends
  • 14.3 Market Challenges
  • 14.4 Regulatory Landscape

Segments Analyzed in the Report

The global Automotive Components Forging market is categorized based on

By Product Type

• Engine Components
• Transmission Components
• Steering & Suspension Components
• Braking Components
• Electrical Components

By Application

• Passenger Vehicles
• Commercial Vehicles
• Electric Vehicles

By Material Type

• Steel
• Aluminum
• Copper
• Magnesium

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa

Key Players

• Thyssenkrupp AG
• Alcoa Corporation
• Magna International Inc.
• Precision Castparts Corp.
• ArcelorMittal
• Sumitomo Metal Industries, Ltd.
• Hitachi Metals, Ltd.
• JFE Steel Corporation
• GKN PLC
• Finkl Steel
• Thyssenkrupp Materials NA, Inc.
• American Axle & Manufacturing, Inc.
• Forged Solutions Group
• Clyde Blowers Capital Limited
• ATI Forged Products