The global spring market size is expected to reach USD 33.3 billion by 2019, registering a CAGR of 4.5% during the forecast period, according to a new report by Grand View Research, Inc. The market is expected to gain prominence over the forecast period owing consistent growth in the demand of springs from the different end-use verticals such as automotive and transportation, agriculture and forestry, and construction. Also, the adoption of heavy industrial machinery in developing countries to optimize the manufacturing process is also expected to drive the market over the forecast period.
Industrialization and trade have strengthened each other. Trade has provided access to critical industrial inputs such as raw material and updated technologies such as robotics and Computer-aided manufacturing (CAM) for countries which are incapable of producing them. Increased demand for exports has spurred technological development and industrial production. In turn, the introduction of new industrial technologies such as use of 3D printers in manufacturing has shaped the pattern of manufacturing sector and hence increasing the demand for springs from robotics as well as from manufactured products.
Europe accounted for more than 25.0% of the global revenue generated in the market in the year 2019. Rising government investments to boost electric vehicle production/sales is anticipated to promote regional growth over the coming years. In Asia Pacific, the market is expected to witness the fastest growth over the forecast period, owing to substantial growth of manufacturing sector in countries such as China and India.
However, the market is depended on demand from its end users such as automotive and manufacturing. Therefore, the onset of financial crisis is expected to adversely impact market growth. Also, prices of raw materials such as metal and alloy have rapidly fluctuated, hampering market growth. Furthermore, the presence of a large number of domestic and international market participants has made the market highly competitive. The competitive environment in the market has forced the vendors to sell the products at low prices. This has deeply impacted the profit margins of the market players and has also restricted further research and development in the market. However, frequent adoption of new manufacturing methods, and adoption of customized products is expected to accelerate the growth of the spring market over the coming years.
Further key findings from the report suggest:
- The market is anticipated to witness a substantial growth, registering a CAGR of 4.5%, on account of the growing demand for spring from end use industries such as automotive and transportation, agriculture and forestry, and construction
- By type, the helical spring segment is expected to be a key segment, exhibiting the highest CAGR over the forecast period. The primarily factor for high growth is extensive use of these springs in products and machinery in several end-use industries such as automotive and manufacturing
- Automotive and transportation segment is expected to witness highest growth by 2027. The growth is attributed to significant demand for springs from electric vehicle OEM manufacturers across the globe
- In 2019, the global electric vehicle fleet exceeded more than 5.0 million units from 2.0 million in 2017. Being a crucial part of all electric vehicles, spring is expected to register a considerable growth over the forecast period
- In Asia Pacific, the spring market is projected to expand at a CAGR of over 3.0% from 2020 to 2027 owing to increased demand for spring from manufacturing, automobile, and transportation sectors in the region
- The spring market is fragmented in nature and is dominated by companies such as GALA GROUP; Ace Wire Spring and Form Co., Inc.; Bal Seal Engineering, Inc.; Barnes Group Inc.; Jamna Auto Industries Ltd.; Rassini SAB de CV; and Sogefi SpA.s.