Aluminum casting & mold design services

“I don’t know the market price for aluminum castings” and “It takes a long time to get a quote every time” are some of the comments we often hear from the manufacturing industry. The price of aluminum castings is determined by multiple factors such as the construction method, material, shape, and lot size, and cannot be calculated simply by “unit price x weight”. As a result, it is difficult to get a sense of the market price, and people tend to leave it up to the supplier.

However, if you can get a rough idea of ​​the price in advance, you can make cost-conscious decisions from the design stage and take the lead in procurement. This article clearly explains the basics of price formation that practitioners should know before making a quote, as well as tips for rough estimates. We provide a perspective for becoming a “price-savvy purchaser” through price trends by construction method, mold cost concepts, case studies, and more.

The price of aluminum castings is not simply determined by “material cost x weight”. In reality, it is composed of multiple factors such as construction method, material, mold, complexity of shape, and whether or not post-processing is performed. Here, we will organize and explain five factors that have a particularly large impact on price formation.

Aluminum castings are mainly manufactured using the following three construction methods.

Die casting is a construction method optimized for mass production, and the unit price per piece is low. On the other hand, sand casting is suitable for prototypes and small-lot production of a wide variety of products and keeps mold costs down, but the unit price per piece is expensive. Mold gravity casting is in between these two and is chosen for applications where strength and appearance quality are important.

There are the following differences between typical materials:

Material prices are greatly affected by market conditions. The reference price for aluminum casting scrap as of June 2025 is 180 yen/kg (excluding tax). The price difference with new ingots can affect design decisions, so it is necessary to keep an eye on exchange rates and LME (London Metal Exchange) prices in terms of procurement strategies.

Source: Sunbeam

In die casting and metal mold casting, which are based on the premise of mass production, mold costs can range from hundreds of thousands to millions of yen. In terms of durability (number of shots):

It is essential to estimate the number of annual productions and the depreciation period at the design stage. Also, if the product shape is changed during the prototype phase, the mold may have to be remade, so be careful of the pitfall of paying the mold cost twice.

In general, the heavier the product, the higher the cost, but the more important factor is the complexity of the design. Costs will increase in the following cases:

Despite its simple appearance, a shape that cannot be cut or removed can significantly increase the unit price of the product, so it is important to consider costs at the early design stage.

When estimating the price of a casting, it is necessary to distinguish between the “price of the casting alone (raw material)” and the “price of the finished product.” The final price can vary greatly when the following processes are added:

In particular, die-casting products have the advantage that the casting surface is good, making it easier to reduce processing, which can be advantageous in terms of total cost. On the other hand, sand casting is often designed on the premise of processing, so price comparisons including finishing costs are necessary.

As mentioned above, the price of aluminum castings is determined by a complex intertwining of “construction method x material x design x post-processing”. In the next chapter, we will introduce a practical approach to provisionally calculate the price in-house before making an estimate, taking these components into account.

Source: Ministry of Economy, Trade and Industry “Production Statistics”

The price of aluminum castings is not determined entirely by the “market price”. By getting a sense of the price to a certain extent within the company at the stage of requesting a quote, it is possible to prevent unnecessary specification additions and excessive specifications, and to create a basis for price negotiations. In this chapter, we will specifically explain the “concept of rough estimates” and “how to break away from supplier dependency” that are useful in procurement and design.

When calculating the price of aluminum castings in-house, it is effective to use the following formula as a basis:

Estimated price ≒ Material cost × Product weight + Construction method coefficient + Processing correction

Let’s break down each element.

*Use as a reference coefficient, as it varies depending on the product weight and shape.

→ Estimated price＝ 2.5kg x 180 yen x 1.0 (method coefficient) + 300 yen = 750 yen

In this way, by quantifying the elements of material, weight, method, and processing, you can have a stable sense of price even in the early stages.

Recently, free web tools have been introduced that automatically display estimated costs (e.g., Shodai Light Bank official website).
Although the conditions that can be entered are limited, you can quickly get an idea of ​​the approximate costs for simple shapes. It can also be used for internal meetings and creating initial proposal materials for business partners.

Many companies have adopted the flow of “sending drawings and waiting for quotes”. However, this has several risks.

In particular, in organizations that rely on the “intuition” of predecessors or veteran employees, it is easy for a situation to occur where a sense of price is lost as soon as the purchasing person is changed.

Therefore, it is important to prepare a standard price judgment model and checklist within the company.
By having an index of “this shape is about this much” through collaboration between design and purchasing, you can take the lead in negotiations with suppliers.

In addition, the skill to judge the validity of the quotation contents is also the foundation for cost reduction proposals and VA/VE considerations. In order to improve the quality of procurement and complete cost management in-house, **transformation into a “purchaser with strong price awareness” is required.

Source: NC Net (Estimated price of aluminum castings)

The cost structure of aluminum casting is complex, and decisions made before estimating greatly affect product costs and profit margins. Here, we will clarify the key points in price judgment through successful and unsuccessful cases that occurred at actual manufacturing sites.

An industrial equipment manufacturer procured 100 aluminum housings per month using sand casting + machining. They worked with the purchasing department from the early stages of design and began considering whether they could switch to mold gravity casting if the lot size was stable.

Although the estimated mold cost was an initial burden of 700,000 yen, the product unit price was reduced from 2,500 yen to 1,700 yen per unit. The mold cost was recovered in one year, and there were significant cost benefits thereafter.

The key point of this case study is that “we worked with procurement at the design stage to optimize product specifications.” Since the cost of casting changes dramatically depending on the manufacturing method, flexibility in the initial design is the key to success.

Meanwhile, another venture company “selected die casting in anticipation of mass production” for the initial production of a new product. Although the die cost was high at 800,000 yen, the unit price per piece was low, so it was judged that “it will ultimately be cheaper.” However, due to changes in product specifications and delays in securing sales channels, the actual number of shipments was less than 30% of the initial plan.

As a result, **die depreciation costs weighed heavily on the unit price, and the order was essentially a loss-making one.

What can be learned from this failure is that “investing in dies without determining the production volume is dangerous.” If the depreciation plan is left unclear, it can lead to the upside-down result of not making a profit even if the product sells.

What is clear from these cases is that the first step to cost optimization is to not only estimate the amount, but also to have an intention of “why you chose that specification/construction method.”

Yes, if it is sand casting, we can handle even just one piece. Using wooden or plastic molds reduces mold investment, making it suitable for prototyping and small-lot, multi-variety projects. However, the unit price of the product is often high (several thousand to over 10,000 yen per piece), so make your decision based on your application and cost tolerance.

It is true that Chinese products can sometimes look cheaper in terms of unit price. In particular, the difference in labor costs and mass production capabilities are attractive, but when you take into account mold reproducibility, flexibility in delivery dates, and ease of communication, it is not necessarily cheaper overall. In many cases, domestic companies have an advantage when it comes to prototyping and short delivery times.

If high precision is required, die casting or mold gravity casting + machining is effective. Generally, the tolerance of castings is about JIS B 0405 CT10 to CT11, but it is possible to reduce it to ±0.01 mm by post-processing. However, since this adds to the processing cost, it is important to clarify the compromise point of the required accuracy level in order to balance costs.

Basically, a mold is dedicated to a specific shape, and it is usually difficult to reuse it. However, if it is a modularly designed mold such as a “partially modified mold” or “insert exchangeable mold,” it may be possible to change the shape to a limited extent. Strategic selection at the initial design stage is important.

Some companies can provide a rough estimate by simply telling them the shape image, material, weight, quantity, and desired construction method. However, a formal quote requires a 2D or 3D drawing. If you want to check the reference price in advance, you can also use an automatic web calculation tool or a pre-consultation form.

Delivery times vary depending on the construction method, quantity, and whether or not molds are used. For example, in the case of sand casting prototypes in Japan, it may be possible to complete the process in as little as 5 to 10 business days. On the other hand, in the case of die casting and mold casting, which involve mold production, it is common to expect the first delivery to take about 4 to 8 weeks.

In the case of overseas procurement, the molds and manufacturing period themselves may not be much different from those in Japan, but the delivery time often takes 1 to 2 months due to the need for shipping by sea. The delivery time can be shortened by air freight, but the cost will increase accordingly.

As such, since there is a structure of “domestic if speed is important” and “overseas if cost is important,” it is important to clarify the priority of procurement.

It is natural to want to know the market price for aluminum castings, but in reality, it is composed of a combination of construction method, material, design, and processing, so there is no absolute value that can be said to be the standard price. However, what a purchaser should have is clear.
That is, a “criterion for judgment.”

To judge the appropriateness of a price, it is effective to organize at least the following three points in advance.

Having such a perspective will increase the accuracy of quotation requests, leading to the elimination of “invisible costs” such as unnecessary mold costs and excessive processing.

In addition, if you can have an estimate of your own price, you will be able to make design and procurement decisions based on costs, which will directly lead to a review of the lead time and profit structure of the entire project.

Purchasers who are good at price have an eye for not only specifications but also economics. Understanding and preparing for the market price of aluminum castings will take your procurement activities to the next level.