According to the Zhitong Finance APP, after the market on April 14th, the automotive integrated die-casting and other sectors saw a positive boost. The three departments promoted the high-quality development of the casting and forging industry, including mastering a batch of core technologies with independent intellectual property rights, and achieving industrial application of advanced process technologies such as integrated die-casting and forming. Guolian Securities pointed out that integrated die-casting is in line with the trend of automotive lightweight, and can achieve triple cost reduction in production costs, land costs, and labor costs. It is expected that the domestic integrated die-casting parts market space will reach 34.84 billion yuan in 2025, with a CAGR (composite annual growth rate) of 230.9% from 2021 to 2025. The market space is broad, and it is recommended to focus on the integrated die-casting industry chain.

It is understood that die-casting technology is a special casting technology, and currently, die-casting aluminum alloy products account for about 54% to 70% of automotive aluminum. Integrated die-casting technology is a new revolution in die-casting technology. By redesigning multiple independent parts that were originally designed to be assembled and using a super large die-casting machine to form them in one go, complete components are directly obtained, achieving the original functionality.

The integrated die-casting technology was first proposed by Tesla in 2019 and applied to the production of Model Y's rear floor in 2020. With the development of lightweight and electrification of automobiles, integrated die-casting technology has begun to be favored by new forces in car manufacturing and the new energy departments of traditional car companies. NIO Automobile, Xiaopeng Automobile, Volkswagen, Volvo, and others have started the research and application of integrated die-casting technology, breeding a new blue ocean market for integrated die-casting technology. Faced with new air vents, die-casting machine manufacturers, automotive component and material manufacturers have followed up and actively laid out their plans.

According to public data, taking a 1.5-ton passenger car as an example, compared to using steel, using integrated die-casting technology and aluminum alloy materials can reduce weight by about 30%. For gasoline powered vehicles, reducing weight by 15% can reduce fuel consumption by about 5%; New energy vehicles can reduce electricity consumption by about 10% with equal weight reduction.

According to Tianfeng International, the integrated die-casting industry chain is relatively long, with upstream manufacturers of heat-free aluminum alloy materials, die-casting machines, and die-casting molds; Mid stream: third-party die-casting factories and vehicle factories with self built production lines; Downstream: Directly connect with the host factory.

Caixin Securities believes that the penetration rate of new energy vehicles continues to increase, and the market size of lightweight and integrated die-casting will continue to expand. With the expansion of production capacity and the improvement of gross profit margin, companies with lightweight and integrated die-casting layouts are expected to achieve performance growth.

Minsheng Securities stated that in the long run, integrated die-casting technology is relatively mature, leading die-casting enterprises to further increase their global market share, and some independent brand vehicle factories are expected to participate in midstream production, forming a market size of hundreds of billions in the industry. Its investment suggestion: Process+customers are the key to increasing the market share of die-casting companies. It is recommended that die-casting enterprises Tuopu Group (601689. SH), Ruihu Mold (002997. SZ), Aikodi (600933. SH), Xusheng Group (603305. SH), and Huada Technology (603358. SH) be included. It is recommended to note that Wencan Group (603348. SH) and Guangdong Hongtu (002