Market Size of Australia Automotive Parts Magnesium Die Casting Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 3.46 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Australia Automotive Parts Magnesium Die Casting Market Analysis
The Australian automotive parts magnesium die-casting market was valued at USD 507.52 million in the current year and is projected to grow to USD 624.64 million in the coming five years, registering a CAGR of 3.46% in terms of revenue during the forecast period.
- The COVID-19 pandemic hampered the market in focus for the year 2020, primarily attributed to declining vehicle sales and production. Vehicle sales in Australia declined by 13% in 2020 as compared to 2019 vehicle sales. However, post-pandemic, the automotive industry witnessed significant growth in 2021. The overall increase in vehicle sales and expected increase in electric vehicle sales is anticipated to primarily drive the market during the forecast period.
- Over the medium term, lightweight vehicles are gaining popularity among vehicle manufacturers owing to the enhanced fuel economy of automobiles with the adoption of lightweight automotive materials manufacturing crucial parts. Additionally, the lightweight of vehicles must be done without compromising safety before quality and performance.
- Rising installation of magnesium die-cast components in passenger and luxury car segments, a rising establishment of new magnesium molding machinery, increasing automation in the die-casting industry (resulting in a rise in productivity), and high demand from the automotive industry, drawing the attention of automotive manufacturers toward highly durable die casting parts.
- The enactment of stringent emission norms across the country will likely witness significant market growth. The rising consumer trend towards lightweight vehicles is likely to increase the penetration of lightweight parts, such as magnesium and carbon fiber reinforced plastic, to manufacture vehicle components, which in turn is anticipated to boost the market.
- Using magnesium in automotive parts provides certain benefits; for instance, automotive parts made from magnesium are 75% lighter than steel, 33% lighter than aluminum, possess high-impact resistance, a high strength-to-weight ratio, are 100% recyclable, and have an abundant material supply, with excellent dimensional stability.
- Automakers are utilizing magnesium for designing and manufacturing a wide range of products, such as instrument panel frames, steering wheels, seat frames, gearboxes, airbag housings, brackets, front-end carriers, engine blocks, and structural components.
Australia Automotive Parts Magnesium Die Casting Industry Segmentation
Die casting is the process of pouring molten metal into the mold at high pressure. Magnesium is one of the lightest, and most ductile metals used in alloy die casting and machining.
The Australian automotive parts magnesium die casting market has been segmented based on the production process and application type. Based on the production process, the market is segmented into pressure die casting, vacuum die casting, squeeze die casting, and semi-solid die casting. Based on the application type, the market is segmented into body assemblies, engine parts, transmission parts, and other application types.
For each segment, the market sizing and forecast have been done based on the value (USD).
| Production Process Type | |
| Pressure Die Casting | |
| Vacuum Die Casting | |
| Squeeze Die Casting | |
| Semi-Solid Die Casting |
| Application Type | |
| Body Assemblies | |
| Engine Parts | |
| Transmission Parts | |
| Other Aplication Types |
Australia Automotive Parts Magnesium Die Casting Market Size Summary
The Australian automotive parts magnesium die casting market is poised for growth, driven by the increasing demand for lightweight vehicles and the rising popularity of electric vehicles. The market is experiencing a shift as manufacturers replace heavier components with magnesium alloys, which offer significant advantages such as a high strength-to-weight ratio and recyclability. This trend is further supported by the automotive industry's focus on enhancing fuel efficiency and meeting stringent emission norms. The adoption of magnesium die-cast components in various vehicle segments, including passenger and luxury cars, is expected to bolster market expansion. Additionally, the establishment of new magnesium molding machinery and increased automation in the die-casting industry are contributing to higher productivity and demand.
Despite the challenges posed by the COVID-19 pandemic, the market has shown resilience and is projected to continue its upward trajectory. Key players in the industry are investing in advanced manufacturing facilities and technologies to meet the growing demand for magnesium die-casting parts. The Australian government's support in the form of financial commitments to enhance production capabilities further underscores the market's potential. However, the higher cost of magnesium die casting compared to alternatives like aluminum remains a concern for manufacturers. Nonetheless, the benefits of using magnesium, such as reduced transportation costs and improved vehicle performance, are likely to drive its adoption in the automotive sector.
Australia Automotive Parts Magnesium Die Casting Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Drivers
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1.2 Market Restraints
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1.3 Porter's Five Forces Analysis
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1.3.1 Threat of New Entrants
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1.3.2 Bargaining Power of Buyers/Consumers
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1.3.3 Bargaining Power of Suppliers
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1.3.4 Threat of Substitute Products
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1.3.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION (Market Size in Value - USD)
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2.1 Production Process Type
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2.1.1 Pressure Die Casting
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2.1.2 Vacuum Die Casting
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2.1.3 Squeeze Die Casting
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2.1.4 Semi-Solid Die Casting
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2.2 Application Type
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2.2.1 Body Assemblies
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2.2.2 Engine Parts
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2.2.3 Transmission Parts
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2.2.4 Other Aplication Types
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Australia Automotive Parts Magnesium Die Casting Market Size FAQs
What is the current Australia Automotive Parts Magnesium Die Casting Market size?
The Australia Automotive Parts Magnesium Die Casting Market is projected to register a CAGR of 3.46% during the forecast period (2024-2029)
Who are the key players in Australia Automotive Parts Magnesium Die Casting Market?
A.F. Diecasters, Diecast Australia Pty. Ltd., HARROP ENGINEERING, Bühler AG and MAGNIUM AUSTRALIA are the major companies operating in the Australia Automotive Parts Magnesium Die Casting Market.
