Fastener Demand Up 5.4% Annually Through 2018

January 23

00:00 2015

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FEATURE

Worldwide demand for industrial fasteners is forecast to climb 5.4% annually through 2018 to $93.8 billion, accelerating from the 2008-2013 pace. Increases in motor vehicle, machinery, and other durable goods production will support growth in fastener markets as the global economy expands and fixed investment expenditures rise. In addition, product prices will climb at a faster pace than during the 2008-2013 period, boosting demand in value terms.

Developing regions to be fastest growing
Industrial fastener market gains are expected to be strong in both developing and developed regions through 2018. However, advances in developing areas will outpace demand in developed countries. Sales increases will be driven by healthy economic growth and ongoing industrialization efforts in most developing nations, resulting in higher manufacturing output and fixed investment spending. Rising standards of living in these areas will help fuel demand for motor vehicles and other fastener-containing durable goods, boosting both original equipment manufacturing and aftermarket fastener sales.

Although market growth in developed countries will lag that forecast for industrializing regions, it will be an improvement over 2008-2013 sales. Rebounding levels of fixed investment, along with higher durable goods manufacturing output, will be a primary driver of fastener demand in developed areas.

OEM manufacturing market to post largest value gains
Motor vehicle original equipment manufacturing, the leading market for industrial fasteners, will post the largest value gains through 2018. In addition, rising fixed investment spending and industry output will boost demand for fasteners used in machinery applications, the second largest market. Although it is comparatively small, the construction market will register the fastest growth through 2018, spurred by an acceleration in world construction expenditures.

Internally threaded, non-threaded fasteners to grow the fastest
Standard externally threaded fasteners accounted for half of all industrial fastener sales in 2013 and will record the largest dollar gains through 2018, bolstered by continued strength in motor vehicle production and a pickup in overall durable goods manufacturing activity. However, the fastest advances will be posted by standard internally threaded and non-threaded fasteners, supported by an acceleration in construction spending growth and sustained increases in global aerospace equipment output.

Study coverage
World Industrial Fasteners, presents historical demand data (2003, 2008, 2013) and forecasts (2018, 2023) by product (externally threaded, internally threaded, non-threaded, application-specific, aerospace-grade), market (e.g., motor vehicles, machinery, electrical and electronic equipment, fabricated metal products, aerospace equipment, MRO, construction), world region, and for 21 countries. The study also market environment factors, details industry structure, evaluates company market share and profiles 39 industry participants, including Illinois Tool Works, Precision Castparts and Alcoa.

World Industrial Fasteners (Industry Study 3209) is a 502-page report available from the Freedonia Group for $6,500. Web: freedoniagroup.com

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