Metal Forging Industry SWOT Analysis of Current and Future

Posted by Nicky Arora on November 13th, 2019

The global Metal Forging Market size is expected to reach USD 131.32 billion by 2025, according to a new report by Grand View Research, Inc. It is anticipated to register a CAGR of 7.6% during the forecast period. Growth of the automotive industry is expected to be one of the key market drivers.

Lightweight forging is expected to remain a key focus area in the automotive sector. Strict emission policies have forced automakers to double the share of lightweight components in automobiles. Under the European Union Legislation regarding carbon dioxide emissions, manufacturers must follow the criteria of 95 g/km of threshold value by 2021. Similar legislation is being adopted by many countries including U.S., China, India, Japan, and Brazil. The ability of the forging process to manufacture lightweight auto parts for applications such as combustion engine and transmission is anticipated to fuel growth.

The government of India has developed an Automotive Mission Plan 2016-2026 (AMP 2026) to boost the automotive sector in the country. This plan is projected to help multiple stakeholders inside and outside India including auto component, automotive vehicle, and tractor manufacturers. As per the objective of this plan, the Indian auto sector is anticipated to grow at 3.5 to 4 times the current value of USD 74 billion by 2026. The government is also planning to scale up the exports in this sector by 30% to 40% over the coming decade.