Compacted Graphite Iron Market size will exceed $9.2 million by 2026
Published Date: November 23, 2020 Authors: Kiran Pulidindi, Hemant Pandey
According to a new research report by Global Market Insights, Inc., the Compacted Graphite Iron Market size will exceed USD 9.2 million by 2026. The growing development of high tensile strength & lightweight materials in various end-use sectors will drive the market growth.
The ever-increasing trend to diminish vehicle weight to enhance fuel efficiency will augment the compacted graphite iron market share
The development of lightweight and high tensile components in the automotive industry is acting as a factor for integration with conventional materials. The key factors that enable the penetration of the compacted graphite iron are the demand for reducing the weight of automotive engines and requirement of sturdier materials and materials with better cooling properties and eco-friendly behavior.
Moreover, CGI’s compliance with automotive regulatory guidelines to offer specific requirements including elongation, heat, and chemical resistance to the components will bolster the compacted graphite iron market demand. Environmental concerns with the focus on the development of lightweight and fuel-efficient vehicles are driving the cast iron’s usage. In addition, the development can be virtually effective with super cars and luxury vehicles.
Furthermore, the superior performance of the vermicular graphite iron over the metal parts has led to the adoption of the product over the forecast timeframe. Government regulations and improvement in the consumer preference are driving the usage of CGI in the automotive industry. The lightness and superior strength of materials have induced a positive impact.
Currently, metal parts dominate the automotive sector, which is a major challenge for cast iron manufacturers and OEMs to shift to the manufacturing of CGI structures in high volumes. The exorbitant cost of raw materials coupled with the lack of automated and repeatable procedures is preventing the compacted graphite iron from being used in the mass production.
Browse key industry insights spread across 225 pages with 210 market data tables & 19 figures & charts from the report, “Compacted Graphite Iron Market, By Grade (300 MPa, 350 MPa, 400 MPa, 450 MPa, 500 MPa), By Product (Spheroid, Nodules), By Application (Automotive, Construction, Marine, Power Generation), Industry Analysis Report, Regional Outlook, Growth Potential, Price Trend, Competitive Market Share & Forecast, 2020 – 2026” in detail along with the table of contents:
Increasing demand for 350MPa grade CGI will heavily drive the product demand
The 350MPa CGI grade segment is likely to register over 4.5% CAGR in terms of revenue by 2026. The grade’s high penetration in luxury cars and SUVs engines is observed globally owing to the strong demand from enhanced affluence level of per capita income in the population. The 350 MPa compacted graphite iron grade is mainly used in these cars, reducing weight and enhancing vehicle-handling capability. The grade’s capability to provide extra efficiency to premium vehicles will increase the compacted graphite iron market sales in the coming years.
Nodule-shaped CGI products are expected to increase proficient market size by 2026
The compacted graphite iron market revenue share is expected to reach approximately 35% by 2026. The nodule-shaped CGI’s economical pricing, heavy load carrying capacity, low weight, and the overall resistance to corrosion from external factors are among the prominent features that aid manufacturers in consumer acquisition. The choice and utilization of appropriate cast iron shape based on vehicle models, size, and price specifications form an integral part of the vehicle layout.
Increasing advancements in the construction sector will boost the demand of compacted graphite iron in the coming years
A significant rise in consumer awareness pertaining to energy conservation along with the increasing carbon footprint across the globe will enhance the product penetration in the market. Stringent regulations pertaining to different building and material codes will impact the industry profitability and growth. The growing demand for the usage of energy-efficient materials in manufacturing automated construction equipment will surge the product consumption in building and construction activities. Compacted graphite iron market revenue from the construction segment is estimated to reach over USD 1 million by 2026.
Increasing product usage in North America will surge the product demand in super car production
North America is the second fastest growing market with a CAGR over 4.5% by 2026. The U.S. ranks among the top nations for the usage of premium cars such as Lamborghini, Ferrari, BMW, Mercedes, Maserati, etc. The surge in the luxury car sales in the U.S. shows that there is a heavy demand from the wealthy class, particularly the youngsters, who prefer such automobiles or the supercars. The people residing in the region spend more on luxury items owing to their higher spending capability, boosting the compacted graphite iron market in the region.
The key industry players in the compacted graphite iron industry comprise Tupy SA, Sintercast AB, Teksid Iron, Saguenay Foundry, Silbitz Group GmbH, Waupaca Foundry, Atlas Foundry Company, Durham Foundry, Hebei Jing County Jinli Casting, Inc., ASI International, Ltd., and Eisengiesserei Baumgarte GmbH.
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