Automotive Forging Market By Material Type (Steel, Aluminum, Magnesium, Titanium, Others [Copper, Alloys]); By Process Type (Closed Die Forging, Open Die Forging, Cold Forging, Hot Forging, Precision Forging); By Application (Engine Components [Crankshafts, Connecting Rods, Pistons], Transmission Components [Gears, Shafts], Chassis Components [Control Arms, Knuckles, Links], Drivetrain Components [Axles, Differential Gears], Suspension Components, Others [Braking Systems, Steering Systems]); By Vehicle Type (Passenger Cars, Light Commercial Vehicles [LCVs], Heavy Commercial Vehicles [HCVs], Electric Vehicles [EVs]); By Geography, Segment revenue estimation, Forecast, 2024-2032.

The automotive forging market was worth USD 40 billion in 2023 and will be worth USD 55 billion by 2030, growing at a CAGR of 4.5% during the forecast period.

 

The Automotive Forging market is growing due to the necessity of lightweight and high-strength automobile parts for higher fuel economy and enhanced performance. In 2023, the world production of automobiles exceeded 85 million units; automakers concentrated on the weight reduction of automobiles due to more stringent emission norms, mainly in the EU and North America. Forging produces stronger and lighter components compared to traditional casting or machining, making it ideal for critical parts like crankshafts, connecting rods, and gears. Recent development includes the rise of aluminum and advanced high-strength steel forgings, which help reduce the overall weight of electric and hybrid vehicles, enhancing their range and efficiency. For example, Tesla and other EV manufacturers increasingly use forged components to optimize performance while meeting sustainability goals.

 

The growing demand for electric vehicles (EVs) and lightweight components is a significant opportunity in the Automotive Forging market. As the global electric vehicle (EV) market is expected to grow by more than 20% annually, there is a rising demand for higher-strength forged parts, aluminum, and high-strength steel components. These forged parts offer the advantage of reducing the overall vehicle weight, thus promoting electric vehicle expansion. A relatively new application has been the utilization of forged aluminum in electric drives used in automotive applications where weight saving is paramount to an automobile’s performance and fuel economy. For instance, to attain improved product reliability and optimize energy consumption, leading automotive companies such as BMW and Tesla utilize forged parts in their form of electric vehicles, thereby opening up a large growth segment.

 

Automotive Forging Market Segmentation

By Material Type:

• Steel

• Aluminum

• Magnesium

• Titanium

• Others (Copper, Alloys)

 

By Process Type:

• Closed Die Forging

• Open Die Forging

• Cold Forging

• Hot Forging

• Precision Forging

 

By Application:

• Engine Components (Crankshafts, Connecting Rods, Pistons)

• Transmission Components (Gears, Shafts)

• Chassis Components (Control Arms, Knuckles, Links)

• Drivetrain Components (Axles, Differential Gears)

• Suspension Components

• Others (Braking Systems, Steering Systems)

 

By Vehicle Type:

• Passenger Cars

• Light Commercial Vehicles (LCVs)

• Heavy Commercial Vehicles (HCVs)

• Electric Vehicles (EVs)

 

By Region

North America

• US

• Mexico

• Canada

• Rest of North America

 

Europe

• Switzerland

• Russia

• France

• Germany

• U.K

• Finland

• Turkey

• Netherlands

• Belgium

• Spain

• Italy

• Rest of Europe

 

Asia Pacific

• India

• China

• South Korea

• Japan

• Singapore

• Thailand

• Indonesia

• Malaysia

• Philippines

• Australia

• Rest of Asia-Pacific

 

LAMEA

• Brazil

• Argentina

• Uruguay

• Saudi Arabia

• Rest of LAMEA

 

Segment Analysis for the Air Suspension Market

By Vehicle Type:

Leading Segment: Passenger Cars

Passenger cars dominate the air suspension market, holding over 60% of the market share. The increasing demand for luxury & premium vehicles, especially in developed markets like Europe & North America, is a key driver. Air suspension systems are widely used in high-end passenger cars, such as BMW 7-Series and Mercedes-Benz S-Class, to enhance ride comfort and stability. This segment is expected to grow at a steady CAGR of 7% due to rising consumer preference for comfortable & feature-rich vehicles.

Fastest-Growing Segment: Commercial Vehicles

Commercial vehicles are growing at a faster CAGR of 8.5%, driven by the need for better load handling & enhanced safety in heavy-duty trucks & buses. Air suspension systems improve vehicle stability under heavy loads, making them essential for logistics & public transportation. Volvo & Scania integrate advanced air suspension systems in their trucks to ensure optimal performance & driver comfort.

 

By Technology:

Leading Segment: Electronic Air Suspension (EAS)

Electronic air suspension accounts for approximately 65% of the market, due to its ability to provide real-time adjustments & superior ride quality. This technology is extensively used in luxury SUVs & high-performance vehicles, such as the Range Rover & Audi Q7, which feature adaptive suspension systems for varying road conditions. EAS is projected to grow at a CAGR of 9% as manufacturers increasingly adopt smart technologies for enhanced vehicle dynamics.

Fastest-Growing Segment: Manual Air Suspension

Manual air suspension is witnessing moderate growth at a CAGR of 6% due to its application in cost-sensitive markets & aftermarket installations. It remains popular in commercial vehicles where cost-efficiency is a priority, especially in developing regions like APAC & Latin America.

 

By Component:

Leading Segment: Shock Absorbers

Shock absorbers are the largest component segment, contributing over 30% of the market share. These components play a crucial role in ensuring ride comfort and stability by absorbing road shocks. Companies like KYB & Tenneco are major suppliers of air suspension shock absorbers, which are extensively used in passenger cars & commercial vehicles.

Fastest-Growing Segment: Air Compressors

Air compressors are growing at a CAGR of 10%, driven by their importance in regulating air pressure in suspension systems. As vehicles increasingly adopt electronic air suspension, demand for advanced air compressors that enable seamless performance & energy efficiency is surging. WABCO offers high-performance air compressors integrated with energy-saving technologies for both OEMs & the aftermarket.

 

By End-User:

Leading Segment: OEMs (Original Equipment Manufacturers)

The OEM segment holds a commanding 70% market share, driven by the integration of air suspension systems during vehicle manufacturing. Automakers like BMW, Audi & Volvo are key contributors to this segment, with OEMs focusing on offering factory-installed air suspension as a premium feature. This segment is expected to maintain steady growth at a CAGR of 8% as automakers expand their luxury and electric vehicle lineups.

Fastest-Growing Segment: Aftermarket

The aftermarket segment is expanding at a CAGR of 9%, fueled by increasing retrofitting of air suspension systems in older vehicles. Demand for aftermarket air suspension components is particularly strong in regions like APAC, where vehicle owners seek cost-effective upgrades to enhance comfort & performance. Companies like Arnott & Firestone are leading providers of aftermarket air suspension kits globally.

 

By Region:

Leading Region: Europe

Europe accounts for over 35% of the market share due to the presence of leading automakers and the high adoption of luxury vehicles. Germany, in particular, leads the region with significant investments in advanced suspension technologies by companies such as Continental AG and ZF Friedrichshafen. The market in Europe is projected to expand at a steady CAGR of 7.5%, supported by stringent regulations for vehicle safety & comfort.

Fastest-Growing Region: Asia Pacific

Asia Pacific is the fastest-growing region with a CAGR of 10%, driven by the rising demand for commercial vehicles & the growing automotive market in countries like China and India. Government investments in infrastructure and logistics are further boosting demand for air suspension in commercial vehicles. For example, Tata Motors and Ashok Leyland are integrating air suspension systems in their trucks and buses to meet growing customer demands for better ride quality.

 

Automotive Forging Market Key Players

• Nippon Steel Corporation

• Thyssenkrupp AG

• Bharat Forge Limited

• Aichi Steel Corporation

• Arconic Inc.

• CIE Automotive

• Mahindra Forgings Europe AG

• China First Heavy Industries (CFHI)

• FAW Group Corporation

• Metaldyne Performance Group (MPG)

 

Automotive Forging Market Report Coverage

Report Attribute	Details
Forecast Period	2023 – 2030
Market Size Value in 2023	USD 40 billion
Revenue Forecast in 2030	USD 55 billion
Overall Growth Rate	CAGR of 4.5%
Base Year for Estimation	2022
Historical Data	2017 – 2021
Unit	USD Billion, CAGR (2023 - 2030)
Segmentation	By Material, By Process Type, By Application, By Region
By Material	Steel, Aluminum, Titanium, Magnesium
By Process Type	Closed Die Forging, Open Die Forging
By Application	Engine Components, Transmission Components, Chassis Components
By Region	North America, Europe, Asia-Pacific, LAMEA
Country Scope	US, Canada, Mexico, UK, Germany, France, China, Japan, India, South Korea, Australia, etc.
Pricing and Purchase Options	Avail customized purchase options to meet your exact research needs.