Automotive AHSS Market is expected to have a growth rate of around 9.8% with a market valuation of $23.45 billion by 2023
The Automotive AHSS market has been experiencing continuous growth and the results are clearly indicated through various statistical reports. The increasing demand for lightweight vehicles with advanced technologies without compromising safety has been some such factors that have driven the growth of the automotive AHSS market towards inclination.
Advanced high strength steel or AHSS have been considered as major ingredients for the innovation and development of various technical consumer goods so as to cater to increasing consumer demands. The automotive sector is one such sector that has easily adopted advanced steel with a desire to improve the efficiency of its production and also to fulfill consumer demands.
Focus on lightweight vehicles has been gradually increasing and thereby the need to manufacture fuel-efficient vehicles with fewer carbon emissions has become mandatory for the automakers for which they rely on AHSS and thus the market size expands.
The automotive AHSS market has been experiencing vast growth and is expected to have a growth rate of around 9.8%with a market valuation of $23.45 billion in the year 2023. Thus, the market share is expected to rise and the major contributions are expected from North America.
COVID 19 ANALYSIS:
The recent rise of Covid 19 has affected each and every business in a proportionate manner where every business is bearing losses due to a decline in customer base and the ever-increasing lockdowns. The covid 19 pandemic has slowed down the production and trade within the AHSS market in the first half of 2021. Many key suppliers have shut down their production units and have halted the supply of raw materials to produce AHSS. The covid 19 pandemics has significantly reduced the market value and the initial growth which seemed more attractive has now come to a standstill.
The COVID-19 pandemics across the globe have created economic hardship and uncertainty for automakers and component manufacturers since the start of 2020. Dramatic changes in the global economy and developments across legacy and developing markets have imposed numerous challenges in the automotive sector. However, the Government has also tried to boost the Automotive AHSS industry by reducing the cost of raw materials, making compulsions for eco-friendly vehicles, and providing benefits towards the automotive AHSS market.
The big market leaders manufacturing AHSS are:
These key players hold a significant automotive AHSS market share, the production of steel, and contribute maximum revenue in their respective regions.
The prominent leaders and the players of the automotive AHSS market use and implement certain strategies for long-term employee retention and increasing customer base. The main aim of the automakers in the automotive AHSS sector is to manufacture lightweight, fuel-efficient vehicles with fewer carbon emissions in an effective and efficient manner so as to fulfill customer needs and also maximize their profit. The various factors which are critically viewed for the development of new steel grades are crash performance, weight ability, formability, rigidity, etc.
The steel manufacturers were driven through the ever-increasing demand for such automobiles and thus the market revenue experienced an upward inclination attracting new players in the market.
Though the Automotive AHSS industry seems to be offering and attracting new players in the market due to its wide consumer base, it also has certain restraints which act as a barrier to the entry of new players and also to existing manufacturers. The advanced high strength steel(AHSS) is said to face stiff competition from its substitutes such as aluminum and carbon fiber composites which offer the same features just as the AHSS and are much cheaper which attracts the eyes of the automakers. The entry of new manufacturers is also restricted through licensing as the key players create a monopoly of themselves which is indeed very difficult to overcome.
The automotive AHSS market in itself is a technologically driven market where the automakers are shifting towards new technological developments in the form of the use of advanced steel to manufacture lightweight vehicles with fewer fuel requirements. However, the market trends keep on shifting and therefore, the technological needs also keep varying. The process of formation of the AHSS involves steelmaking, casting, rolling, coating, and annealing which is similar to the traditional method of manufacturing steel but has now been made technologically advanced and more autonomous.
The automotive AHSS market size and value is expected to have a growth in the upcoming years with most of the automakers shifting their preference towards the AHSS. However, it is not the AHSS in itself which is going to lead the market to an upward trend whereas it's the whole segment that makes the market grow and the segment is based as follows:
⇒ By product type
⇒ By vehicle type
⇒ By Application
⇒ By Region
The main segments of the market have been equally contributing towards the growth of the market. The Asia-Pacific region has been contributing the most towards the market revenue since the demand for AHSS oriented vehicles is high.
The automotive AHSS market value has been constantly rising with revenue coming in from all parts of the world. The regional analysis provides for the region-wise contribution towards the overall market share of the market.
Seemingly, the Asia-Pacific region has been contributing significantly towards the market share due to an extravagant demand for automobiles in countries of this region.
Factors such as the availability of low-cost labor and innovation in engineering, focus on fuel efficiency and sustainability, and the rising vehicle production levels have been responsible for the growth of the market. This region has been known as the manufacturing hub because of the large-scale production of automobiles.
India and China have been the dominant countries in this region where the demand for automobiles is on a high with a special demand for fuel-efficient vehicles.
On the other hand, Europe is anticipated to dominate the market as it has been generating a major source of market revenue for the market. The global market trends show that Germany is expected to be the largest market in Europe as it is the largest steel-producing country along with a high demand for automobiles.
The Global report helps the investors to gain meaningful information about the market and make decisions wisely. The report discusses the steps taken by the market leaders to boost the market growth and inflate market valuation for their good. The report fully summarises the ongoing market scenario in the Automobile AHSS market which would help the intended audience to seek more information about the market.
|CAGR||9.8% CAGR (2022-2030)|
|Forecast Period||2022 to 2030|
|Historical Data||2019 & 2020|
|Forecast Units||Value (USD Billion)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Product Type, Vehicle Type and Application|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||AK Steel Holding Corporation (U.S.), ArcelorMittal S.A. (Luxembourg), China Baowu Steel Group Corp., Ltd. (China), Kobe Steel Ltd.( Japan), POSCO (South Korea), SSAB AB (Sweden), Tata Steel Limited(India), ThyssenKrupp AG(Germany) and United Steel Corporation (India)|
|Key Market Opportunities||Increasing investment by the industry players in the region|
|Key Market Drivers||Development of automotive manufacturing industries|
The automotive AHSS market is prognosticated to mark 9.8% CAGR.
The automotive AHSS market is expected to be valued at USD 23.45 Bn.
The segments of the automotive AHSS market, on the basis of product type, are dual phase, boron steel, martensitic steel, and others.
The application based segments of the automotive AHSS market are body & closures, suspensions, bumper and others.
The key participants of the automotive AHSS market are AK Steel Holding Corporation (U.S.), China Baowu Steel Group Corp., Ltd. (China), ArcelorMittal S.A. (Luxembourg), Kobe Steel Ltd.(Japan), ThyssenKrupp AG(Germany), SSAB AB (Sweden), POSCO (South Korea), Tata Steel Limited(India), and United Steel Corporation (India).