Aluminum Market Revenue To Surpass USD 305.68 Billion By 2030
Market Overview
The global aluminum
market had a value of USD 185.30 billion in 2021 and is projected to grow
at a compound annual growth rate (CAGR) of 5.7% during the forecast period. The
market is driven by various factors such as its wide range of applications,
numerous beneficial properties, and the availability of aluminum. Aluminum is
the second most widely used metal globally after steel, with an annual
consumption of approximately 88 million tonnes, including scrap. It is
considered the "Metal of the Future" and has versatile performance in
different technologies. In the manufacturing sector, aluminum is preferred for
its lightweight, conductivity, recyclability, and non-corrosive nature.
Industries such as defense, aviation, and automotive benefit from aluminum's fuel
efficiency and lightweight properties. Aluminum also aids in reducing energy
consumption and environmental pollution, making it an attractive choice for
safer and cost-effective transportation. In the construction industry, aluminum
alloys are used for manufacturing exterior siding and structural components due
to their non-corrosive and durable properties. The electrical and electronics
industries demand aluminum for its excellent electrical and thermal
conductivity. Moreover, the recyclable nature of aluminum makes it a convenient
option in the packaging industry, particularly for foils and beverage cans.
The COVID-19 outbreak had a negative impact on the global
aluminum market, with a significant decrease in aluminum prices during and
after the pandemic. This led to financial losses for around 60% of smelters in
the global market. The outbreak in China, a major hub for logistics supply
chain and manufacturing of raw materials, also affected the global aluminum
market. Excess inventory put pressure on the profitability and working capital
of low-cost producers, while challenges related to net returns and inventory
reduction hindered revenue growth in the aluminum market.
Get a sample copy of the global aluminum
market report: https://www.reportsanddata.com/download-free-sample/2793
Market Dynamics Driver: Wide range of applications in
different industries and growing construction sector The unique physical
properties of aluminum, such as its lightweight nature and excellent electrical
conductivity, contribute to its high demand in various industries. Aluminum is
widely used for long-distance electricity transmission due to its lightweight
and conductivity. In the aerospace industry, aluminum alloys like 6061 are
commonly used for their ease of melding and manipulation in fuselage and wings,
as well as their corrosion resistance. Aluminum's thermal properties make it
suitable for applications in air conditioning, refrigeration, and heat exchange
systems. The malleability of aluminum allows it to be formed and rolled into
thin sheets, making it ideal for the packaging industry. In the construction
sector, aluminum finds applications in siding, roofs, doorframes, windows,
heating systems, solar protection, and more. The global construction market has
witnessed significant growth, which has further increased the demand for
aluminum.
Restraint: Slowdown in construction projects during COVID-19
and adoption of Industry 4.0 The construction industry experienced a slowdown
during the COVID-19 pandemic, affecting raw material procurement and disrupting
global logistics. This led to reduced demand for aluminum in the construction
industry, limiting revenue growth. Additionally, the adoption of Industry 4.0,
characterized by automation and digitalization, has led to the procurement of
low-carbon power to achieve eco-friendly practices. Low-carbon power requires
low-carbon aluminum, which may limit the demand for primary aluminum in the
market. The primary aluminum industry also contributes significantly to
greenhouse gas emissions, impacting the economy. The aluminum industry needs to
explore decarbonizing power sources to reduce emissions and support sustainable
growth.
Product Type Insights The aluminum market is segmented into
primary aluminum and secondary aluminum based on product type. The secondary
aluminum market accounted for the largest revenue share in 2021. The recycling
of aluminum scrap into secondary aluminum through a closed-loop process has
positively impacted the environment and various industries economically.
Aluminum Market: Drive
factors
The aluminum market is driven by several factors, including:
1. Wide Range of Applications: Aluminum
has a wide range of applications in various industries. Its unique physical
properties, such as lightweight, conductivity, malleability, and corrosion
resistance, make it suitable for use in sectors like transportation,
construction, electrical and engineering, consumer goods, packaging, and
machinery and equipment. The versatility of aluminum and its alloys contributes
to its growing demand in different technologies and industries.
2. Growing Construction Industry: The
construction industry is a significant driver of the aluminum market. Aluminum
is extensively used in construction for siding, roofs, doors, windows,
staircases, heating systems, solar protection, furniture, and more. The global
construction market has been experiencing growth, fueled by rapid urbanization,
infrastructure development, and the expansion of the service industry. This
growth has increased the demand for aluminum in the construction sector.
3. Lightweight and Fuel Efficiency:
Aluminum's lightweight nature makes it an attractive choice for industries that
prioritize fuel efficiency and sustainability, such as automotive, aerospace,
and transportation. Aluminum's use in vehicles helps reduce their weight, which
in turn improves fuel efficiency, reduces emissions, and enhances overall
performance. This factor has driven the demand for aluminum in the automotive
and transportation industries.
These factors, along with technological advancements,
expanding manufacturing capabilities, and strategic alliances among key
players, are expected to contribute to the growth and development of the global
aluminum market.
Explore Trending Reports:
Carbon
Steel Market: https://www.reportsanddata.com/report-detail/carbon-steel-market
Bio-Based
Polypropylene (PP) Market: https://www.reportsanddata.com/report-detail/bio-based-polypropylene-pp-market
Aluminum
Foil Market: https://www.reportsanddata.com/report-detail/aluminum-foil-market
Metal
Stamping Market: https://www.reportsanddata.com/report-detail/metal-stamping-market
Request a customization of the report: https://www.reportsanddata.com/request-customization-form/2793
Thank
you for reading our report. To know more about the customization or any query
about the report contents, please connect with us and our team will ensure the
report is tailored to meet your requirements.
About Reports and Data
Reports
and Data is a market research and consulting company that provides syndicated
research reports, customized research reports, and consulting services. Our
solutions purely focus on your purpose to locate, target, and analyse consumer
behaviour shifts across demographics, across industries, and help clients to
make smarter business decisions. We offer market intelligence studies ensuring
relevant and fact-based research across multiple industries, including Healthcare,
Touch Points, Chemicals, Products, and Energy. We consistently update our
research offerings to ensure our clients are aware of the latest trends
existent in the market. Reports and Data has a strong base of experienced
analysts from varied areas of expertise. Our industry experience and ability to
develop a concrete solution to any research problems provides our clients with
the ability to secure an edge over their respective competitors.
Contact:
John W, Head of Business Development
Reports And Data | Web: www.reportsanddata.com
Direct Line: +1-212-710-1370
E-mail: sales@reportsanddata.com
LinkedIn | Twitter | Blogs
Comments
Post a Comment