Germany Automotive Parts Die Casting Market

Germany Automotive Parts Die Casting Market Analysis

The Germany Automotive Parts Die Casting Market size is estimated at USD 3.49 billion in 2025, and is expected to reach USD 4.45 billion by 2030, at a CAGR of 5% during the forecast period (2025-2030).

• The COVID-19 pandemic had a negative impact on the die-casting industry. The supply chain was disrupted as several major economies across the world went into lockdown. During this time, all manufacturing units and original equipment manufacturers (OEM) factories were obliged to suspend production and activities. After the economic recovery, demand returned to the market, with considerable demand for die-cast parts in the automobile industry as customer preferences shifted to lighter cars. The current trend is projected to continue, driving the market growth.
• Over the long term, the major presence of automotive component manufacturers across the country is likely to witness major growth in the market. The country is one of the world's leading car producers and is well-known for its excellence in the automotive industry. Several die-casting manufacturers are expanding their manufacturing facilities across the country, which in turn is likely to propel the growth during the forecast period.
• In June 2022, Handtmann, the renowned German solution provider specializing in light metal components, made a significant investment in the Bühlermega casting equipment plant located in Germany. This strategic move allowed Handtmann to further strengthen its position in the market and expand its production capacity for structural parts and body-in-white components throughout the country. The investment was a crucial step in the company's growth and commitment to delivering high-quality solutions to its customers.
• Machinery exports to the European markets showed a slight increase in growth; German machinery exports to the Euro-partner countries rose by 6.3%, while those to the EU-28 increased by 6.6%. Major overseas exports expanded even faster. Exports to China rose by 9.6%, and exports to the United States by 7.1%. However, during the COVID-19 pandemic, the production of raw aluminum dropped by 14% during the first half of 2020, and the processing and production of finished products were reduced by more than 5%.
• Above mentioned trends are likely to continue to grow, owing to the improving country's economic growth, which is further driving the die casting machinery companies to invest in upgrading the advanced CNC die casting machinery, as well as export them to neighboring and international countries. Further, Georg Fischer, Wolf Group, VOIT Automotive GmbH, Rheinmetall AG, and OrtalDie casting are some of the leading players in the country. Rheinmetall AG offers its products to both regional and international manufacturers.

Germany Automotive Parts Die Casting Market Trends

Increasing Aluminium Use in Die Casting Equipment is Likely to Drive Demand for the Die-Casting Market

• Aluminum is much lighter than steel and has numerous advantages over other materials, such as flexibility. The German automotive sector's largest segment is increasingly focusing on using aluminum rather than steel and iron to produce components and parts using die-casting machinery.
• Owing to the high demand for vehicles in the country, Germany is one of the largest markets for automobiles in the world. The presence of leading automobile manufacturers, as well as component manufacturers, is driving growth in the region. Several premium car manufacturers like Mercedes, Audi, BMW, etc., in the country, are spending heavily on enhancing their product lines. Hence, many die-casting companies are investing in expanding their production capabilities in the country.
• For instance, in September 2022, DGS Druckguss Systeme s.r.o. announced that it had begun operations at the Frdlantplant and produces die castings made of aluminum and magnesium alloy for the automotive industry.
• Major players, such as Rheinmetall AG, GF Automotive, Martinrea, Nemak, DGS Druckguss Systeme HandtmannGroup, and others, have together accounted for a major share of the market in the region. Several key players are expanding their facilities to enhance the product portfolio of the company across the region.
• For instance, in September 2022, Rheinmetall AG (Rheinmetall) received a new EUR 20 million order for its advanced air-divert valve, the Turbo Bypass Valve (TBV) Gen 6, establishing it as an industry heavyweight and the source of several recent orders for Group subsidiary. Production will take place at Pierburg'sNeuss, Germany, plant.
• With an increase in vehicle production across the region, there is a high demand for pressure die-casted parts across the region. The rising cost of fossil fuels, as well as the increasing adoption of electric vehicles, are major market drivers. Furthermore, strict environmental regulations and cafe standards have been imposed in different regions to encourage the use of electric vehicles and lightweight components.
• Furthermore, rising technology and investment in improving and optimizing the metal thermal treatment process are expected to aid in overcoming mold replacement and repair issues, potentially leading to greater use of aluminum in the die-casting process among casting manufacturers during the forecast period.
• Based on such development, the market is expected to boom during the forecast period.

Increasing Adoption of Electric Vehicle May Propel the Market Growth

The automotive industry is the most important market for high-pressure die-casting components. Electric car demand has been fast increasing, owing in large part to improvements in emission standards around the world and a shift in customer preferences. These improvements have compelled automakers to replace heavy components with lightweight, environmentally friendly aluminum alternatives.

The German automotive industry is matured, and thus, is also planning to evolve its products from conventional engines to electric by 2030. Additionally, the demand for and sales of electric vehicles have been continually increasing in the country.

Weight reduction is important for hybrid electric, plug-in hybrid electric, and electric cars since battery efficiency is vital. Aluminum die-cast components can significantly reduce vehicle weight, improving overall vehicle performance, increasing fuel or battery economy, and increasing driving range. Electric Vehicle manufacturers and OEMs are making the investment to develop better products which might boost the demand for automotive parts aluminum die casting in upcoming years.

Major automakers are employing best-in-class machines for fabricating their body parts. For instance, Audi AG relies on additive manufacturing to produce selected tool segments at its metal 3d printing center in Ingolstadt, Germany. Audi utilizes the tool segments, which are produced using an EOS M 400 machine, in its press shop to make body panels for models, including the Audi A4. The company plans to do the same for future electric vehicles.

Germany Automotive Parts Die Casting Industry Overview

The Germany Automotive Parts Die Casting Market is fragmented, with many players accounting for a small market share. Some of the prominent companies in Germany's Automotive Parts Die Casting Market and others. The major players in the country are entering into a strategic partnership with global leaders and will focus on developing new products to gain considerable market share.

In April 2022, Ryobi took part in EUROGUSS 2022, where it showcased its latest developments in aluminum die-casting products. Among the products presented were innovative suggestions currently under development, including a battery case, an e-axle case, and a rear-end post (structural part). Additionally, Ryobi demonstrated its commitment to providing high-strength and high-quality die-casting items tailored for the automotive sector. These impressive offerings included electric drive components, structural parts, and cylinder blocks, reflecting the company's dedication to pushing the boundaries of die-casting technology for the automotive industry.

Germany Automotive Parts Die Casting Market Leaders

Germany Automotive Parts Die Casting Market News

March 2022: BMW proudly announced the implementation of cutting-edge multi-plate die-casting technology at their BMW Group factory in Landshut's light metal foundry. This advancement enables the production of component designs that are function-optimized, revolutionizing the die-casting process. The breakthrough was achieved through the development of innovative gating and demolding systems, employing direct gating in multi-plate mold technology.

February 2022: GF Casting Solutions, a prominent leader in sustainable lightweight cast and additive manufacturing solutions, unveiled an exciting collaboration with STARTUP AUTOBAHN. As an open innovation platform driven by Plug & Play, STARTUP AUTOBAHN offers the perfect partnership to further enhance GF Casting Solutions' commitment to innovation and quality leadership in the industry. The collaboration aims to foster advancements in sustainable casting technologies and additive manufacturing, solidifying GF Casting Solutions' position as a forward-thinking industry pioneer.

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