Automotive Subframe Market Assessment, By Product Type [Steel Automotive Subframe, Aluminum Alloy Automotive Subframe], By Application [Front Automotive Subframe, Rear Automotive Subframe], By Region, Opportunities and Forecast, 2017-2031F

Automotive Subframe Market Assessment, By Product Type [Steel Automotive Subframe, Aluminum Alloy Automotive Subframe], By Application [Front Automotive Subframe, Rear Automotive Subframe], By Region, Opportunities and Forecast, 2017-2031F

Global automotive subframe market is projected to witness a CAGR of 6.43% during the forecast period 2024-2031, growing from USD 2.65 billion in 2023 to USD 4.36 billion in 2031. There is an increasing demand for commercial and passenger vehicles owing to rising emphasis on lightweight vehicles, growing concern about harmful gas emissions, and increasing production of electric vehicles. In a car, a subframe is an operational unit that functions as a mounting point for putting together all-important components, such as suspension, steering, and engine in vehicles. The usage of automotive subframes is limitless because it can improve the rigidity of an automotive body. In addition, stringent safety regulations, growing demand for fuel-efficient and lightweight vehicles, and significant innovation in manufacturing technologies have supported the growth of the global automotive subframe market in the forecast period. Manufacturers are actively investing in research and development activities to innovate lightweight subframes and accomplish weight reduction objectives without sacrificing any structural reliability.

The automotive industry is experiencing significant technological innovations that increase the production of subframes with high performance and strength. Also, the manufacturers are making different advancements in manufacturing techniques such as hydroforming, laser welding, and stamping to decrease the weight and enhance crashworthiness. Strict regulations by government agencies for making lightweight vehicles and electric vehicles compelled manufacturers to discover lightweight choices. Lightweight subframes help reduce the overall weight of an automobile and reduce carbon emissions.

For instance, in September 2023, Tesla announced a combined series of advancements to make an innovative technological breakthrough to enhance the production of lightweight electric vehicles. Tesla’s breakthrough aims to design and test large molds for mass production, specifically how they incorporate hollow subframes with internal ribs to reduce weight and improve crashworthiness.

Rising Sales of Lightweight Commercial Vehicles and Electric Vehicles

The demand for automotive subframes is on the rise, driven by increased production and sales of electric and commercial vehicles. These subframes play a crucial role in the automotive industry, distributing heavy local loads over a broader area of the body structure and, importantly, separating harshness & vibration from the rest of the automotive. They are a key element between the road loads and the passenger partition, serving as a mounting structure for the advanced suspension system and reacting to automotive travel on bumps, corners, and acceleration & braking. This importance has led to a wave of innovation and heavy investments in research and development activities by many market players.

For instance, in January 2023, GESTAMP AUTOMOCIÓN, S.A. presented updated and innovative safety and lightweight innovations at Expo 2023. The integration of ‘HighPer Tubes’ into the rear axle subframe design has led to notable improvements, specifically in electric vehicles, by fostering crash performance and simultaneously reducing weight.

Technological Innovations and Competitive Landscape

Technological innovations are transforming the automotive industry. Continuous innovations in manufacturing procedures, raw materials, and design technologies of automotive subframes have a significant impact on the manufacturer’s portfolio and market image. Also, companies are working on introducing types of automotive subframes, such as hydroforming automotive subframes, to reduce carbon emissions. This technology offers an attractive cost-benefit ratio for weight-saving and high potential with good formability. Manufacturers need to stay updated with innovative technologies and innovations to be competitive in the global market and address the rising requirements across the automotive subframe market. In addition, key players are significantly discovering alternative materials and local sourcing to confirm a steady supply of subframe components and decrease the dependency on an individual supplier. The competitive landscape of the market confirms different partnerships and collaborations between the market players, which results in the production of cars and technological innovations in an automotive subframe.

For instance, in August 2023, Zenvo Automotive A/S announced a partnership with Managing Composites to set innovative and new benchmarks for performance, safety, and design with Aurora. The Aurora platform presents an integration of the rear and front subframe, monocoque, into a single composite component to foster the rigidity of 63,000Nm/deg with not more than 120kg comprising the upper body.

Favorable Government Policies and Regulations Push the Market Growth

Governments across the globe are increasingly implementing different government policies for road safety standards and directing the integration of updated and advanced safety features in vehicles. The subframes are designed to support suspension, optimize vehicle dynamics, improve driving comfort, and maintain structural integrity and safety. These are becoming important components for addressing these road safety standards. The government directed manufacturers to run different quality checks before delivering automotive products to their consumers. To ensure the safety of vehicle owners and potentially decrease repair costs, the automotive industry, particularly for high-end automobiles prone to minor collision, would benefit from the availability of inspection devices for both front and rear subframes.

For instance, in August 2023, Bharat New Car Safety Assessment Program (NCAP) announced new vehicle safety norms to improve road safety of motor vehicles weighing up to 3.5 tons. According to this program, the automakers can voluntarily offer their automotives to be tested as per the Automotive Industry Standard 197.

Steel Automotive Subframe Registers the Largest Market Share

The steel automotive subframe dominates the largest market revenue share and is anticipated to rise in the forecast period due to rising awareness of carbon emissions, improved fuel efficiency, and increased adoption of electric vehicles. The growing technological innovations and advancements in vehicles, increasing sales of electric vehicles and commercial vehicles, and increasing need for high-performance and fuel-efficient vehicles are anticipated to drive the demand for steel automotive subframes across the globe. In addition, the government is also emphasizing the manufacturing of lightweight vehicles to improve their performance. This trend has compelled manufacturers to manufacture new and innovative lightweight sportscars, which further increases the demand for steel automotive subframes.

For instance, in February, Suzuki Motor Corp, Daihatsu Motor Co., Ltd., and Toyota Kirloskar Motor announced the production of their performance-oriented lightweight sportscar featuring a 1.0 engine. It is a two-seater hybrid roadster that produces a power output of 120 hp and 200 Nm of torque.

Asia-Pacific Region Leads With the Highest Market Growth

Asia-Pacific region dominates the market growth and is anticipated to rise with maximum CAGR in the forecast period due to an increase in per capita income, economic development, rapid adoption of lightweight vehicles and electric vehicles, and a rise in the need for safe and reliable mobility. In addition, transformation in the automotive industry increased the production of automotive products, which further increased the demand for automotive subframes. In developing regions, the demand for electric vehicles and commercial vehicles is increasing significantly due to strict greenhouse emission norms by the government. This trend drives the growth of the Asia Pacific automotive subframe market.

For instance, in October 2023, Suzuki Motor Corp announced an investment of USD 100 million in elective vehicles and battery manufacturing. In India, by 2025, the company also expects to launch its electric vehicles.

Future Market Scenario (2024-2031F)

Automakers' new manufacturing process will reduce the cost and increase the production of electric vehicles, further increasing the demand for automotive subframes.

Collaboration between automotive market players results in different technological advancements that allow for the effective use of an automotive subframe.

Government norms on the production of lightweight vehicles are driving the growth of the automotive subframe market.

Consumer awareness about road safety features in vehicles pushes the need for automotive subframes across the globe.

Key Players Landscape and Outlook

Key participants in the automotive subframe market include Magna Automotive India Private Limited, BENTELER International AG, and TOYODA IRON WORKS CO.,LTD., among others These companies are constantly investing in different innovations and advancements to expand their manufacturing potential, market share and addressing the rising demand for automobiles. In addition, the market players are adopting different market growth strategies such as collaboration, merger and acquisition, partnership, joint venture, new product development, and others to increase the product portfolio and for business expansion.

In January 2023, LG Electronics Ltd. signed a technical collaboration with Magna International Inc. to establish a proof of concept for a solution for automated driving infotainment. This collaboration focused on allowing readiness for the future of mobility and delivering differentiated customer experiences.

In February 2023, Magna International Inc. announced an investment of over USD 470 million to expand its operations in Ontario, Canada. They also assisted the Ontario government with grants of USD 23.6 million to bring more job training and development programs for personnel.