Automotive Forgings Sales Market Outlook

The global automotive forgings market is projected to reach a value of approximately USD 65.1 billion by 2035, exhibiting a compound annual growth rate (CAGR) of around 6.4% from 2025 to 2035. This growth can be attributed to the increasing demand for lightweight materials in vehicles, the rising adoption of electric vehicles (EVs), and the ongoing advancements in forging technologies. Furthermore, the robust growth in the automotive sector, especially in emerging economies, alongside the stringent regulations for fuel efficiency, are significant factors driving the market. The surge in research and development activities aimed at enhancing product performance and durability is also contributing positively to the market's expansion. The automotive forgings market is expected to witness substantial growth as manufacturers continue to prioritize high-strength materials that offer improved safety and efficiency in vehicle design.

Growth Factor of the Market

The automotive forgings market is significantly influenced by the ongoing technological advancements within the automotive industry. The push for the development of lighter, yet stronger components to improve fuel efficiency and performance is a primary growth driver. Moreover, the increasing focus on electric and hybrid vehicles has led to a heightened demand for specialized forged components that can withstand higher operating temperatures and stresses. Additionally, the growth of the automotive sector in developing nations provides lucrative opportunities for manufacturers as they expand their production capabilities. The emphasis on reducing emissions and enhancing vehicle safety are also crucial factors fostering the growth of the automotive forgings market. The rising disposable incomes and changing consumer preferences towards advanced automotive technologies further support the market's expansion. As the industry evolves, the introduction of innovative forging processes and materials will continue to drive growth.

Key Highlights of the Market

• The global automotive forgings market is expected to grow significantly, driven by innovations in vehicle design and manufacturing.
• Technological advancements are enhancing the quality and efficiency of forging processes.
• Electric vehicles are becoming a major segment, leading to a demand for specialized forged components.
• Emerging economies exhibit strong growth potential due to increasing automotive production.
• Sustainability trends are pushing manufacturers towards the use of lightweight and recyclable materials.

By Product Type

Crankshafts:

Crankshafts are a crucial component within internal combustion engines, playing a vital role in converting linear motion into rotational motion. The demand for crankshafts is steadily increasing due to the growth of the automotive industry, as they are extensively utilized in various vehicle types. Crankshafts made through forging processes offer superior strength and durability compared to cast alternatives, making them a preferred choice for manufacturers aiming to optimize engine performance. Continuous innovation in crankshaft design, including the use of high-strength steels and advanced heat treatment techniques, is further fueling this segment's growth. As vehicles become more performance-oriented, the need for lightweight yet robust crankshafts is expected to drive significant market expansion in this category.

Camshafts:

Camshafts are another essential product type in the automotive forgings market, responsible for controlling the timing of valve openings and closings within an engine. The rise in demand for high-performance engines has led to an increased focus on camshaft design and manufacturing. Forged camshafts provide enhanced strength and fatigue resistance, crucial for high-revving engines. The growing trend toward turbocharged and fuel-efficient engines is further propelling the demand for quality camshaft products. Manufacturers are increasingly investing in advanced manufacturing techniques to produce lightweight camshafts that meet the stringent performance criteria set by modern automotive designs. The continuous evolution of engine technologies will support further growth within the camshaft segment of the market.

Axles:

Axles are critical structural components in vehicles, acting as the main support for the vehicle's weight and enabling wheel rotation. The automotive forgings market has witnessed substantial growth in the axle segment due to the increasing production of commercial and passenger vehicles. Forged axles are favored for their superior strength-to-weight ratio, which enhances vehicle stability and performance. The growing demand for heavy-duty vehicles, particularly in logistics and transportation sectors, is driving the requirement for strong and durable forged axles. Furthermore, advancements in forging technologies are enabling manufacturers to produce axles with complex geometries, leading to improvements in performance and safety. As the automotive industry continues to evolve, the demand for high-quality forged axles is expected to rise significantly.

Gears:

Gears play a vital role in the transmission systems of vehicles, enabling the transfer of power from the engine to the wheels. The automotive forgings market is witnessing an increase in demand for forged gears, driven by the need for improved efficiency and performance in modern vehicles. Forged gears are recognized for their superior mechanical properties, including strength and wear resistance, making them suitable for high-load applications. The ongoing developments in electric and hybrid vehicles are also contributing to the growth of this segment, as these vehicles require highly efficient gear systems to optimize power delivery. Additionally, the trend towards automatic transmissions is further bolstering the demand for advanced forged gear products, ensuring that manufacturers can meet evolving consumer expectations.

Pistons:

Pistons are crucial components in internal combustion engines, responsible for transferring pressure created during combustion into mechanical power. The automotive forgings market is experiencing growth in the piston segment due to the increasing demand for high-performance engines. Forged pistons offer superior strength and thermal resistance compared to cast pistons, making them ideal for high-performance applications. As automotive manufacturers strive to enhance engine efficiency and performance, the demand for lightweight forged pistons is on the rise. Furthermore, the growing trend of downsizing engines while maintaining performance standards is driving innovation in piston design and materials. The automotive forgings market is expected to see steady growth in the piston segment as manufacturers continue to prioritize quality and performance.

By Application

Engine Components:

Engine components represent one of the largest applications of automotive forgings, as they encompass various critical parts that contribute to engine functionality and efficiency. The increasing demand for high-performance engines, coupled with stringent emissions regulations, is driving the requirement for advanced forged engine components. Forged parts, such as crankshafts, camshafts, and pistons, provide superior strength and reliability, making them essential for modern automotive designs. The rise of electric and hybrid vehicles further drives the need for innovative engine solutions, which rely heavily on quality forged components. As automotive manufacturers continue to push for greater efficiency and performance, the engine components segment is poised for substantial growth in the automotive forgings market.

Transmission Parts:

Transmission parts are another significant application within the automotive forgings market, playing a vital role in transferring power from the engine to the wheels. The increasing complexity of transmission systems, especially with the rise of automatic and dual-clutch transmissions, has led to a growing demand for high-quality forged parts. Forged transmission components, such as gears and shafts, offer enhanced strength and durability, which are essential for high-load applications. The ongoing trend towards more fuel-efficient vehicles is also driving the need for lightweight and high-performance transmission parts. Manufacturers are investing in advanced forging technologies to produce complex shapes that meet the demanding performance criteria set by modern automotive designs. The transmission parts segment is expected to remain a key growth area within the automotive forgings market.

Steering Systems:

Steering systems are critical for vehicle safety and performance, and the automotive forgings market is witnessing increasing demand for forged components in this application. Forged steering parts, such as columns and linkages, provide superior strength and rigidity, ensuring reliable performance under various driving conditions. The growing focus on vehicle safety and stability is driving manufacturers to incorporate high-quality forged components into steering systems. Additionally, the rise of advanced driver-assistance systems (ADAS) necessitates the use of reliable and durable steering components, further boosting demand. As the automotive industry evolves towards greater safety and performance standards, the steering systems application is expected to experience steady growth within the automotive forgings market.

Chassis Components:

Chassis components are integral to a vehicleÔÇÖs structural integrity, and the automotive forgings market is increasingly catering to this application. The demand for forged chassis parts is driven by the need for lightweight and high-strength materials that can withstand harsh driving conditions. Forged chassis components, such as cross members and suspension parts, play a crucial role in enhancing vehicle safety and performance. The trend towards electric and hybrid vehicles further emphasizes the need for innovative chassis solutions that can support the additional weight of batteries and electric drivetrains. As automakers prioritize vehicle stability and safety, the chassis components application is likely to witness significant growth in the automotive forgings market.

Other Automotive Parts:

This category encompasses various automotive components that do not fall under the primary applications mentioned above. The demand for forged automotive parts in this segment is growing due to the increasing use of advanced materials and manufacturing processes. Components such as brackets, mounts, and housings are increasingly being forged to improve their strength and durability. The versatility of forged parts allows manufacturers to meet specific requirements for a wide range of automotive applications. As the automotive industry continues to innovate and adopt new technologies, the other automotive parts segment is expected to grow, driven by the need for high-quality forged components across various applications.

By Material Type

Steel:

Steel remains the most widely used material in the automotive forgings market due to its excellent mechanical properties and cost-effectiveness. Forged steel components offer superior strength, durability, and resistance to wear, making them suitable for critical automotive applications such as engine parts and chassis components. The increasing focus on lightweight designs has led to advancements in steel forging techniques, enabling manufacturers to produce high-strength components that meet stringent performance requirements. As the automotive sector evolves, the demand for forged steel parts is expected to grow, driven by the ongoing trend towards fuel-efficient and high-performance vehicles.

Aluminum:

Aluminum is gaining popularity in the automotive forgings market due to its lightweight properties, which contribute to improved fuel efficiency and reduced emissions. Forged aluminum components are increasingly being used in various automotive applications, including engine parts, transmission components, and chassis elements. The growing emphasis on electric vehicles and lightweight designs is further driving the demand for forged aluminum products. Manufacturers are investing in advanced forging technologies to enhance the mechanical properties of aluminum, making it a viable alternative to traditional materials. As sustainability becomes a priority in the automotive industry, the demand for forged aluminum components is expected to rise significantly.

Titanium:

Titanium is a high-performance material that is gradually finding its way into the automotive forgings market, primarily due to its exceptional strength-to-weight ratio and corrosion resistance. While titanium components are more expensive than those made from steel or aluminum, their unique properties make them ideal for high-performance applications, such as in sports cars and premium vehicles. The demand for lightweight and high-strength parts in the automotive sector is driving manufacturers to explore titanium forging opportunities. As advancements in titanium forging technologies continue to reduce costs and improve manufacturability, the adoption of forged titanium components is expected to grow in the coming years.

Copper:

Copper is utilized in specific automotive applications due to its excellent electrical conductivity and thermal properties. While not as common as steel or aluminum, forged copper components are used in automotive electrical systems, connectors, and heat exchangers. The rising demand for electric vehicles and advanced electrical systems is driving the need for reliable forged copper parts. Manufacturers are focusing on enhancing the performance and durability of copper components through innovative forging techniques. As the automotive industry increasingly incorporates electric systems, the demand for forged copper parts is anticipated to grow steadily.

Magnesium:

Magnesium is recognized for its lightweight properties, making it an attractive material for the automotive forgings market, particularly in applications where weight reduction is crucial. Forged magnesium components are being increasingly adopted in the automotive sector to improve fuel efficiency and overall vehicle performance. The growing trend towards lightweight vehicles and electric vehicles is driving the demand for forged magnesium products. Manufacturers are investing in advanced magnesium forging technologies to enhance the material's mechanical properties, facilitating its use in various automotive applications. As sustainability and performance take center stage, the demand for forged magnesium components is expected to rise significantly.

By Vehicle Type

Passenger Cars:

The passenger car segment constitutes a significant portion of the automotive forgings market, driven by the growing demand for vehicles worldwide. As urbanization and disposable incomes rise, the demand for passenger vehicles continues to rise, leading manufacturers to focus on producing high-quality forged components. Forged parts such as crankshafts, camshafts, and gears are essential for improving engine performance and overall vehicle reliability. Additionally, the shift towards fuel-efficient and electric vehicles is encouraging innovations in forged parts to meet modern performance standards. The passenger car segment is expected to remain a key growth driver within the automotive forgings market as manufacturers prioritize quality, performance, and sustainability.

Commercial Vehicles:

The commercial vehicle sector is witnessing substantial growth in the automotive forgings market, fueled by the increasing demand for logistics and transportation solutions worldwide. Commercial vehicles require robust forged components that can withstand heavy loads and harsh operating conditions. Forged parts such as axles, gears, and chassis components are critical for ensuring the durability and reliability of commercial vehicles. The ongoing growth of e-commerce and the transportation industry is driving the need for more commercial vehicles, subsequently increasing the demand for high-quality forged components. As the commercial vehicle market continues to expand, the automotive forgings market will also experience significant growth in this segment.

Electric Vehicles:

The electric vehicle (EV) segment is rapidly gaining traction within the automotive forgings market, driven by the growing emphasis on sustainability and environmental awareness. EVs require advanced forged components that can handle unique performance demands, such as high torque and thermal resistance. Manufacturers are increasingly investing in forging technologies to produce lightweight and high-strength parts that enhance the efficiency and performance of electric drivetrains. The global push for reduced emissions and the adoption of electric mobility solutions are propelling the growth of the EV segment. As the market for electric vehicles continues to expand, the demand for specialized forged components is expected to rise significantly.

Off-road Vehicles:

The off-road vehicle segment is experiencing growth in the automotive forgings market, driven by the rising popularity of recreational and utility off-road vehicles. These vehicles require robust forged components that can withstand extreme conditions and provide reliable performance. Forged parts such as axles, suspension components, and chassis structures are crucial for enhancing the durability and capability of off-road vehicles. The increasing interest in outdoor activities and the demand for specialized vehicles are driving the growth of this segment. As manufacturers focus on producing high-performance off-road vehicles, the demand for quality forged components is expected to rise accordingly.

Others:

This category encompasses various vehicle types not covered in the primary segments. The demand for forged components in this segment is driven by the need for high-quality parts across diverse automotive applications. Forged components play a vital role in enhancing vehicle safety, performance, and durability, irrespective of the vehicle type. As manufacturers continue to innovate and adapt to changing consumer preferences, the need for specialized forged parts across different vehicle types will contribute to the overall growth of the automotive forgings market. The versatility of forged components allows them to be utilized in various automotive applications, ensuring steady demand throughout the industry.

By Region

The automotive forgings market is experiencing varied growth across different regions, with North America, Europe, and Asia Pacific being the key players. North America is expected to dominate the market, driven by the robust automotive industry and increasing demand for high-quality forged components. The regionÔÇÖs emphasis on innovation and technology in automotive manufacturing, coupled with the growing trend toward electric vehicles, is anticipated to support market growth. Furthermore, the presence of leading automotive manufacturers and suppliers is enhancing the North American automotive forgings market significantly. The region is expected to maintain a significant share, with a projected CAGR of around 5.8% during the forecast period.

In Europe, the automotive forgings market also exhibits strong growth potential, fueled by the presence of established automotive players and increasing investments in advanced manufacturing technologies. The region's stringent regulations regarding emissions and fuel efficiency are driving the demand for lightweight forged components in vehicles. Additionally, the rise of electric vehicles is further propelling growth in the European market, as manufacturers seek to innovate and produce high-performance forged parts. Asia Pacific is witnessing remarkable growth in the automotive forgings market due to the rapid industrialization and increasing automotive production in countries like China and India. The region is expected to register the highest CAGR of approximately 7.2% during the forecast period as the demand for vehicles continues to grow.

Opportunities

The automotive forgings market presents several opportunities for growth, particularly in the context of technological advancements and shifting consumer preferences. As the global automotive industry increasingly focuses on sustainability, manufacturers are seeking innovative forging techniques that reduce material waste and enhance energy efficiency. This trend opens up opportunities for companies that specialize in advanced forging technologies, including those that leverage automation and digitalization to optimize production processes. Additionally, the rise of electric vehicles (EVs) presents a significant opportunity for forged components manufacturers, as these vehicles require specialized parts that can support high-performance electric drivetrains. Companies that invest in research and development to create lightweight and durable forged components tailored for EV applications will be well-positioned to capture a share of this growing market.

Moreover, emerging markets in Asia Pacific and Latin America are expected to offer lucrative opportunities for automotive forgings manufacturers. As disposable incomes rise and urbanization accelerates, the demand for automobiles in these regions is increasing rapidly. This growth is driving the need for high-quality forged components to support the production of both conventional and electric vehicles. Companies that strategically expand their operations in these regions and establish partnerships with local manufacturers will be able to tap into the burgeoning automotive market. Furthermore, the ongoing trend toward digital transformation in the automotive sector, including the adoption of Industry 4.0 practices, presents opportunities for integrating smart manufacturing technologies into forging processes, enhancing efficiency, and reducing costs.

Threats

Despite the promising growth prospects in the automotive forgings market, several threats could impact the overall industry landscape. One of the most significant threats is the fluctuation in raw material prices, particularly for metals like steel and aluminum, which are critical for manufacturing forged components. These price fluctuations can lead to increased production costs for manufacturers, potentially affecting profitability and pricing strategies. Moreover, the industry is facing intense competition from alternative manufacturing processes, such as casting and additive manufacturing, which may offer cost-effective solutions for producing automotive components. If manufacturers do not continuously innovate and adapt to changing technological landscapes, they may lose market share to competitors utilizing these alternative methods.

Another pressing threat is the growing emphasis on sustainability and eco-friendliness in the automotive industry. With increasing regulatory pressures aimed at reducing carbon emissions and promoting environmentally friendly practices, manufacturers may face challenges in meeting these standards without incurring excessive costs. Additionally, the ongoing shift toward electric vehicles presents both an opportunity and a threat, as traditional automotive manufacturers may struggle to pivot their operations away from conventional combustion engines. As the market adapts to these changes, companies that are unable to evolve their product offerings and manufacturing processes may find themselves at a disadvantage. Continuous investment in research, development, and innovation will be crucial for overcoming these threats and ensuring long-term success in the automotive forgings market.

Competitor Outlook

• Thyssenkrupp AG
• Rheinmetall AG
• American Axle & Manufacturing, Inc.
• Farinia Group
• Precision Castparts Corp.
• OAO Severstal
• Alcoa Corporation
• Fischer Group
• Jiangsu KTK Group
• Mahindra Forgings
• Hitachi Metals, Ltd.
• Dongfeng Motor Corporation
• Sunrise Metal Industry
• China National Petroleum Corporation (CNPC)
• Metaldyne Performance Group

The competitive landscape of the automotive forgings market is characterized by a mix of established players and emerging companies striving to innovate and capture market share. Key industry participants focus on enhancing their product offerings through technological advancements, strategic partnerships, and mergers and acquisitions. Companies like Thyssenkrupp AG and American Axle & Manufacturing are leading the market with their extensive portfolios of high-quality forged products and strong manufacturing capabilities. Their continuous commitment to research and development enables them to introduce innovative solutions that meet the evolving demands of the automotive sector.

Moreover, the presence of regional players, such as Jiangsu KTK Group and Mahindra Forgings, adds to the competitive dynamics of the market as they leverage local expertise and resources to cater to specific customer needs. These companies are often focused on providing cost-effective solutions while maintaining high quality, allowing them to compete effectively in various segments of the automotive forgings market. As the industry shifts towards sustainability and green manufacturing practices, companies that can innovate and adapt their operations accordingly will have a competitive edge.

In light of the growing demand for electric vehicles and the corresponding need for specialized components, companies such as Alcoa Corporation and Hitachi Metals, Ltd. are investing heavily in research and development to produce lightweight and high-performance forged parts. These companies recognize the importance of aligning their product offerings with emerging trends and consumer preferences. As such, they are likely to play a significant role in shaping the future of the automotive forgings market, driving innovation, and contributing to overall industry growth.