Global Foundry Market Size, Share, Opportunities, And Trends By Product (Ferrous, Non-Ferrous), By Application (Electronics, Automotive, Construction, Industrial Machinery), And By Geography - Forecasts From 2025 To 2030

The Global Foundry Market is expected to grow from USD 139.489 billion in 2025 to USD 179.785 billion in 2030, at a CAGR of 5.21%.

Foundry Market Highlights

• The automotive sector boosts demand for specialized semiconductor foundry services.
• Sustainability efforts push energy-efficient manufacturing and eco-friendly processes.
• Supply chain resilience drives regional expansion of foundry facilities.
• IoT and consumer electronics spur demand for customized chips.
• The foundry market faces challenges from geopolitical tensions and supply shortages.

The market is expected to surge in the coming years, due to the rising production of lightweight vehicles, aiming to increase energy efficiency and tough emission regulations. Countries such as China, India, and the United States have been making a significant impact in the market. India and the United States have produced 11.49 and 11.30 million metric tonnes in the same year. The demand for materials produced in the foundries is likely to surge in the coming years, especially in the automotive and construction sectors, worldwide.

The growth in the construction sector is also expected to play a major role in the market growth in the coming years. Countries such as the United States, China, and India are expected to play a major role in the market growth. According to the Associated General Contractors of America, the construction industry creates around US$1.4 trillion worth of structures in the United States per annum. Large and imperative construction equipment is produced in foundries. With the growth of mechanized operations in the foundry, the demand for high-quality construction equipment is expected to surge. Cast iron is one of the materials that is widely used in the construction sector, especially in buildings and other structures. It is also used in the construction of fences, balconies, and other structures.

The global foundry market is experiencing significant growth, mainly due to the rising demand for high-performance semiconductor chips in sectors, such as consumer electronics, automotive, telecommunications, and data centers. With the widespread use of 5G technology, Internet of Things (IoT) devices, and applications powered by artificial intelligence (AI), the need for efficient and powerful chips has increased. In line with this, according to GSMA, the penetration of 5G networks in the United States is estimated to reach 94% by 2030.

Additionally, favorable government initiatives and private investments further accelerate its deployment, and products such as smartphones, wearables, smart appliances, and industrial automation are all increasing the demand for advanced process nodes, including 7nm, 5nm, and 3nm chips. This trend is pushing foundries to expand their capacity and invest in modern manufacturing capabilities.

A key factor driving this change is the growth of fabless semiconductor companies that design chips but depend on third-party foundries for production. In this regard, the Semiconductor Industry Association (SIA) announced global semiconductor sales accounted for $57.0 billion during April 2025, an increase of 2.5% compared to the March 2025 total of $55.6 billion and 22.7% more than the April 2024 total of $46.4 billion.

Moreover, the outsourcing trend lessens the financial burden on designers and boosts specialization within the manufacturing ecosystem. As a result, pure-play foundries like TSMC, GlobalFoundries, and UMC are gaining traction by providing foundry services, including advanced packaging solutions such as 3D integrated circuits and chipset designs. This shift is also promoting innovation and competition in the semiconductor supply chain, with foundries racing to improve process maturity, yield rates, and time-to-market.

Government support and geopolitical factors are also crucial in shaping the foundry market's growth. In response to global chip shortages and a growing dependence on manufacturing in Asia, countries like the U.S., Japan, South Korea, and members of the EU are heavily investing in domestic chip production capabilities. They are implementing policies such as the CHIPS and Science Act and providing other subsidies. These efforts are leading to more investments in foundries and collaborations in regions like India, Southeast Asia, and Europe to diversify manufacturing and strengthen supply chain resilience. These policies and funding initiatives are speeding up capacity expansion and supporting long-term growth in the global foundry industry.

Foundry Market Drivers:

• Increased use of recycled metals and circular economy practices

The global foundry industry is increasingly using recycled metals as a key strategy for sustainable growth and cost savings. Metal casting is one of the most recycling-friendly industrial processes. Both ferrous and non-ferrous metals, like iron, aluminum, and steel, can be melted and reused multiple times without losing their structural integrity.

The government of India, for instance, has mandated that all new products made from non-ferrous metals must contain a minimum of 5% recycled content starting from the financial year 2028. This requirement is part of a detailed roadmap towards reducing industrial waste, with the target progressively increasing to 10% in FY29. By FY31, the goal is to achieve at least 10% recycled content for aluminum products, 20% for copper, and 25% for zinc. Foundries are taking advantage of this by sourcing a large portion of their raw materials from scrap metal. This approach reduces their reliance on virgin ores and lowers energy use and carbon emissions. For example, using recycled aluminum can save up to 95% of the energy needed to produce it from raw bauxite.

In addition to this, China processes about 3.5 million tonnes of copper scrap each year. However, only 60% of this copper scrap comes from within the country; the other 40% is imported. China's heavy dependence on foreign sources for copper recycling leads to higher carbon emissions from the global shipping of metal scraps. This situation works against climate change goals.

This trend supports broader circular economy principles, which focus on material reuse, waste reduction, and sustainable resource cycles. In many areas, governments are enforcing stricter environmental regulations and offering incentives for industries to adopt greener practices. As a result, foundries are changing their production processes to increase metal recovery rates, reduce slag and waste output, and meet ISO 14001 and other environmental standards. Modern foundries are also investing in cleaner melting technologies, closed-loop water systems, and emissions controls to strengthen their sustainability efforts.

Additionally, customers in sectors like automotive, construction, and industrial machinery are increasingly seeking components with lower environmental impacts. OEMs further evaluate suppliers not just on quality and cost, but also on sustainability performance. This encourages foundries to adopt traceable, low-carbon inputs such as recycled metals. This change boosts brand reputation and creates new business opportunities, especially in areas with ESG-focused investment mandates. As the circular economy gains global support, foundries that embrace recycled inputs and eco-efficient operations are well-positioned to lead the market growth during the forecast period.

Foundry Market Segmentation Analysis:

• Significant demand from the automotive sector is expected to fuel the market for foundry during the forecasted period.

By application, the global foundry market is segmented into electronics, automotive, construction, and industrial machinery. The automotive sector is expected to hold a significant share of the market during the forecasted period. The market is expected to surge in the coming years, due to the rising demand for products and metals produced in the foundry in the automotive sector. With the rise in urban population and disposable income, the demand in the automotive sector is expected to surge. 

The rising demand for electric vehicles is also expected to play a major role in the market growth. The demand for copper and aluminium in cars is expected to surge at an exponential rate in the coming years. According to the Aluminium Association, one of the major advantages of aluminium in cars is its high recycling rate. Around 90% of the aluminium is recycled after the vehicle’s battery life. Copper is also widely used in the automotive sector. The material has been providing high thermal conductivity, excellent corrosion resistance, and good bearing properties. Major automotive players, such as Aston Martin, Porsche, and Audi, have been using copper material for good corrosion resistance. Major companies have been making significant developments in the market. For instance, Tesla Inc. had developed and published a patent detailing the applications of aluminium alloys produced by the company for its novel electric cars. The company had stated that their novel alloy is ductile and tough, and doesn’t require further processing, which would allow them to save and enhance their production costs.

• The US is predicted to gain a significant market share

Industrial production has shown significant progress in the USA over the years. The growing emphasis on using customized parts offering high mechanical performance, followed by ongoing technological innovations and booming end-user demand, has provided a new outlook for the foundry operations in the country.

Finding applicability in major sectors, including automotive, to offer components with structural integrity, the bolstering growth in productivity of such end-users has accelerated the scale of foundry operations in the USA. For instance, according to the International Organization of Motor Vehicle Manufacturers, in 2024, automotive production in the USA stood at 10.562 million units, which showed a marginal decline in comparison to the preceding year but experienced a 5.07% increase compared to 2022’s production volume.

Likewise, the electric vehicles trend in the US market is a significant growth fueled by the growing demand for sustainable fuel. According to the International Energy Agency, in 2024, the total battery electric vehicle sales in the USA reached 1.2 million units, representing a 9.09% growth over the sales in the preceding year. Moreover, the same source also stated that overall electric vehicle sales, including BEV & PHEV, reached 1.6 million units, thereby marking a 14% increase in overall electric vehicle sales.

Moreover, besides automotive, other end-users such as aerospace are also experiencing an upward trajectory in production output. For instance, as per the General Aviation Manufacturers Association Shipment report, in Q1 2025, the shipment of aircraft manufacturers in the USA was 458 units, which experienced a significant 32% growth over Q1 2024 shipment.

Furthermore, the growing proliferation of electronic devices and increasing demand for semiconductors have led the US government to bolster its domestic chip manufacturing capacity, resulting in the implementation of various strategic investments in the US market. As per the 4th June 2025 press release, GlobalFoundries announced investment plans to invest US$16 billion to bolster its semiconductor manufacturing capacity in New York. Likewise, favorable initiatives such as increasing tax credits for semiconductor manufacturers are also anticipated to drive the scale of foundry operations. 

 Foundry Market Key Developments

• GlobalFoundries’ $16B U.S. Expansion (2025): Investment to boost semiconductor production in New York and Vermont, supported by major tech firms.
• Samsung’s Advanced Node Development (2023): Samsung introduced 3nm GAA (Gate-All-Around) technology, improving power efficiency for next-gen chips.
• TSMC’s 3nm Process Launch (2022): TSMC began mass production of 3nm chips, enhancing performance for AI and mobile devices.

 

• Intel’s Foundry Services Launch (2021): Intel entered the foundry market, offering manufacturing services to compete with TSMC and Samsung.

Key Market Segments

• By Product
  • Ferrous
  • Non-Ferrous
• By Process
  • Sand Casting
  • Die Casting
  • Permanent Mold Casting
  • Centrifugal Casting
  • Others
• By Application
  • Electronics
  • Automotive
  • Construction
  • Industrial Machinery
• By Geography
  • North America
    • United States
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • Germany
    • France
    • UK
    • Spain
    • Others
  • Middle East and Africa
    • Saudi Arabia
    • Israel
    • UAE
    • Others
  • Asia Pacific
    • China
    • India
    • Japan
    • South Korea
    • Others

1. EXECUTIVE SUMMARY 

2. MARKET SNAPSHOT

2.1. Market Overview

2.2. Market Definition

2.3. Scope of the Study

2.4. Market Segmentation

3. BUSINESS LANDSCAPE 

3.1. Market Drivers

3.2. Market Restraints

3.3. Market Opportunities 

3.4. Porter’s Five Forces Analysis

3.5. Industry Value Chain Analysis

3.6. Policies and Regulations 

3.7. Strategic Recommendations 

4. GLOBAL FOUNDRY MARKET BY PRODUCT

4.1. Introduction

4.2. Ferrous

4.3. Non-Ferrous

5. GLOBAL FOUNDRY MARKET BY PROCESS

5.1. Introduction

5.2. Sand Casting

5.3. Die Casting

5.4. Permanent Mold Casting

5.5. Centrifugal Casting

5.6. Others

6. GLOBAL FOUNDRY MARKET BY APPLICATION

6.1. Introduction

6.2. Electronics

6.3. Automotive

6.4. Construction

6.5. Aerospace & Defense

6.6. Others

7. GLOBAL FOUNDRY MARKET BY GEOGRAPHY

7.1. Introduction

7.2. Americas

7.2.1. USA

7.2.2. Canada

7.2.3. Brazil

7.2.4. Others

7.3. Europe, the Middle East, and Africa

7.3.1. Germany

7.3.2. France

7.3.3. United Kingdom

7.3.4. Italy

7.3.5. Russia

7.3.6. South Africa

7.3.7. Others

7.4. Asia Pacific

7.4.1. China

7.4.2. Japan

7.4.3. India 

7.4.4. South Korea 

7.4.5. Others

8. COMPETITIVE ENVIRONMENT AND ANALYSIS

8.1. Major Players and Strategy Analysis

8.2. Market Share Analysis

8.3. Mergers, Acquisitions, Agreements, and Collaborations

8.4. Competitive Dashboard

9. COMPANY PROFILES

9.1. Precision Castparts Corp.

9.2. Georg Fischer AG

9.3. Hitachi Metals, Ltd.

9.4. Nemak, S.A.B. de C.V.

9.5. ME Elecmetal Global

9.6. MAT Foundry Group Ltd.

9.7. Crescent Foundry Pvt. Ltd.

9.8. Nelcast Ltd.

9.9. Doosan Enerbility 

9.10. Fonderie di Montorso S.p.A. 

Precision Castparts Corp.

Georg Fischer AG

Hitachi Metals, Ltd.

Nemak, S.A.B. de C.V.

ME Elecmetal Global

MAT Foundry Group Ltd.

Crescent Foundry Pvt. Ltd.

Nelcast Ltd.

Doosan Enerbility 

Fonderie di Montorso S.p.A.