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| Forging Market Size |
The global Forging Market is estimated to be valued at US$ 81.12 Bn in 2023 and is expected to exhibit a CAGR of 4.7% over the forecast period
2023 to 2030, as highlighted in a new report published by Coherent Market
Insights.
Market Overview:
Forging is a manufacturing process involving the shaping of metal using localized
compressive forces. Parts made through forging are stronger than those made
through other manufacturing techniques, as the metal fibres are elongated and
compacted along the grain structure. Forging is commonly used to produce
components for the automotive, construction, oil & gas, aerospace and other
heavy industries. Forging allows the manufacture of intricate and high
precision parts without welding or additional machining. It has advantages such
as high strength, consistency in chemical composition and mechanical
properties.
Market key trends:
One of the key trends in the Forging
Market Size is the growing demand from the construction sector. Rapid
infrastructure development projects around the world are propelling the growth
of the construction industry. Forging finds wide application in the production
of bolts, screws, joints, beams and other structural components used in
buildings, bridges, roads and railways. Additionally, the rising penetration of
electric vehicles is augmenting the demand for forged components. Many critical
auto parts including connecting rods, transmission parts, axles and crankshafts
are forged for their strength and durability.
Porter's Analysis
Threat of new entrants: Low capital requirements and availability of
second-hand equipment have lowered the barriers to entry in the forging market.
However, established players have significant economies of scale and customer
loyalty that new entrants will find difficult to overcome.
Bargaining power of buyers: Buyers have moderate bargaining power due to the
availability of substitutes and competitve supplier market. However, the
importance of forging components in many industries keeps buyer's options
limited.
Bargaining power of suppliers: Large forging producers have significant bargaining
power over raw material suppliers due to their size and buying power. However,
availability of alternative materials and supplier market fragmentation
balances this power.
Threat of new substitutes: Substitutes like casting and machining pose a medium
threat as forging offers strength and cost benefits for specific component
needs. However, forging's customizability and consistency keeps its demand
stable.
Competitive rivalry: Intense competition exists among existing forging
producers globally. Players compete based on technology, quality, delivery time
and price.
Key Takeaways
The global forging market is expected to witness high growth, exhibiting CAGR of 4.7% over the forecast period
2023 to 2030, driven by increasing demand from automotive and aerospace
industries.
The automotive industry is the largest end-use sector for forged components
accounting for over 30% share of the global forging market in 2023. Rising
vehicle production across the world especially in Asia is driving the demand.
Additionally, focus on fuel efficiency and emission reduction is increasing the
use of high-strength forged auto parts.
Regionally, Asia Pacific dominated the forging market with over 35% share in
2023 led by China, India and Japan. Strong growth in automotive, machinery and
construction industries is propelling the demand. China, being the largest
automotive producer globally, is projected to maintain its lead. Meanwhile,
Central and Eastern Europe is emerging as a high growth market with forging
companies expanding their footprint.
Key players operating in the forging market include Alcoa Corporation, All
Metals & Forge Group, CFS Machinery Co. Ltd, Consolidated Industries Inc.,
Farinia Group, Fountaintown Forge Inc., Pacific Forge Incorporated, Patriot
Forge Co., Precision Castparts Corp., Scot Forge, and others. Major players are
focusing on technological advancements and expanding production capacities
worldwide to strengthen their market position.
Read More: https://www.trendingwebwire.com/forging-market-analysis-and-share/