cold forming and cold heading Market

The cold forming and cold heading market is expected to grow from US$ 19,510.15 million in 2022 to US$ 27,332.39 million by 2028; it is estimated to grow at a CAGR of 5.8% from 2022 to 2028.

The demand for cold forming and cold heading solutions has increased in commercial and military aircraft production due to its crucial role in constructing aircraft bodies. With a surge in air passenger traffic worldwide, major airlines from developed and developing countries are increasing their aircraft fleets, driving the demand for aircraft manufacturing. The defense industry's rising demand for military aircraft has also boosted the market growth. For instance, in July 2022, Voyager Aviation Holdings, LLC (VAH) signed a purchase agreement worth US$ 300 million with a blue-chip aircraft leasing firm for 7 new and in-production aircraft. Furthermore, in November 2021, Indigo partner portfolios procured an additional 255 A321neo aircraft, while in September 2021, the Indian government announced the purchase of 56 Airbus C-295 military aircraft worth US$ 2.5 billion. These contracts are expected to accelerate aircraft manufacturing activities, further driving the growth of the cold forming and cold heading market.

The global cold forming and cold heading market is experiencing a surge in demand due to the rapid growth of the automotive industry worldwide. Major automotive manufacturers are investing heavily in developing autonomous and electric vehicles, increasing the production of automobiles globally. This rise in production is driving the demand for cold forming and cold heading solutions. Additionally, various government initiatives aimed at boosting the automotive production industry are expected to positively impact the overall production volume, further fueling the growth of the global cold forming and cold heading market.

Cold heading machines are used extensively in the automotive industry to produce molded parts made from metals such as copper-based alloys, brass, stainless steel, and aluminum. These parts, such as terminals, pins, and sensors, are used in automotive control units, engine control units, and pressure sensors. The demand for environmentally friendly and fuel-efficient vehicles and advancements in electric and hybrid vehicles is increasing due to technological progress, climate change policies, and changing consumer preferences. This trend is driving the growth of the cold heading industry in the global automotive sector.

The demand for cold forming and cold heading solutions is rising due to the growing investment in developing energy-efficient and environmentally friendly vehicles in North America and Europe. As a result, automakers in these regions are expanding their production facilities, which is expected to drive the demand for cold forming and cold heading. Additionally, multinational automakers are investing in Asia Pacific countries like India, Indonesia, Malaysia, and Thailand, further boosting the growth of the cold forming and cold heading market.

In developing countries, the electronics industry has experienced substantial growth in recent years. The use of cold heading machines is beneficial for the appliances industry as it aids in manufacturing gears and fasteners required for assembly. Cold heading eliminates the issues of porosity, segregation, large inclusions, and other casting imperfections, minimizing the likelihood of parts leaking under high pressure. Therefore, cold heading is well-suited for certain high-pressure and hydraulic components. For example, leak-proof rod materials can replace rod ends and fittings for 3,000 psi cylinders. Cold heading machines are used in the electrical industry to produce cold heading rivets for electrical contacts, with solids and bimetals being the most popular. In certain cases, appliances also require custom cold-pressed parts, such as rivets and fasteners. As a result, these factors are expected to drive demand for cold forming and cold heading market materials and increase demand for cold forming and cold heading market in electrical applications, leading to strong growth in this segment in the years to come.

Cold forming and cold heading machines are expected to increase usage due to growth in the construction industry. Connectors made using these machines are widely utilized in construction, and investments in this industry will contribute to developing the cold forming and cold heading market. For instance, according to the Canadian Bureau of Statistics, investment in various sectors such as housing, industry, commerce, institutions, and government totaled US$ 122,414 million in April 2021, compared to US$ 100 million in March 2021. The increasing demand for these machines from the construction industry and other sectors such as electrical will further boost the growth of the cold forming and cold heading market.

The global cold forming and cold heading market size has been determined through a comprehensive approach that combines primary and secondary research sources. Secondary research involved collecting qualitative and quantitative information from internal and external sources to provide an overview and forecast each segment's market. Primary interviews were conducted with industry experts such as VPs, business development managers, cold forming and cold heading market intelligence managers, national sales managers, as well as external consultants including valuation experts, research analysts, and key opinion leaders who specialize in this market. The major players in the market include STANLEY, Altra Industrial Motion Corp., KALYANI FORGE, Bharat Forge, National Machinery, Cold-Flow Corporation, Deringer-Ney Inc, Buchanan Metal Forming Inc, Fukui Byora Co., Ltd., and Cold Heading Company. These companies are utilizing strategies such as product development, mergers, and acquisitions to improve their product offerings and maintain a competitive edge in the market.