Argentina Automotive Parts Aluminium Die Casting - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2024 - 2029

The Argentina automotive parts aluminum die-casting market is estimated to be valued at 579.62 million in the current year. It is expected to reach 741.34 million by the end of the forecast period, registering a CAGR of 5.68% during the forecast period.

The automotive parts aluminum die casting market in Argentina showed steady growth in line with the country's automotive industry. Argentina includes a well-established automotive sector, which drove the demand for aluminum die-cast components.

Aluminum die casting is a widely adopted technique in the automotive industry due to its efficiency, cost-effectiveness, and ability to produce components. It contributes to vehicle lightweighting and improved fuel efficiency, thus reducing CO2 emissions.

Aluminum components are known for their durability and resistance to corrosion. When used in automotive applications, they can extend the overall lifespan of vehicles, reducing the need for more frequent replacements and the associated emissions from manufacturing new parts.

Argentina Automotive Parts Aluminium Die Casting Market Trends

Passenger Vehicle Sales Driving Growth

Despite a decline in demand for a couple of years in the region, owing to factors such as the socio-political situation in the country, the Argentina passenger vehicle market is expected to grow in the forecast period. The market is well diverse, with several different models available for end users with different fuel types.

Lighter vehicles require less energy to operate, leading to improved fuel efficiency. Aluminum die casting allows automakers to replace heavier components, such as engine blocks and transmission cases, with lightweight alternatives. This results in vehicles that consume less fuel or include a longer electric range in the case of electric vehicles. The electric vehicle market is growing rapidly. Aluminum is a preferred material for EV components due to its lightweight properties. Aluminum die casting is used for electric motor housings, battery enclosures, and other critical EV components. With the transition to EVs, the demand for lightweight materials like aluminum is soaring.

Aluminum is a key enabler in the pursuit to reduce vehicle emissions. Lighter vehicles produce fewer emissions, making them more environmentally friendly and compliant with strict emissions standards. Aluminum die casting offers design flexibility, allowing automakers to create complex and innovative component designs. This flexibility is particularly valuable as consumers increasingly seek unique and personalized vehicle features.

As per a recent patent filing, Tesla developed novel aluminum alloys that can retain both high-yield strength and high conductivity. It makes them suitable for the die-casting of electric vehicle components.

Aluminum Components Decreasing CO2 Emissions in Vehicles

Aluminum is a widely favored metal in the production of automotive components. Its lightweight nature and dimensional stability make it a prime selection for thin-walled machine parts. Typically, low-density aluminum is extensively used in the automotive sector, delivering robust strength even under elevated temperatures. The aluminum die-casting process utilizes a steel mold capable of producing numerous castings in a single session. This method is particularly well-suited for manufacturing components like engine brackets, gearbox cases, valve bodies, hydraulic cylinders, and others.

Aluminum is also known for its high recyclability, with the ability to recycle certain aluminum alloys indefinitely contributing to its eco-friendliness. Furthermore, the production of aluminum parts results in lower environmental pollution, underscoring its significant environmental advantages.

In traditional internal combustion engine vehicles, the use of aluminum components like engine blocks, transmission cases, and structural parts reduces the weight of the vehicle. It, in turn, improves fuel efficiency as less energy is required to propel the vehicle. Lower fuel consumption directly translates into reduced carbon emissions.

Argentina Automotive Parts Aluminium Die Casting Industry Overview

The Argentina automotive parts aluminum die casting market is fragmented, with many players accounting for a small market share. Some of the prominent companies are NEMAK, RYOBI Die Casting, KSPG AG, Interprex Holdings Ltd., ALCOA Inc., and others. The major players in the country are entering into strategic partnerships with global leaders to gain considerable market share. For instance, in June 2022, NanoAL entered a collaborative development partnership with Mitsubishi Corporation RtM Japan and Nikkei MC Aluminium. The objective of this partnership is to create advanced high-pressure die-casting aluminum alloys known for their high-performance properties.

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