Cold forging deforms metal while it is below its re-crystallization point. Cold forging increases tensile strength some and yield strength substantially while reducing ductility. Cold forging usually takes place near room temperature. The most common metals in cold forging applications are usually standard or carbon alloy steels. Cold forging is typically a closed-die process.

Cold forging is generally preferred when the metal is already a soft metal, like aluminum. This process is usually less expensive than hot forging and the end product requires little, if any, finishing work. Sometimes, when metal is cold forged into a desired shape, it is heat treated after to remove residual surface stress. Because of the improvements cold forging makes to the strength of the metal, sometimes lesser grades of material may be used to produce serviceable parts that could not be made from the same material by machining or hot forging.

Manufacturers may choose cold forging over hot forging for a number of reasons—since cold forged parts require very little or no finishing work, that step of the fabrication process is often dispensable, which saves money. Cold forging is also less susceptible to contamination problems, and the final component features a better overall surface finish. Other benefits of cold forging include: 

• Easier to impart directional properties

• Improved reproducibility

• Increased dimensional control

• Handles high stress and high die loads

• Produces net shape or near-net shape parts

Some possible disadvantages include:

• The metal surfaces must be clean and free of scale before forging occurs

• The metal is less ductile

• Residual stress may occur

• Heavier and more powerful equipment is needed

• Stronger tooling is required