Automotive Metals Market Size was valued at USD 93.8 Billion in 2022. The Automotive Metals industry is projected to grow from USD 98.6 Billion in 2023 to USD 148.02 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 5.20% during the forecast period (2023–2032). Increased demand for personal vehicles with abundant raw materials, government initiatives to enhance the manufacturing capabilities in the developing economies, and new technologies are the key market drivers enhancing market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Market CAGR for the automotive metal market is due to the rising demand for personal vehicles to travel long distances from homes, offices, educational institutions, and shopping centers worldwide. Everyone wants their vehicles to travel, whether they are students or elders.
Additionally, governments in several nations are taking steps to improve the capacity for automobile manufacturing. To reduce carbon footprints, they also emphasize using environment-friendly materials. Moreover, the industry is positively impacted by the increasing use of lightweight materials in producing automotive parts, body structures, and power trains. These materials include aluminum and magnesium. These two materials used in the automobile sector are expanding the fastest growth. In part due to the increased emphasis on sports vehicles and auto racing, the market is anticipated to experience favorable development during the coming years.
Manufacturers have put a lot of effort into figuring out how to create cheaper steel grades, and a lighter steel grade is AHSS (Advanced High-Strengthen Steel). AHSS has made up around 60% of the body structure of motor vehicles, making them lighter and more fuel-efficient thanks to optimized vehicle design. This lowers emissions of greenhouse gases from moving automobiles. Steel also has excellent recyclable qualities. The need for steel in the production of automotive vehicles is anticipated to rise as a result of regulations regulating the end of the life of vehicles in nations like India, Japan, and South Korea. As a result, it is anticipated that demand for the automotive metal market will increase throughout the projection period due to the rising demand for automobiles. Thus driving the Automotive Metals market revenue.
The Automotive Metals Market segmentation, based on breakup by product, includes aluminum, steel, and magnesium. The steel segment dominated the market, accounting for the maximum market revenue. Steel's reasonableness and superior attributes will favorably impact the automobile sector. Compared to other metals, steel has a high rate of recycling. The ELV regulations in Europe, Japan, and South Korea will promote steel usage in the upcoming years. In developing economies, category growth is driven by an expanding overweight population and increased consumer knowledge of low-calorie beverages.
The Automotive Metals Market segmentation, based on breakup by application, includes body structure, power train, suspension, and others. The body structure category generated the most income due to its low cost of ownership, high degree of recyclable nature compared to plastics and composites, and ease of maintenance and repair; vehicle body structure goods are becoming increasingly in demand. Many manufacturers are switching to lighter materials like aluminum and magnesium to reduce care weight.
The Market segmentation, based on breakup by the end user, includes passenger cars, light commercial vehicles, and heavy commercial vehicles. The passenger cars generated the most income due to the increase in demand for passenger automobiles in APAC and North America. The willingness of consumers to purchase more durable and high-quality has increased. Manufacturers are attempting to create new products with premium features and affordable rates. The need for metals in passenger car segments will probably increase due to these causes.
The need for cars is expected to increase due to government attempts to improve the road infrastructure, including expanding highways and regulating traffic. The need for automotive metals will consequently increase during the projection period.
Figure 1: Automotive Metals Market by End User, 2022 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
By region, the study provides the market insights into North America, Europe, Asia-Pacific, and Rest of the World. The North American market area will dominate this market, owing to rising vehicle fuel efficiency by initiatives taken by the government. In addition, reducing carbon dioxide emissions will boost market growth in this region.
Further, the major countries studied in the market report are The US, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: Automotive Metals Market Share By Region 2022 (USD Billion)
Europe's Automotive Metals market accounts for the second-largest market share due to the rising demand for personal vehicles and increased disposable income. Further, the German Automotive Metals market held the largest market share, and the UK Automotive Metals market was the fastest-growing market in the European region.
The Asia-Pacific Automotive Metals Market is expected to grow at the fastest CAGR from 2023 to 2032 due to government policies, consumer preference, environmental regulations, and competition. Moreover, China's Automotive Metals market held the largest market share, and the Indian Automotive Metals market was the fastest-growing market in the Asia-Pacific region.
Leading market players are investing heavily in research and development to expand their product lines, which will help the market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Automotive Metals industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Automotive Metals industry to benefit clients and increase the market sector. In recent years, the Automotive Metals industry has offered some of the most significant advantages to automotive metal market. Major players in the Automotive Metals market, including Allegheny Technologies Incorporated, ArcelorMittal S.A., JSW Steel Ltd, Nippon Steel Corporation, Noveils Inc. (Hindalco Industries Limited), Nucor Corporation, POCSO, Tata Steel Ltd, Thyssenkrupp AG, United States Steel Corportaion and Voestalpine AG, and others, are attempting to increase market demand by investing in research and development operations.
Nippon Steel was established by merging two big companies, Yawata Iron & Steel and Fuji Iron & Steel. However, the business started reducing production in 1981, leading to a significant profit drop for that fiscal year. When forced to shut down furnaces, the company displayed a typical Japanese economic aversion to layoffs, choosing instead to offer both traditional early retirement inducements and less traditional plans like a mushroom cultivation venture that used the excess heat produced by steel furnaces to temperature control a fecund fungi complex. Nippon Steel Corporation is one of the largest manufacturing facilities in Japan and at least 15 other nations. The Nippon Steel Group does business in four sectors: engineering and construction, chemicals and materials, system solutions, and steelmaking and fabrication, commencing with its core business. The company engages in these businesses based on the four pillars outlined in its medium-to long-term management plan. The company will seek cutting-edge manufacturing technologies to be the "best steelmaker with leading capabilities." In September 2023, Nippon Steel Corporation (Nippon Steel) will use its low CO2 steel product, "NSCarbolex TM Neutral"*1, on the Dutch geothermal project "85 Degrees Renewables Bleiswijk." The geothermal well will be developed and run by the project's owner, 85 Degrees Renewables (85 Degrees), with assistance from ITECO Oilfield Supply France SAS (ITECO).
Novelis utilizes its global production and recycling presence to supply consistent, high-quality products worldwide by operating an integrated network of technologically cutting-edge rolling and recycling facilities across North America, South America, Europe, and Asia. Novelis business operations are fundamentally committed to sustainability, and this commitment extends to how the company collaborates with stakeholders along the aluminum value chain. To help its clients reach their sustainability goals and give consumers the eco-friendly products they want, the company sees enormous prospects in extending the usage of lightweight, infinitely recyclable aluminum. In May 2023, Novelis Inc., a top supplier of environmentally friendly aluminum products and a global pioneer in aluminum recycling, today announced the opening of its brand-new roll-forming development line. Novelis will be able to satisfy Automotive Metals market demand for a method that can generate significant quantities of high-strength aluminum auto parts with the aid of the new development line.
July 2023: The inaugural XCarb TM Accelerator Program's winner, CHAR Technologies, will receive a $5 million investment from ArcelorMittal's XCarb TM Innovation Fund. The program looks for the top businesses and cutting-edge innovations with the potential to speed up the decarbonization of the steel sector.
September 2022: Magna continues to deliver important innovations that address trends towards vehicle accessibility even as the mobility transformation is underway. Rear thermoplastic swing doors, its most recent invention, are debuting with the all-electric Volkswagen ID on the Automotive Metals market Buzz.
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 93.8 Billion |
| Market Size 2023 | USD 98.6 Billion |
| Market Size 2032 | USD 148.02 Billion |
| Compound Annual Growth Rate (CAGR) | 5.20% (2023-2032) |
| Base Year | 2022 |
| Market Forecast Period | 2023-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Product, Application, End User, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The US, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Â Allegheny Technologies Incorporated, ArcelorMittal S.A., JSW Steel Ltd, Nippon Steel Corporation, Novelis Inc. (Hindalco Industries Limited), Nucor Corporation, POCSO, Tata Steel Ltd., Thyssenkrupp AG, United States Steel Corporation and Voestalpine AG |
| Key Market Opportunities | Rising demand for electric vehicles |
| Key Market Dynamics | Increasing demand for personal vehicles Rising disposable income |
Automotive Metals Market Highlights:
Frequently Asked Questions (FAQ) :
The Automotive Metals Market size was valued at USD 93.8 Billion in 2022.
The global market is projected to grow at a CAGR of 5.20% during the forecast period, 2023-2032.
North America had the largest share in the global market
The key players in the market are Allegheny Technologies Incorporated, ArcelorMittal S.A., JSW Steel Ltd, Nippon Steel Corporation, Novelis Inc. (Hindalco Industries Limited), Nucor Corporation, POCSO, Tata Steel Ltd, Thyssenkrupp AG, Unites States Steel Corporation and Voestalpine AG.
The steel category dominated the market in 2022.
The passenger cars had the largest share in the global market.
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