2023 Global Aluminum Market Trend Analysis

Aluminum, a lightweight, durable metal which is widely used in various industries such as construction, automotive, aerospace, packaging, and electrical equipment. The aluminum market is highly competitive and is influenced by various factors such as supply and demand, government policies, energy prices, and technological advancements.

The major producers of aluminum are China, Russia, Canada, India, and the United Arab Emirates. The demand for aluminum is expected to continue to grow due to its increasing use in the construction industry and the rise in demand for lightweight vehicles, which are more fuel-efficient.

However, the aluminum market is also facing some challenges, such as the increasing cost of production, which is mainly due to the rising energy prices, and the environmental concerns associated with the mining and refining of bauxite, the raw material used to produce aluminum.

Global Low-Carbon Aluminum Market

The use of low-carbon aluminum is becoming more common in several industries, including transportation, building and construction, electrical engineering, foil and packaging, and others. The market is anticipated to benefit from the growing preference for lightweight materials over heavy metals, as this would enable weight reduction and foster market growth.

In the automobile industry, the demand for low-carbon aluminum is rising due to the increasing number of electric vehicles that are made from lightweight materials. Amongst all industries, the automotive industry has been majorly focusing on decarbonization and has been witnessing high adoption of low-carbon aluminum. Government securities are also pushing the adoption of low-carbon aluminum. It helps in the weight reduction of vehicles, which contributes significantly to vehicles’ fuel efficiency.

Further, the use of low-carbon aluminum helps reduce CO2 emission, which is an environment-friendly aspect of applications of low-carbon aluminum in the automobile industry. There is a growing trend in the aluminum industry toward investing in low-carbon aluminum production. This is driven by several factors, including increasing pressure from consumers and investors to reduce carbon emissions, as well as regulatory initiatives aimed at curbing greenhouse gas emissions.

The global low-carbon aluminum market is projected to reach $119.97 billion by 2031 from $81.89 billion in 2022, growing at a CAGR of 4.3% during the forecast period 2022-2031.

Low-Carbon Aluminum Market – A Global and Regional Analysis: Focus on Source of Production, Product, End User, and Region – Analysis and Forecast, 2022-2031

Global Aluminium Metals market

The rising demand for aluminum from various end-use industries is the prime driver of the global market. The use of aluminum by automotive manufacturers to substitute stainless steel and the rising demand for electric vehicles also favor the studied market’s growth worldwide.

Conversely, stringent environment regulations by authorities and the high cost of aluminum are factors that hinder the growth of this market.
On the bright side, the various applications of aluminum in sustainable energy, the recyclability of the metal, and advancements in technology are expected to offer lucrative opportunities for growth.

Additionally, the growth of the consumer electronics industry, the rising use of aluminum in transportation, and the rising popularity of aluminum foam have also opened up growth avenues for the aluminum market.

the global Aluminium Metals market will progress with a CAGR of 5.24% over the forecasted period from 2023 to 2030.

Global Aluminum Metals Market – Trends & Forecast, 2016-2022

ASIA-PACIFIC ALUMINUM MARKET

Japan, India, ASEAN Countries, Australia & New Zealand, Taiwan, China, South Korea, and Rest of Asia-Pacific are scrutinized in the market within the region.

The aluminum market in the Asia-Pacific will progress at a CAGR of 5.36% over the forecast period 2023-2030. 

ASIA-PACIFIC ALUMINUM MARKET 2023-2030

During the forecast period, the country’s developing consumer electronics industry is expected to boost the market. The rise in the number of public infrastructure projects is also expected to drive the demand for aluminum, thus resulting in the Taiwanese market’s growth.

The rapid adoption of electric vehicles in China is expected to drive demand for aluminum from the transportation sector. Furthermore, the rising demand from the packaging sector is also expected to drive the market, which can be attributed to the shift away from glass and toward canned beers.

Furthermore, the installation of renewable energy in remote areas, as well as the subsequent implementation of power transmission projects, is anticipated to increase the demand for aluminum from the electrical sector.

Additionally, massive investments in construction and infrastructure development are also driving the market. Non-ferrous metals such as aluminum have been included in China’s 12th five-year plan as key industries that will be encouraged to form and consolidate large enterprises. These initiatives are expected to have a positive impact on the aluminum market’s growth.

Taiwan plays an important role in the global electronics supply chain and manufactures a variety of electronic goods. According to an Atradius article, the nation accounts for more than 8% of global electronics & computer production. The increased demand for chips and other IT products has greatly benefited the country.

EUROPE ALUMINUM MARKET

Norway, Spain, Italy, Poland, France, the United Kingdom, the Netherlands, Germany, and Rest of Europe are analyzed in this region’s market.

Europe’s aluminum market will develop at a CAGR of 4.92% during the forecasted period from 2023 to 2030. 

EUROPE ALUMINUM MARKET 2023-2030

The rapidly expanding French construction sector is anticipated to increase demand for aluminum due to its numerous beneficial properties. The Nantes New CHU Hospital Development; the construction of a 42-storied triangular office building to meet the rising demand for hotel & office facilities, the redevelopment of the Meinau stadium in Strasbourg, which has a seating capacity of 6200 seats; and the development of a waste sorting plant in the Auvergne-Rhône-Alpes region, are among the major construction projects in France. The country’s growing infrastructure development is estimated to drive the adoption of aluminum, resulting in market growth during the forecast period.

Spain has a highly advanced aerospace industry. It participates actively in European aeronautical initiatives. The country’s space industry is involved in contracts for flight and ground equipment qualification, as well as the operation and development of satellite systems. Several space centers, including the European Space Astronomy Center and Boeing’s European Center for Research and Technology, are located in the country. Established aeronautics companies excel in a variety of fields, including military transport & special mission aircraft, air-refueling aircraft, repair & operation, and air traffic management. Aluminum’s widening applications in aircraft development and the defense sector are expected to drive market growth in the country over the forecast period.

LATIN AMERICA ALUMINUM MARKET

Brazil, Mexico, and Rest of Latin America are included in the market.

The Latin American aluminum market will likely develop at a CAGR of 3.84% in the forecast years between 2023 and 2030.

LATIN AMERICA ALUMINUM MARKET 2023-2030

According to the International Trade Administration, the automotive sector is the most important industry of Mexico, accounting for approximately 3.5% of the nation’s GDP. The nation is a key market for passenger vehicles, buses, trucks, light vehicles, and auto parts & supplies that are exported to the United States.

The country produces approximately 3 million vehicles per year. Given the size of the country’s passenger vehicle market, aluminum is expected to be in high demand. The country’s thriving automotive industry is anticipated to drive the demand for aluminum due to its light weight and other properties, resulting in the studied market’s growth during the forecast period.

Chile is one of the key markets in Rest of Latin America. The growing automotive industry in the country is expected to fuel the aluminum market’s growth over the forecast period. Similarly, the main trends in Chilean construction include the development of renewable energy projects, solar parks, desalination plants, and other similar projects. The expansion of Chile’s construction industry is expected to drive demand for aluminum as the preferred material, resulting in studied market growth.

MIDDLE EAST AND AFRICA ALUMINUM MARKET

 South Africa, Saudi Arabia, Turkey, the United Arab Emirates, and Rest of Middle East & Africa are assessed in the market

 The aluminum market in the Middle East and Africa is likely to progress with a CAGR of 4.38% over the forecast years from 2023 to 2030.

MIDDLE EAST AND AFRICA ALUMINUM MARKET 2023-2030

The South African automotive industry is involved in the production, distribution, and maintenance & servicing of automobiles and parts. The country’s demand for automotive aftermarket specialty equipment and accessories has increased rapidly. In 2013, the export-oriented Motor Industry Development Program was replaced by the Automotive Production Development Program (APDP).

The goal of the APDP has been to encourage local production of automotive components while providing incentives for OEMs to manufacture light commercial vehicles and passenger cars in the country for the local market and export. Such policies are expected to boost the country’s automotive industry. This will drive the demand for aluminum, thus leading to the market’s growth.

Turkey is a global hub for production, export, and engineering for brands operating in international markets. The country’s automotive industry employs over 500,000 people, according to data from the International Trade Administration (ITA). Automotive manufacturers like Ford have their manufacturing facilities in Turkey and are increasingly investing in electric vehicle (EV) production. All the above-mentioned factors are anticipated to fuel the aluminum market’s growth in the country over the forecast period.

NORTH AMERICA ALUMINUM MARKET

the North American aluminum market will register at a CAGR of 5.34% over the forecast years from 2023 to 2030.

NORTH AMERICA ALUMINUM MARKET 2023-2030

The United States is one of the world’s most powerful economies. The country has one of the largest infrastructure development markets. Some of the most key projects in the US include the construction of a mini-mill in Arkansas that is expected to be completed in 2024; the development of a mixed-use complex in Texas that aims to provide state-of-the-art residential, commercial, and parking facilities; the development of the Atlas Power Data Center in North Dakota; and many others.

The country’s growing infrastructure development is expected to drive demand for aluminum due to its high strength-to-weight ratio and other similar properties, thereby fostering the aluminum market’s growth in the country over the forecast duration.

Canada is one of the leading primary aluminum producers globally. The nation produced about 3.12 million tons of primary aluminum in 2020, as per government estimates. It has 10 primary aluminum smelters. As per the Canadian government, the country’s aluminum producers have one of the lowest CO2 footprints in the world, as compared with other producers. This is anticipated to propel the studied market growth during the forecast period.

Aluminum Trihydrate (ATH) Market

Developing interest in fire retardants across significant ventures and flooding utilization of the item in the paints and coatings industry is driving the market development.

Developing interest in non-halogenated fire retardants over halogenated fire retardants across enterprises is a factor driving the development of the alumina trihydrate market.

The rising occurrence of fire mishaps drives the interest in alumina trihydrate as a fire resistant. Alumina trihydrate is a broadly involved fire resistant on the planet, utilized in different applications like designing plastics, paints and coatings, elastic, and paper, and that’s just the beginning.

Expanding reception of designing plastics in different enterprises, for example, automotive, development, and hardware decidedly influence the interesting viewpoint for alumina trihydrate.

The rising utilization of plastic in the automotive and transportation enterprises is mounting the interest in alumina trihydrate in automotive plastics. Alumina trihydrate has an enormous automotive market to take special care of across the globe.

Aluminum Trihydrate (ATH) is projected to enroll a sound CAGR of 5.6% during the survey time frame.

Aluminum Trihydrate (ATH) Market Research Report – Forecast Till 2030

China’s Aluminum Ore Import

China needs to import a large amount of aluminum ore every year because of the limited reserves of China’s indigenous aluminum ore resources. In 2021, China’s aluminum ore imports reached 107 million tons, down 3.87% year-on-year, with an import value of US$5.133 billion, up 2.18% year-on-year. From January to October 2022, China imported 104 million tons of aluminum ore, up 14.01% year-on-year, with an import value of US$6.019 billion, up 41.35% year-on-year.

CRI analysis, in 2018-2022, the average price of aluminum ore imports in China generally shows a change trend of first decrease and then increase. In 2018-2020, the average price of aluminum ore imports in China decreases continuously, from US$52.96 per ton in 2018 to US$45.02 per ton in 2020.In 2020-2022, the average price of aluminum ore imports in China increases continuously. From January to October 2022, the average price of China’s aluminum ore imports was US$58.07 per ton, an increase of 23.98% year-on-year.

Research Report on China’s Aluminum Ore Import 2023-2032

The source countries of China’s aluminum ore imports are relatively concentrated. In 2021, China imported aluminum ore from 12 countries, among which, by import volume, Guinea, Australia and Indonesia are China’s main sources of aluminum ore imports. CRI analysis shows that China’s aluminum ore imports from these three countries accounted for more than 99% of the total aluminum ore imports in that year. Guinea is China’s largest source of aluminum ore imports, with China importing 55 million tons of aluminum ore from Guinea in 2021, accounting for 51.03% of the total import volume with an import value of US$2.703 billion, accounting for 52.65% of the total import value.

China is a major importer of aluminum ore globally. As China’s construction, transportation and packaging industries grow and demand for aluminum continues to increase, CRI expects China’s aluminum ore imports to continue to rise over the 2023-2032 period.

Aluminum Extrusion Market

Aluminum extrusion is a method used to change aluminum composites into different exceptional items for buyers and ventures.Aluminum extrusions have many purposes in hardware, car, mass travel, span decking, media communications, sun based/sustainable power businesses, and so forth. Three sorts of shapes can be expelled as strong, empty, and semi-empty.

The Aluminum Extrusion market is anticipated to register a healthy CAGR of 6.30% during the review period to reach a market worth USD 115,761.53 Million by the end of 2030.

Aluminum Extrusion Market Research Report Information Forecast till 2030

New foundation improvement is a main impetus behind the rising interest for aluminum extrusion. Aluminum extrusions are applied in various frameworks, for example, modern, private, and government structures. The use of expelled items, particularly in development exercises, has been impacted by developing interests in the lodging area, as would be considered normal to additional lift the interest in aluminum extrusion during the audit time frame.

However, the growing environmental concerns due to aluminum extraction are expected to limit the market growth during the review period.