The die casting podcast on EUROGUSS 365

1. Facing Challenges: The Current State of the European Die-Casting Industry 

The European die-casting industry is experiencing unprecedented challenges. A combination of declining volumes, intense global competition, and rising costs has left many companies uncertain. Compounding these external pressures is a pervasive sense of negativity within the industry. Raphael Heilig noted during the Goldcasting podcast that frustration over diminishing profits and increased competition often overshadows efforts to identify and act on solutions. 

This sense of stagnation is particularly concerning given the industry's critical role in sectors such as automotive manufacturing. Companies cannot afford to focus solely on external challenges while ignoring internal inefficiencies. The industry must shift its narrative from one of frustration to one of opportunity. 

Raphael Heilig suggests that this change in mindset begins with acknowledging the problems and addressing them head-on. Rather than lamenting external pressures, companies must identify areas of opportunity, leverage their unique strengths, and foster a culture of adaptability. 

 

2. Digitalization: A Game-Changer for Die-Casting Operations 

Digital transformation is no longer a luxury for the European die-casting industry, it is a necessity. Advanced digital tools, such as AI-driven simulations and big data analytics, offer the potential to revolutionise operations. These technologies can reduce time to market, improve product quality, and streamline processes, allowing companies to compete effectively on a global stage. 

During the Goldcasting podcast, Raphael Heilig emphasised that while artificial intelligence may represent the future, actionable insights from existing data can yield significant benefits right now. Companies can create a foundation for ongoing innovation by focusing on what is achievable today. 

The power of digitalisation lies not just in its ability to automate processes but in its capacity to provide actionable insights. With accurate, real-time data, companies can make informed decisions that improve efficiency and quality, allowing them to stay ahead of the competition. 

The path forward is clear: companies must prioritise digital tools and processes investments. By doing so, they can weather current challenges and position themselves for future growth in an increasingly competitive landscape. 

 

3. Shared Data Platforms: Strength in Collaboration 

One of the most promising ideas explored in the Goldcasting podcast is the potential of shared data platforms. Accessing market intelligence, such as tariff trends, inflation rates in competing regions, and sustainability metrics, can be cost-prohibitive for smaller foundries. A collaborative approach, such as the initiatives proposed by the Euroguss Executive Circle, could level the playing field by making valuable data available to all participants. 

Shared data platforms provide more than just information; they enable strategic decision-making. For example, understanding inflation rates in low-cost regions could help companies anticipate changes in production costs while tracking tariff adjustments could guide supply chain strategies. These insights empower companies to adapt swiftly to market changes. 

The creation of such platforms requires collective action. Smaller foundries, in particular, stand to benefit from participating in these initiatives as they gain access to resources they might otherwise lack. The industry can collectively strengthen its position in global markets by pooling knowledge and costs. 

 

4. Benchmarking Through the HPDC Boot Camp 

Traditional quality management systems in the die-casting industry focus on compliance, ensuring processes exist and meeting basic standards. However, as discussed in the podcast, these systems often fail to assess whether those processes are efficient or competitive. The High-Pressure Die-Casting (HPDC) Boot Camp aims to fill this gap. 

The boot camp comprehensively evaluates company operations, from order intake to final delivery. The program provides actionable insights into how foundries can optimise their workflows by identifying bottlenecks, developing customised KPIs, and benchmarking against industry standards. 

One of the boot camp's most significant benefits is its ability to foster a culture of self-improvement. The program helps companies confront inefficiencies without fear of judgment by providing a neutral, data-driven perspective. This transparency is critical for driving meaningful change. 

The HPDC Boot Camp is more than an auditor’s roadmap for achieving operational excellence. By participating, foundries can ensure that they are not just meeting standards but exceeding them, positioning themselves for long-term success. 

 

5. Cultural Transformation: Overcoming Resistance to Change 

The European die-casting industry faces a cultural challenge that may be as significant as its operational hurdles: resistance to transparency and change. Many companies are hesitant to expose internal inefficiencies, fearing judgment or disruption. However, Raphael Heilig noted in the Goldcasting podcast that this reluctance can be a significant barrier to progress. 

Transparency is the foundation of improvement. Companies cannot hope to address inefficiencies without a clear understanding. The industry must foster a culture where data-driven decision-making is the norm and leaders are encouraged to take bold, informed actions. 

Overcoming resistance requires openness and willingness to invest in self-assessment tools like benchmarking and KPIs. These tools provide a roadmap for identifying and addressing inefficiencies, allowing companies to adapt and thrive. 

Cultural transformation is no small task but essential for the industry's survival. Companies that embrace transparency and innovation will be better positioned to navigate challenges and seize opportunities in a rapidly changing market. 

A Vision for the Future 

The challenges facing the European die-casting industry are daunting but not insurmountable. By embracing digitalisation, leveraging shared data, participating in benchmarking initiatives like the HPDC Boot Camp, and fostering a culture of openness, the industry can secure its place in the global market. As the podcast concluded, the time to act is now. Waiting for external factors to improve will only exacerbate existing issues, while proactive measures can transform challenges into opportunities. 

The Goldcasting podcast provides a clear roadmap for the industry: innovate, collaborate, and adapt. The future of European die-casting depends on the decisions made today. Let those decisions be bold, data-driven, and transformative. 

1. Attracting Young Talent: Changing Perceptions

One of the primary challenges facing the die-casting industry is its outdated image among young people. As Eric Müller pointed out, many still view the industry as "a black hole" - dirty, labor-intensive, and old-fashioned. However, the reality today is vastly different. High-pressure die-casting is at the forefront of cutting-edge manufacturing and is pivotal in sectors like electric vehicles (EVs) and telecommunications.
Marketing efforts must target younger audiences, particularly those aged 16-20, by showcasing the exciting and impactful nature of die-casting. Platforms like TikTok, Instagram, and YouTube provide avenues for engaging storytelling. A day-in-the-life perspective from an apprentice or engineer or videos highlighting the transformation of molten metal into essential components for EVs could resonate deeply with a tech-savvy generation.
The industry must modernise its image to attract talent through targeted campaigns that emphasise innovation, career growth, and global opportunities. It’s time to replace stereotypes with stories of transformation.

2. Collaboration Across Stakeholders

The Gold Nugget underscored the importance of collaboration among all players in the die-casting ecosystem, including foundries, machine builders, toolmakers, and material suppliers. Unlike other industries that present a united front, die-casting remains fragmented, making it difficult to amplify its collective voice.
Eric Müller highlighted the value of joint initiatives, such as the European Die-Casting Network, to pool resources and present a cohesive narrative. Collaboration can multiply the industry's impact, whether it’s lobbying efforts, shared data platforms, or joint marketing campaigns.
In summary, unified efforts are essential. By coming together, stakeholders can amplify their reach, address common challenges, and position die-casting as a vital and forward-thinking industry.

 

3. Leveraging Social Media and Digital Platforms

The die-casting industry has been described as "introverted" when it comes to publicising its contributions. In contrast, industries like sheet metal and extrusion have strong advocacy and visibility. Social media offers an opportunity to close this gap.
Eric, Fabian and Staffan discussed how video content, such as the operation of high-pressure die-casting machines, could capture the imagination of young people. Content showcasing the tangible outcomes of die-casting, like parts in EVs or the housings of 5G antennas, can link the industry to real-world innovations that matter to younger audiences.
Therefore, the industry must embrace digital marketing and storytelling to reach new audiences and demonstrate its critical role in shaping the future of technology and transportation.

 

4. Education and Knowledge Transfer

The urgent need for education and knowledge transfer was a recurring theme in the discussion. As Eric Müller noted, the transition to EVs and other emerging technologies has placed die-casting at the center of innovation. However, many young engineers lack a foundational understanding of the casting process, leading to underutilising its potential.
Universities, technical schools, and apprenticeship programs must be supported with resources to cultivate expertise. Simultaneously, the industry needs to educate policymakers and designers about the possibilities of die-casting to ensure informed decision-making.
As you can easily see, investing in education is non-negotiable. The industry must secure the next generation of skilled professionals through grants, partnerships with academic institutions, or in-house training programs.

 

5. Advocacy and Lobbying for the Industry

One of the biggest challenges discussed was the lack of effective lobbying for the die-casting industry. Unlike competing industries, die-casting struggles to advocate for favourable policies and regulations, which are critical for sustainability.
The three emphasised the importance of creating a dedicated lobbying group to address issues such as carbon taxation, sustainability regulations, and trade policies. For instance, the current carbon border adjustment mechanism (CBAM) policies could disproportionately affect die-casting unless adequately addressed.
In conclusion, effective lobbying can safeguard the industry’s future by ensuring its interests are represented in policymaking. A coordinated effort is needed to influence regulations and highlight the industry’s indispensable role in manufacturing

 

A Call to Action

As Eric Müller precicely summarised, "It’s 12 o’clock now, and we need to react." The die-casting industry has immense potential, but realising it requires proactive measures across marketing, collaboration, education, and advocacy. By addressing these five key areas, the industry can secure its place as a cornerstone of global manufacturing. The future of die-casting isn’t just about making better parts; it’s about making better connections, telling better stories, and creating a sustainable, innovative legacy.

The public view of a foundry is a dirty, dark place with hot metal and flames everywhere. Combined with a large amount of manual labour, this picture is not appealing to a generation that wants to become influencers.

However, it is possible to attract talent even today with transparency and the power of social media. In Gold Nugget 36 of the Goldcasting Podcast, Fabian Niklas and Staffan Zetterström discuss with Carsten König innovative strategies to address these challenges, emphasising the importance of employer branding and modern recruitment techniques. Here, we explore five key insights from the discussion, offering a comprehensive roadmap for industry transformation.

1. Redefine the Industry’s Image with Employer Branding

Employer branding is more than a buzzword—it’s a strategic necessity. The foundry industry must move beyond traditional recruitment practices to position itself as an attractive, forward-thinking career choice. This involves showcasing the industry’s innovation, sustainability efforts, and growth opportunities.

For the younger generations value purpose and alignment with their personal values is crucial. Companies need to market themselves not just as workplaces but as mission-driven organisations contributing to global challenges like sustainability. For example, Tesla, with its emphasis on clean energy and innovation, serves as a model for how a strong brand can transcend industry stereotypes to attract talent—even in roles traditionally considered unappealing.

2. Overcoming the Challenges of Attracting Talent

The podcast identified key obstacles in attracting younger workers, who often perceive manufacturing jobs as unattractive. Today’s workforce prioritises flexibility, work-life balance, and purpose-driven roles. To compete, the foundry industry must redefine its value proposition.

Recruitment efforts should highlight aspects beyond salary—such as a company’s role in creating cutting-edge technology or its commitment to employee development. Social media and influencer-style campaigns showcasing dynamic and fulfilling industry roles can help shift perceptions. Addressing these challenges requires a fundamental understanding of what motivates today’s workforce.

3. Building a Sustainable Pipeline with the Apprenticeship Model

Germany’s apprenticeship model emerged as a powerful example of how structured training programs can bridge the gap between industry needs and workforce capabilities. Apprenticeships offer dual benefits: they allow companies to evaluate young talent over time while providing trainees with practical skills and a clear career path.

The global success of companies like Grob demonstrates the versatility of this model. With apprenticeship programs in Germany, the U.S., Brazil, and China, Grob has built a robust talent pipeline tailored to its needs. Beyond technical training, these programs provide apprentices with cultural exchanges and job rotations, preparing them for leadership roles in a globalised workforce. Companies worldwide can learn from this approach, adapting it to their specific contexts.

4. Speake the Language of Youth with Storytelling on Social Media

To connect with younger generations, the foundry industry must meet them where they are—on platforms like Instagram, YouTube, and TikTok. The podcast emphasised the power of storytelling, particularly through authentic employee experiences.

Rather than relying on polished corporate videos, companies should empower employees to share their journeys and daily experiences through short, engaging clips. For instance, apprentices can document their growth, offering a firsthand look at the opportunities within the industry. This not only humanises the company but also builds trust with potential recruits.

Importantly, social media strategies must be localised. What resonates in Europe may not work in China or South America, so companies must tailor content to regional preferences and platforms.

 

5. See a Long-Term Engagement and Invest in Employees’ Futures

Recruitment is only the beginning. Retaining talent requires a clear focus on long-term employee development and satisfaction. The podcast highlighted several initiatives to engage employees and create a sense of belonging:

Job and Location Rotations: Allowing apprentices to explore different departments and global offices helps them comprehensively understand the company and find their best fit.
Unique Incentives: Offering perks like electric cars for top-performing apprentices motivates excellence while reinforcing the company’s commitment to its employees.
Career Development Pathways: Providing clear advancement opportunities ensures that employees see a future within the company.
These strategies create a cycle of engagement where satisfied employees become brand ambassadors, attracting even more talent.

 

A Call to Action for the Industry

Carsten concluded with a powerful message: “Whining about the talent shortage won’t solve the problem. Instead, companies must act.” Even small foundries with limited resources can implement impactful changes, such as employee storytelling and localised social media campaigns. Authenticity, creativity, and a willingness to adapt are key.

The foundry industry is at a turning point. By embracing innovative recruitment strategies and investing in long-term employee engagement, it can overcome its challenges and secure its place as a dynamic, future-ready sector. For industry leaders and those who want to become one, the time to start is now!

The European automotive industry is steering into one of its most turbulent periods. It is caught at the crossroads of structural transformation and intensifying competition. With ambitious EU mandates driving a shift to EVs and Chinese manufacturers aggressively entering the market, legacy carmakers are under pressure to innovate and remain competitive. Stagnating sales, high production costs, and policy uncertainties have compounded the crisis, threatening jobs and economic stability in the automotive sector. This crisis directly impacts the European foundry industry, as OEMs and Tier 1s are the primary customers.

In this context, the initiative from the Euroguss Team with the Executive Circle stands out as a beacon of collaborative innovation. The Executive Circle brings together top decision-makers from the die-casting industry to foster collaboration and work on five key topics to boost the European foundry world. The proof is that decision-makers with full schedules took the time to meet and discuss at one spot. 

In the first Executive Circle, five topics were identified as the major contributors to the future of the European foundry industry. The first is the Network Mindset, which we discussed in Gold Nugget 33 with Benjamin Jung from Heck & Becker. In the podcast, we identified the following challenges for the industry as a team to solve, which is the first point.

 

1. Need for Collaboration

Collaboration was a recurring theme throughout the discussion. The die-casting industry is seen as fragmented, with companies and regions often working in isolation. Unlike other areas, such as Korea, which implements coordinated efforts to dominate the EV market, European die-casters usually hesitate to share resources or collaborate due to competition and mistrust.
The podcast suggests building networks that bring together OEMs, toolmakers, and foundries to pool expertise, share risks, and drive innovation. Examples from other industries and regions highlight how collaboration fosters innovation and makes industries globally competitive.
A particular success story mentioned is the collaboration among competitors in the Executive Circle, which shows the potential of transparent partnerships. However, this cultural shift from competition to cooperation requires significant effort and trust-building.

 

2. Challenges in the Die-Casting Industry

The podcast opens by addressing the prevailing stereotypes about the die-casting industry. It's often viewed as a "dirty and outdated" sector, operating under antiquated conditions like the 1960s. However, this image is outdated. Modern foundries are technologically advanced, sustainable, and cleaner than ever. They contribute significantly to industries like automotive manufacturing and green technologies, yet their contributions often go unnoticed.
One primary concern is the difficulty in attracting new talent to the sector. Due to outdated perceptions, the industry struggles with a lack of visibility and appeal, particularly among younger generations. Revamping its image to reflect its modern, innovative, and environmentally conscious practices is essential.

 

3. Reimagining Innovation and Marketing

The speakers criticised the industry's reliance on incremental improvements (e.g., reducing part costs by fractions of a per cent) as insufficient for long-term growth. Transformative approaches, such as redesigning entire manufacturing processes and embracing technologies like Gigacasting or Megacasting, are necessary to stay competitive.
Beyond innovation, the industry must prioritise strategic marketing. The lack of visibility on platforms like YouTube was noted as a missed opportunity. Unlike other industries that actively engage audiences online, the die-casting sector remains virtually absent. A robust marketing campaign could target multiple audiences. 
For young talent, the most important topic is showcasing the industry as a high-tech, exciting career path. For policymakers delegates need to demonstrate the industry's contribution to sustainability and local economies. Consumers and businesses need to be educated about the hidden role of die-casting in everyday products.  In all of these directions, developing consistent, engaging content is seen as a crucial step to rebranding the industry.

 

4. Energy Costs and Policy Advocacy

Energy costs in Europe are a significant challenge for die-casters, who are naturally energy-intensive. The high electricity and energy tax costs in countries like Germany put local industries at a disadvantage compared to global competitors who enjoy governmental subsidies or lower energy prices.
The industry must actively lobby for policy changes to secure fair energy pricing and advocate for the benefits of local production, such as reduced carbon footprints and stable supply chains. The podcast stresses the importance of raising awareness among policymakers about the industry's economic and environmental contributions. Without such advocacy, production risks being outsourced to regions with fewer sustainability concerns, effectively "exporting problems" rather than solving them.

 

5. Importance of Leadership and Communication

The podcast underscores the need for leadership at multiple levels, including within companies, industry groups, and the political sphere. Strong leadership can foster trust and collaboration among stakeholders and guide the industry through significant transitions.
A key challenge is the lack of effective communication. Without a unified voice, the industry struggles to influence policymakers or attract new talent. The Executive Circle, a group discussed in the podcast, is a promising platform for fostering stakeholder dialogue. However, more needs to be done to create and sustain this momentum.
Effective communication strategies for the various channels are also essential. These would involve crafting targeted messages for different audiences, from young professionals to senior policymakers, and utilising various channels like social media, conferences, and lobbying efforts. A well-planned communication strategy could establish the die-casting sector as a leader in innovation, sustainability, and economic development.