United States Automotive Parts Die Casting Market Size

US Automotive Parts Die Casting Market Analysis

The United States automotive parts Die-Casting market for automobiles has matured and is witnessing steady growth over the past couple of years. Though affected by the economic crisis and government tax policies that affected the small firms, as a whole, the regional market continues to dominate the global market, with the growing automobile industry in the country. 

• The market studied is largely driven by supply chain complexities in the die casting industry, the expanding automotive market, increasing penetration of die casting parts in industrial machinery, the growing constructional sector, and employing aluminum casts in electrical and electronics.
• The CAFÉ standards and EPA policies to cut down automobile emissions and increase fuel efficiency are driving the automakers to reduce weight of the automobile by employing lightweight non-ferrous metals. Subsequently, employing die-cast parts as a weight reduction strategy is acting as a major driver for the former market in automotive segment.
• However, crunch in raw material supply, volatility in raw material prices, and environmental regulations on emission for the metallurgy industries are acting as major barriers for the market growth.
• However, with the outbreak of coronavirus during 2020, the whole supply chain of automotive industry was impacted very badly. The OEMs are struggling to keep their operations going, as the forced lockdown impacted their cash positions very badly. In the demand side, the end consumers are also fighting hard to manage their finances, as the pandemic resulted in job losses.