The automotive lightweight materials industry is constantly witnessing new developments and innovations, with stricter regulatory standards regarding vehicular emissions. Vehicular light-weighting is directly linked with improved performance and lower carbon emissions. It helps ensure that automakers’ fleet averages are in line with the required industry standards and allows drivers save taxes.
As the electric mobility trends continues to gain traction, the need for lightweight materials in the auto industry will grow significantly. Weight reduction is a top priority among EV manufacturers as they aim to make electric car designs more sustainable.
In August 2020, McLaren Automotive had launched a new flexible and lightweight EV design which was engineered, developed, and manufactured in-house at the McLaren Composites Technology Centre (MCTC) in U.K. The new design is specifically designed to support new hybrid powertrains.
According to a research report by Global Market Insights, Inc., the automotive lightweight materials market size is projected to reach nearly US$247 billion by 2026. Following are some of the emerging trends that will transform the industry outlook in the coming years.
Steel to capture a substantial market share
Steel will continue to be the material of choice in the automaking industry, its demand growing at a CAGR of about 8.5% through 2026. Newer, more powerful varieties of steel such as high strength steel, advanced high strength steel, and ultra-high strength steel are helping in weight reduction by lowering the specific density and reducing sheet gages, enabling considerable emission reduction.
The rising penetration of electric cars in emerging markets on account of tightening government regulations regarding carbon emissions will certainly boost steel demand in the future.
Growing use in powertrain applications
Powertrain accounts for a considerable percentage of the overall vehicle weight. As a result, it is important to use lightweight and high-performance materials for manufacturing powertrains. Engine blocks were conventionally made of heavy steel and iron. However, with constant developments in the past few years, newer, more lightweight materials are gradually these conventionally used materials. It is estimated that the Automotive Lightweight Materials Market share from powertrain applications will be worth more than US$50 billion by 2026.
Strict carbon emissions norms in Europe
With growing concerns regarding environmental sustainability, the European Union has introduced stricter Euro 6 norms pertaining to the reduction of carbon emissions along with other pollutants such as nitrogen oxide and carbon monoxide. Consequently, research activities for the development of more efficient automotive materials has gathered considerable pace over the years.
In terms of revenue, Europe is likely to capture around 25% of the automotive lightweight materials market by the end of 2026. The presence of leading automakers in the region focusing on designing more lightweight and sustainable vehicles will certainly bolster the regional outlook.
Strong growth in the BEV segment
Ongoing efforts towards minimizing fuel emissions and stringent air quality standards in many countries has led to the widespread adoption of battery electric vehicles (BEV). Increased income levels of consumers are allowing them to invest in high-performance BEVs and contribute towards emission reduction. The governments in numerous countries have undertaken initiatives for tax exemption for BEVs, which will further boost their adoption in the forthcoming years.
The BEV segment is expected to hold a substantial share of the automotive lightweight materials market through 2026. Vehicle weight reduction not only improves the performance and fuel economy but ensures greater safety for the driver and passengers. Government and regulatory organization worldwide it is one of the most efficient ways of cutting energy consumption and subsequent emissions.
The global Automotive Lightweight Materials Market will witness some remarkable trends in the near future, with constant efforts by automakers towards developing lightweight and high-performance auto designs.
Source: Global Market Insights, Inc.
