Alloy Wheels Market by Material Type (Aluminum Alloy, Titanium Alloy, and Magnesium Alloy), Type (Forging, Casting, and Others), Rim Size (12 Inches - 17 Inches, 18 Inches - 21 Inches, and More than 22 Inches), Vehicle Type (Passenger Vehicle and Commercial Vehicle), and Regional Analysis (North America, Europe, Asia-Pacific, and LAMEA): Global Opportunity Analysis and Industry Forecast, 2022-2031

Automotive systems and accessories

AU23028617

Pages: 250

Feb 2023

Reports Overview

Global Alloy Wheels Market Analysis

The Global Alloy Wheels Market Size was $17,600 million in 2021 and is predicted to grow with a CAGR of 6.2%, by generating a revenue of $31,568.2 million by 2031.

Global Alloy Wheels Market Synopsis

The growth of the alloy wheels market has been largely driven by technological advancements in manufacturing processes. With the advent of modern technologies, manufacturers are now able to produce high-quality alloy wheels with greater efficiency and accuracy. This has led to an increase in demand for alloy wheels, as consumers are more likely to purchase a product that is both durable and visually appealing. One major advancement in manufacturing processes has been the use of computer-aided design (CAD) and computer-aided manufacturing (CAM) technologies. These technologies have allowed manufacturers to produce alloy wheels with intricate designs and precise specifications, while also reducing the cost of production. Additionally, the use of robotics and automation in the manufacturing process has increased the speed and accuracy of production, leading to increased efficiency and reduced production times. These factors are anticipated to boost the alloy wheels market growth in the upcoming years.

However, the complex process also increases the risk of production errors, leading to defective or sub-par products that need to be scrapped or reworked. This further drives up costs and reduces the overall efficiency of the manufacturing process. Additionally, the need for specialized machinery and skilled labor also makes the production of alloy wheels more challenging, leading to increased production time and higher costs. The higher costs associated with the production of alloy wheels can also make it difficult for smaller players in the market to compete with established brands, reducing the overall competitiveness of the alloy wheels market size.

The increasing use of alloy wheels in the luxury and high-performance vehicles is anticipated to offer excellent opportunities. This is because alloy wheels are cost-effective as well as in Asia-Pacific, countries like China, India, and Japan are witnessing a significant increase in demand for luxury vehicles, thereby providing ample growth opportunities for the alloy wheels market. The growth of the automotive industry in the region has led to an increase in the production of vehicles, thereby creating a huge demand for alloy wheels. The increasing demand for luxury and high-performance vehicles in emerging markets is expected to drive the growth of the alloy wheels market in these regions, thereby providing ample growth for alloy wheels market opportunities for market players.

According to regional analysis, the Asia-Pacific alloy wheels market accounted for the highest market share in 2021. The Asia-Pacific region is expected to be the largest market for alloy wheels due to the growing automotive industry in countries like China, India, and Japan. The market is expected to continue its growth trajectory in the coming years due to the increasing demand for high-performance vehicles and the trend towards personalized mobility solutions.

Alloy Wheels Overview

Automobile wheels constructed of an alloy of aluminum, carbon epoxy, E-glass epoxy, glass epoxy, titanium, and magnesium are called alloy wheels. Alloy wheels are different from regular steel wheels due to their lighter weight as well as attractiveness and enhances the speed of the vehicle. The control of a car can be greatly improved with lightweight wheels such as alloy wheels. Aluminum alloy, which is more durable, is increasingly used to make alloy wheels.

COVID-19 Impact on Global Alloy Wheels Market

The COVID-19 pandemic has brought several uncertainties leading to severe economic losses as various businesses across the world were at a standstill. This has ultimately lowered the demand in the alloy wheels market due to disruptions in supply chain, closure of manufacturing plants, as well as economic slowdown across several countries. In addition, the import-export restrictions were laid down. Factors such as decreasing vehicle sales, temporary shutdowns of manufacturing facilities and raw material suppliers, and border closures have caused disruptions in the supply chain. In addition, the construction & automotive sector faced the highest impact in terms of sales and acquisition of new projects due to which the alloy wheels demand reduced significantly. However, disruptions in the exports of automotive parts from China as well as closure of automotive assembly and manufacturing units have hampered the alloy wheels market share during the pandemic. As the situation returns to normal, the market is likely to recover and increase significantly throughout the forecast period. The increasing penetration of alloy wheels in mid-spec car models globally, as well as the introduction of diamond-cut/dual-tone alloy wheels as standard even in economic variants of car models in developing countries such as India, are expected to drive the alloy wheels market over the forecast period. These initiatives are predicted to drive the alloy wheels market size during the analysis timeframe.

Growing Demand for Fuel-efficient Vehicles and Weight Reduction Sector to Drive the Market Growth

The growing demand for fuel-efficient vehicles has a major role in driving the alloy wheels market. With the increasing focus on reducing carbon emissions, automakers are investing in lightweight components that help to improve fuel efficiency. Alloy wheels are made of a combination of aluminum and other metals, which are lighter in weight than traditional steel wheels. This reduction in weight results in lower fuel consumption, which makes vehicles more environmentally friendly. Furthermore, a factor contributing to the growth of the alloy wheels market is the growing trend toward weight reduction in vehicles. Automakers are increasingly looking for ways to reduce the weight of their vehicles to improve fuel efficiency, performance, and handling. Alloy wheels are a popular choice for weight reduction as they offer a high strength-to-weight ratio and are lighter than steel wheels. Additionally, alloy wheels are also more aesthetically appealing, which has added to their popularity among consumers. The growing demand for fuel-efficient and lightweight vehicles is driving the demand for alloy wheels in the automotive industry.

To know more about global alloy wheels market drivers, get in touch with our analysts here.

High Cost of Alloy Wheels to Restrain the Market Growth

The high cost of alloy wheels can make them a less attractive option for budget-conscious consumers who may prioritize affordability over aesthetics and performance. Furthermore, the cost of alloy wheels can be prohibitive for those who are looking to upgrade their vehicle. Moreover, the limitation is that not all vehicles are equipped to handle the added weight of alloy wheels, which can lead to suspension or tire problems and additional costs. Furthermore, some high-performance vehicles may require specific and more expensive alloy wheels designs to ensure proper performance and handling, which is anticipated to hamper the alloy wheels market growth.

Use of Alloy wheels as an increase of the automotive industry to Drive Excellent Opportunities

Alloy wheels are popular among car enthusiasts as they not only enhance the aesthetics of the vehicle but also provide improved performance, fuel efficiency, and reduced weight. Also, the growth of the automotive industry in emerging economies, such as China, India, and Brazil, has also created a huge demand for alloy wheels in these regions. Moreover, the trend of personalizing vehicles has also driven the demand for customized alloy wheels. In addition, the increasing demand for green vehicles and the trend toward reducing carbon emissions have increased the demand for lightweight alloy wheels, which help reduce fuel consumption and emissions. This presents a huge opportunity for manufacturers to develop eco-friendly alloy wheels and cater to the growing demand. Moreover, the growing automotive industry presents a significant opportunity for manufacturers to tap into the increasing demand for alloy wheels market share.

To know more about global alloy wheels market opportunities, get in touch with our analysts here.

Global Alloy Wheels Market, by Material Type

Based on material type, the market has been divided into aluminum alloy, titanium alloy, and magnesium alloy. Among these, the aluminum alloy sub-segment accounted for the highest market share in 2021 as well as this segment is estimated to show the fastest growth during the forecast period.