What Does American Die Casting Growth Suggest for the UK?

Date: March 30, 2016

Excellent news for American companies who, like us, focus their energies on producing die cast components to be used in manufacturing: as of November 2015 the industry was not just healthy, but set to grow significantly over the next 7 years.

This is particularly true when it comes to the automotive industry, which is forecast to have a strong compound annual growth rate of 7.8% until 2022. New innovations in technology as well as new regulations for performance are two of the most important factors driving this encouraging growth; as car manufacturers push for new ways to make their vehicles lighter or to reduce emissions, they often find themselves returning to the drawing board to redesign parts and have them re-cast.

Our UK foundry is equipped with automated cells and robotics.

Since qualities such as precision and uniformity between parts are so vital in the automotive industry - as they are in many other similar technical industries - the die casting process is a natural choice for ensuring that the parts in question meet all of the required specifications.

This swelling market for automotive die casting in the US seems to be being matched by more demand from many other industries, too, and growth in markets such as renewables, architecture and electronics can feed back into the die casting industry.

But can we expect to see the same thing right here in the UK? It certainly looks hopeful, with the UK Institute of Cast Metals Engineers confirming that the castings industry is certainly growing, with a prediction that: ‘more than 100 million tonnes of casting will be produced globally next year, more than ever before.’

Returning to the automotive industry specifically also gives a lot to look forward to: looking back to 2014, the automotive industry grew by 6.6% - a trend which looks likely to continue – and, as is the case in America, the growth of that industry has a direct and positive impact on growth in die casting.

Car door handle

Early predictions looking at automotive castings made from aluminium specifically suggest that, in the next 4 years, we will see a growth rate of 5.37% - not quite as strong as in America, but decidedly healthy none the less. This reflects wider trends from across Europe, where aluminium has become more and more popular as a material for car parts and, crucially, has risen to meet the challenges of strength and durability – it is our hope that any growth in the market is met by a comparable growth in standards!

That is certainly the case here at The Dean Group, where we put the utmost care and attention into each and every cast that we produce, whether for automotive vehicles or any other industry. To find out more about our work, why not get in touch today – whether online or at 0161 775 1633 – and talk to an experienced member of the team.

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