Development trend of die casting industry

After decades of rapid development, China has become one of the world's major die-casting production and demand countries. With the continued rapid development of industries such as automobiles, communication infrastructure, 3C products, equipment manufacturing, home appliances, electromechanical instruments and light industry, the entire die-casting industry has also grown rapidly.

(1) Development trend of integrated die casting

In 2019, Tesla proposed the one-piece casting method to produce the Model Y floor assembly, reducing the number of parts from more than 70 pcs to 1 piece, reducing weight by 30%, reducing costs by 40% and improving the safety of the frame. Integrated die-casting has higher requirements for materials, equipment and processes. In the future, large-scale integrated die-casting will be the key technical direction for leading companies.

(2) From three-in-one to multi-in-one, drive integration drives the development trend of housing integration

New energy electric drive systems have evolved from independent units to "three-in-one" and then to "all-in-one", and related modules have also developed in an integrated manner. The shell has developed from splicing to integration. Due to its obvious advantages in cost and efficiency, the integration of drive systems will become a future trend.

(3) The die-casting industry is located in the middle of the industry, and extending upward has become an important trend in the development of enterprises in the industry

From the perspective of the industrial chain, the die-casting industry is located in the middle of the industrial chain. Its upstream industries include die-casting machine manufacturing, die-casting mold manufacturing, hardware materials, auxiliary materials, etc., and its downstream industries include automobiles, communications, home appliances, energy storage, etc. Based on the characteristics of heavy assets and heavy raw material costs in the industry, the upward extension of die-casting industry enterprises is expected to effectively control costs and increase efficiency and improve profitability. Therefore, upward extension has become an important trend in the development of the industry.

(4) Customized molds are one of the core technologies of die-casting technology, and strengthening mold R&D and manufacturing has become an important development trend in the industry.

Die-casting molds are the key to ensuring the quality of aluminum alloy die-castings.  Improving the ability to develop molds in-house can reduce outsourcing, increase profits, and also determine the speed of R&D, yield rate and order competitiveness. In the future, the ability to develop customized molds will be the key to determining the company's profit level, and strengthening mold R&D and manufacturing is an industry trend.

(5) Capital and technology intensive trends

The die-casting industry is a capital and technology intensive industry. The demand for product customization is high, and enterprises need to invest a lot of money to purchase advanced equipment and upgrade and update it. They also need to be equipped with R&D and production personnel with professional knowledge and experience to have multiple capabilities.