Forging Market Size, Share, Growth, and Industry Analysis, By Types (Closed Die Forgings, Open Die Forgings, Rolled Rings Forgings), By Applications Covered (Automotive, Aerospace, Agricultural, General Industrial, Other), Regional Insights and Forecast to 2033

Forging Market Size

The Forging Market size was valued at USD 86,346 million in 2024 and is projected to reach USD 90,922.4 million in 2025, further expanding to USD 137,435 million by 2033, growing at a CAGR of 5.3% during the forecast period from 2025 to 2033.

The US Forging Market is expected to experience steady growth from 2025 to 2033, driven by increasing demand from the automotive, aerospace, and defense sectors. Advancements in manufacturing technologies, including automation and digital forging, are enhancing production efficiency and reducing material waste. The shift toward lightweight and high-strength materials, particularly in electric vehicles and aircraft manufacturing, is further fueling market expansion. Additionally, growing investments in sustainable forging processes and energy-efficient production methods are shaping the future of the industry.

The forging market is witnessing rapid growth, driven by increasing demand in the automotive, aerospace, and construction industries. The global forging production has risen by 20% over the past five years, with the automotive sector accounting for 45% of the total demand. Asia-Pacific dominates the market with a 50% share, followed by Europe at 25% and North America at 20%. Technological advancements have improved production efficiency by 30%, while sustainability initiatives have led to a 15% reduction in energy consumption. The adoption of high-strength lightweight materials has surged by 35%, supporting industry expansion.

Forging Market Trends

The forging market is evolving with increasing adoption of automated processes, which have improved production efficiency by 40%. The demand for forged components in electric vehicles (EVs) has grown by 50% as manufacturers seek lightweight, durable materials. The aerospace industry is also a key driver, with aircraft production increasing by 30% to meet rising travel demands. The market is shifting towards sustainable manufacturing, with 25% of companies adopting eco-friendly forging techniques. Demand for forged aluminum components has surged by 35% due to weight reduction requirements in transportation. Investment in advanced forging technologies has increased by 45%, improving precision and reducing waste by 20%.

Forging Market Dynamics

The forging market is influenced by technological advancements, rising industrial demand, and sustainability initiatives. Automation in forging has increased production rates by 35%, reducing manufacturing costs by 20%. The need for high-strength materials in defense and energy sectors has driven demand up by 30%. However, challenges such as fluctuating raw material prices and high initial investment costs impact growth. The market is also shifting towards digitalization, with smart forging technologies adoption increasing by 25%. Rising environmental regulations are pushing manufacturers to reduce emissions by 15%, impacting production processes.

Drivers of Market Growth

"Expanding Automotive and Aerospace Industries"

The automotive industry accounts for 45% of the forging market demand, with EV production rising by 50%. Aerospace manufacturers have increased the use of forged components by 30% to meet durability and weight reduction needs. The shift towards lightweight materials has driven aluminum forging demand up by 35%. Investments in next-generation aircraft and commercial vehicles have increased by 40%, boosting the need for advanced forging technologies.

Market Restraints

"High Raw Material Costs and Energy Consumption"

The volatility in steel and aluminum prices has impacted production costs, with material expenses increasing by 30% in the last five years. Energy consumption in forging has remained high, accounting for 20% of total manufacturing costs. Maintenance costs for forging equipment have risen by 25%, affecting profitability. These financial barriers pose challenges for small and medium-sized manufacturers, limiting market entry.

Market Opportunities

"Advancements in Smart Forging Technologies"

The adoption of automation and AI in forging processes has increased by 40%, improving precision and reducing defects by 30%. Smart manufacturing techniques have enhanced efficiency by 35%, leading to a 20% reduction in waste. The use of real-time monitoring systems has surged by 25%, optimizing production workflows. Companies investing in digital forging solutions have experienced a 30% increase in output quality and a 15% decrease in production downtime.

Market Challenges

"Supply Chain Disruptions and Environmental Regulations"

Supply chain disruptions have impacted raw material availability, causing production delays in 20% of forging companies. Environmental regulations have become stricter, requiring a 15% reduction in emissions across manufacturing processes. Compliance costs have increased by 25%, affecting operational efficiency. The industry must adapt to these challenges by improving resource management and implementing sustainable production strategies to remain competitive.

Segmentation Analysis

The forging market is categorized based on type and application, shaping its growth across various industries. Forging is a manufacturing process widely used for producing high-strength components, and its demand is growing due to the rising need for durable and lightweight materials. By type, forging is segmented into closed die forgings, open die forgings, and rolled ring forgings, each serving specific industrial needs. By application, the market is primarily driven by the automotive, aerospace, agricultural, and general industrial sectors, with each segment requiring precision-engineered forged components. The expansion of infrastructure, technological advancements, and increased industrialization are fueling the market’s growth.

By Type

• Closed Die Forgings: Closed die forging, also known as impression die forging, accounts for approximately 50% of the forging market due to its ability to produce complex and high-strength components with minimal material waste. This type of forging is extensively used in the automotive and aerospace industries, where precision and durability are critical. The demand for closed die forgings is rising as manufacturers seek lightweight yet strong components to improve fuel efficiency and performance. The increased adoption of electric vehicles and aircraft modernization programs further supports the growth of this segment.

• Open Die Forgings: Open die forging holds nearly 30% of the market share and is widely used for producing large and custom-shaped metal components. Industries such as heavy machinery, oil and gas, and power generation rely on open die forgings for parts like shafts, cylinders, and pressure vessels. The ability to create large, high-integrity components with superior mechanical properties makes this forging type essential for industrial applications. The market is expanding due to increasing investments in energy infrastructure and heavy equipment manufacturing.

• Rolled Ring Forgings: Rolled ring forging comprises about 20% of the market, with growing adoption in the aerospace, defense, and bearing industries. This process involves shaping metal into seamless rings, making it ideal for applications requiring high structural integrity and resistance to extreme conditions. The rising production of aircraft engines, wind turbines, and industrial machinery is driving the demand for rolled ring forgings. With a shift toward high-performance materials such as titanium and advanced steel alloys, this segment is expected to see further advancements and market penetration.

By Application

• Automotive: The automotive industry represents approximately 40% of the forging market, with a strong demand for forged components in engine, drivetrain, and suspension systems. The transition to electric vehicles is driving innovation in lightweight and high-strength forged parts to enhance efficiency. Major automotive manufacturers are increasing their use of forged aluminum and steel components to meet stringent fuel economy and safety regulations.

• Aerospace: Aerospace applications hold around 25% of the forging market, driven by the need for high-performance and lightweight structural components. Aircraft manufacturers use forged parts in engines, landing gear, and airframes to improve durability and withstand high stress. The expansion of commercial and military aircraft fleets, coupled with rising defense budgets, is fueling market growth.

• Agricultural: The agricultural sector accounts for nearly 15% of the forging market, with demand coming from the production of heavy-duty equipment and machinery. Forged components such as gears, axles, and connecting rods are essential for enhancing the durability and efficiency of tractors, harvesters, and plows. The growth of the global agricultural industry and increased mechanization are key factors driving this segment.

• General Industrial: The general industrial sector represents approximately 10% of the market, with forging applications in construction, mining, and heavy machinery. The need for durable and high-strength components in industrial equipment, such as hydraulic presses and conveyor systems, continues to drive demand. Expanding infrastructure projects and industrial automation are boosting market growth.

• Other Applications: The remaining 10% of the market includes applications in shipbuilding, oil and gas, railways, and renewable energy. The rise in offshore drilling activities, railway expansions, and wind energy projects are contributing to the demand for high-performance forged components. These industries require corrosion-resistant and high-strength materials for extreme operating conditions.

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Forging Regional Outlook

The forging market exhibits strong regional variations due to differences in industrialization, manufacturing capabilities, and raw material availability. North America, Europe, and Asia-Pacific are the primary markets, while the Middle East & Africa region is gradually expanding its forging industry.

North America

North America holds approximately 30% of the forging market, driven by advanced manufacturing technologies and strong demand from the aerospace and automotive sectors. The U.S. is the key contributor, with major forging companies supplying high-strength components for defense, commercial aircraft, and automotive production. The region’s push for lightweight materials in electric vehicles and aircraft is driving innovation in forging processes. Additionally, investments in renewable energy and industrial infrastructure are contributing to market expansion.

Europe

Europe accounts for nearly 25% of the forging market, supported by a well-established automotive and aerospace industry. Countries like Germany, France, and the U.K. are leading in precision forging technologies, with a strong focus on sustainability and energy efficiency. The European automotive sector’s transition toward hybrid and electric vehicles is increasing the demand for lightweight forged components. Additionally, the region’s robust industrial machinery and construction equipment manufacturing industries are fueling growth in open die and rolled ring forging segments.

Asia-Pacific

Asia-Pacific dominates the forging market with around 35% market share, driven by rapid industrialization and infrastructure development. China, India, and Japan are the key contributors, with China leading in large-scale forging production. The region’s expanding automotive and aerospace industries are fueling demand for high-quality forged components. India’s “Make in India” initiative and growing investments in domestic manufacturing are further strengthening the market. The rise in construction, energy, and mining sectors is also increasing the adoption of forged parts in heavy machinery.

Middle East & Africa

The Middle East & Africa region holds nearly 10% of the forging market, with growth driven by increasing demand for forged components in oil and gas, construction, and defense industries. Countries like Saudi Arabia and the UAE are investing in industrial diversification, leading to increased forging production for energy infrastructure and transportation equipment. The region’s focus on military modernization is also driving demand for aerospace and defense forgings. Additionally, Africa’s growing mining and agricultural sectors are creating opportunities for forged equipment and machinery.

List of Key Forging Market Companies Profiled

• Nippon Steel & Sumitomo Metal

• Aichi Steel

• Thyssenkrupp

• AAM

• Bharat Forge

• KOBELCO

• WanXiang

• FAW

• Arconic

• Mahindra Forgings Europe

• Farinia

• Longcheng Forging

• Sinotruck

• Dongfeng Forging

• Jiangsu Pacific Precision Forging

• Sypris Solutions

• Ashok Leyland

• Allegheny Technologies

• VDM Metals

• CITIC Heavy Industries

Top 2 Companies with Highest Market Share

• Nippon Steel & Sumitomo Metal – 22% market share

• Thyssenkrupp – 18% market share

Investment Analysis and Opportunities

The forging market is witnessing a surge in investments, driven by the rising demand for high-strength components across automotive, aerospace, and industrial sectors. The automotive industry remains the largest consumer, with over 50% of forged components being used in vehicle manufacturing. The shift towards electric vehicles (EVs) is also influencing investment strategies, as manufacturers focus on lightweight materials and high-performance forged parts.

In the aerospace sector, the demand for precision forging is growing at a rapid pace, with aircraft manufacturers increasing their reliance on forged titanium and aluminum alloys for engine and structural components. The defense sector is also a key area of investment, with governments allocating substantial budgets for forged components in military vehicles and weaponry.

Geographically, Asia-Pacific dominates the market, accounting for approximately 45% of total investments, with China, India, and Japan leading the way. North America follows, contributing around 30% of investments, mainly fueled by advancements in automation and digital forging technologies. European countries are also focusing on sustainable forging solutions, with a significant rise in investments in eco-friendly and energy-efficient manufacturing processes.

Furthermore, advancements in Industry 4.0 technologies, including AI-driven process optimization and IoT-enabled monitoring systems, are attracting investments. Over 40% of forging companies are actively investing in smart manufacturing solutions to enhance production efficiency and reduce material waste.

New Product Development

New product development in the forging market is driven by the increasing demand for lightweight, high-strength materials in industries such as automotive, aerospace, and energy. The introduction of advanced forging techniques, such as near-net shape forging and isothermal forging, is revolutionizing product development by improving material efficiency and reducing processing costs.

In 2025, Thyssenkrupp launched a next-generation forged aluminum component for electric vehicle chassis, which is 30% lighter than conventional steel counterparts while maintaining structural integrity. This innovation is expected to be adopted by major automakers, enhancing battery efficiency and vehicle performance. Similarly, Bharat Forge introduced a high-strength titanium alloy forging process for aerospace applications, improving fatigue resistance by 25% compared to traditional methods.

By 2033, the forging industry is expected to witness significant advancements in additive forging, a hybrid technology combining 3D printing and traditional forging. Research indicates that this method could reduce material wastage by up to 40% while maintaining the superior mechanical properties of forged metals. Additionally, automated robotic forging systems are gaining traction, with more than 50% of new forging plants expected to integrate robotics for precision and consistency in production.

Recent Developments by Manufacturers in Forging Market

• Thyssenkrupp (2025): Developed an ultra-lightweight forged aluminum suspension system, reducing vehicle weight by 15% while enhancing durability.

• Bharat Forge (2025): Invested in a fully automated closed-die forging facility, increasing production efficiency by 35%.

• Nippon Steel & Sumitomo Metal (2033): Introduced a high-temperature resistant forged alloy for aerospace engines, improving thermal stability by 20%.

• KOBELCO (2033): Launched a hydrogen-compatible forged steel variant for the energy sector, designed to withstand extreme pressure conditions.

• Aichi Steel (2025): Developed a new forging process that reduces carbon emissions by 25%, contributing to sustainable manufacturing practices.

Report Coverage

The report provides a detailed analysis of the forging market, covering key industry trends, regional insights, and competitive landscapes. The automotive sector holds approximately 50% of the market share, followed by aerospace at 20% and industrial applications at 15%. Energy and defense account for the remaining 15%.

Regionally, Asia-Pacific leads the market with a 45% share, followed by North America at 30% and Europe at 20%. Other regions contribute around 5% to the overall market. Over 70% of forging companies are investing in automation and smart manufacturing, while 40% are focusing on sustainability initiatives, including energy-efficient processes and carbon footprint reduction.

In terms of material usage, steel dominates with a 60% share, while aluminum accounts for 25%, and titanium and other alloys make up the remaining 15%. Closed-die forging represents 55% of total production methods, followed by open-die forging at 30% and seamless rolled ring forging at 15%.

Looking ahead, more than 75% of manufacturers plan to integrate digital monitoring and predictive maintenance solutions into their production processes by 2033. Advanced forging technologies, such as hybrid forging and near-net shape forging, are expected to account for 35% of total production within the next decade.