Aluminum Extrusion Market is predicted to reach USD 170 billion at a CAGR of 8% during the forecast period

Pune, India, Oct 2022, MRFR Press Release/Market Research Future has published a Cooked Research Report on the Global Aluminum Extrusion Market.

Aluminum Extrusion market

Aluminum extrusion is a process that allows aluminium alloys to be shaped into novel and useful forms across a wide range of applications. Materials are forced through a die with the desired cross-sectional profile, resulting in an object with a consistent cross-sectional profile. The electrical, automotive, public transit, bridge decking, telecommunication, solar/renewable energy, etc. industries are just a few that benefit from aluminium extrusions. Three kinds of shapes can be extruded: solid, hollow, and semi-hollow.

Aluminum extrusion is predicted to experience market expansion over the forecast period as a result of rising demand for lightweight and long-lasting extruded products across a variety of sectors. Due to its excellent strength-to-weight ratio and low weight, aluminium is ideally suited for use in massive constructions and buildings. Aluminum products are exceptionally resistant to deformation because of their high tensile strength and high stiffness. Additionally, the electrical, electronic, and medical industries are anticipated to drive demand for extruded aluminium because to its superior corrosion resistance. After anodizing or powder coating, these extrusions, unlike steel and iron, are extremely resistant to corrosion due to a thick layer of aluminium oxide.

The expansion of the aluminium extrusion market may be hampered, however, by the high initial investment required and the low production efficiency currently prevalent in the industry. Unfortunately, the extrusion process for aluminium is too sluggish to allow for continuous production. However, the aluminium extrusion industry stands to gain significantly from the growing need for customizable products. Aluminum extrusion allows manufacturers to mass-produce extruded goods of varying sizes and forms using the same machinery.

Market Synopsis

According to the MRFR analysis, the global Aluminum Extrusion market size is projected to reach USD 170 billion by 2030 at a CAGR of 8%.

The increasing adoption of aluminum in various end-use industries is projected to boost the demand for aluminum extrusion during the forecast period. Due to its excellent properties such as lightweight, ductility, malleability, and cost-effectiveness, aluminum is preferred over steel, fueling the demand for aluminum extrusion. Its application, especially in the building & construction sector in external facades, doors, windows, railways, roads, and others, is a major driver of the global aluminum extrusion market. In the aerospace & defense industry, aluminum extruded products are used in military equipment and alloys manufacturing. The anti-corrosive and thermal stability, along with the great weldability offered by aluminum extrusion, is anticipated to boost sales further. An increase in demand for lightweight vehicles is projected to create lucrative opportunities for the global aluminum extrusion market players.

However, the harmful effects on the environment of aluminum extraction are a key factor restraining the global aluminum extrusion market. Furthermore, the higher price volatility of aluminum is anticipated to be a challenge for several aluminum extrusion manufacturers in the next decade.

Competitive Landscape

Constellium, UAJC Corporation, Norsk Hydro ASA, Kaiser Aluminum, China Zhongwang Holding Limited, Extrudex Aluminum, National Material L.P., Gulf Extrusions Co. LLC; AMG Advanced Metallurgical Group, Hindalco Industries Ltd., SMS Schimmer, Allegheny Technologies Inc, American Aluminum Extrusion LLC, International Extrusion Corporation, BRT Extrusions, Inc., and Hulamin Ltd are the prominent players operating in the aluminum extrusion market.

The aluminum extrusion market is anticipated to register healthy growth during the forecast period due to the increasing automotive & transportation industry. The growth of the automotive industry due to increasing demand for lightweight vehicles and electric vehicles is the major factor driving the market. Enhanced production techniques and demand for aluminum extrusion are expected to create new opportunities for vendors active in the market. Also, an upsurge in demand from construction and electronics industries is expected to fuel the market.

Segmentation

By Product Type

• Mill Finished: The mill-finished segment accounted for a market share of 43.97% in 2021 and is expected to register a CAGR of 5.73% during the forecast period. Mill finish is a basic process carried out during the extrusion of an aluminum product without any surface treatment. The appearance of mill finished aluminum is silver, the same as aluminum's natural color. Hence, the product does not treat with any surface treatment. Maybe some die lines and marks are present on the product's surface.


• Anodized: The anodized segment accounted for a market share of 37.77% in 2021 and is expected to register a larger CAGR of 6.47% during the forecast period. Anodized aluminum is the product after the anodizing process is applied to mill finished aluminum extrusion product. It is mill finished aluminum next surface treatment product. The anodizing production is carried in the tank for the anodizing film, increasing the thickness of the aluminum coating the aluminum, improving its abrasion resistance.


• Powder Coated: The powder coated segment held a market share of 18.26% in 2021 and is expected to register a CAGR of 7.23% during the forecast period. Powder-coated anodized aluminum extrusion is the process of spraying charged paint (in powder form) electrostatically onto the surface of aluminum extrusions. While comparing to liquid paint, powder coating does not require any solvent in the process. Henceforth, the surface of aluminum extrusion must be pre-treated properly during the process. The segment is expected to register stagnant growth during the forecast period.

By Alloy Type

• 2000 Series Alumium Alloy: 2000 series aluminum alloy segment held a market share of 12.95% in 2021 and is expected to register a CAGR of 5.20% during the forecast period. the 2000 series aluminum alloy is known for its high strength in the aluminum industry. The main alloying element used in the 2000 series is copper, and thus it is strong and offers good fatigue resistance. It is often used in wing and fuselage structures under high tension. 2000 series aluminum alloy is less machinable and more difficult to weld than 6061. It has a wide range of applications in aerospace and automotive industry.


• 3000 Series Alumium Alloy: 3000 series aluminum alloy is known for its high formability & corrosion resistance with moderate strength. The 3000 series of alloys offer strain hardenable, excellent corrosion resistance, and are readily welded, brazed, and soldered. This type of alloy is majorly used for manufacturing cooking utensils and several chemical equipments due to its superior corrosion resistance. Particularly, alloy 3105 is a principal for roofing and siding. This segment accounted for the largest market share of 18.25% in 2021 and is expected to register a CAGR of 6.22% during the forecast period.


• 5000 Series Alumium Alloy: 5000 series aluminum alloy held a market share of 14.67% in 2021 and is expected to register a CAGR of 5.78% during the forecast period. 5000 series of aluminum alloy uses magnesium s a primary alloying element. In the 5052 alloys, magnesium is the only primary alloying element used. While compared to 6000 series of aluminum, 5000 series of aluminum alloy is not heat treatable. It consists of various welding applications in several end-use industries like marine applications due to its high corrosion resistance.


• 6000 Series Alumium Alloy: 6000 series aluminum alloy segment accounted for a market share of 39.05% in 2021 and is expected to register a CAGR of 6.82% during the forecast period and reach a market value of USD 47,254.31 million by 2030. 6000 series of aluminum alloy consist of magnesium and silicon element as their primary alloying elements. Thus, they have many similar properties to each other. The 6000 series offers higher strength and is often used for several structural applications in residential and commercial areas in the construction sector. Whereas, particularly 6063 alloy is used for applications such as windows, railing or trim, and doors due to its corrosion resistance and better appearance.


• 7000 Series Alumium Alloy: The 7000 series aluminum alloy held a market share of 9.72% in 2021 and is expected to register a CAGR of 7.23% during the forecast period. One of the key factors driving the growth of 7000 series aluminum in the aluminum industry is its high strength. Since this series is alloyed with zinc, it is one of the strongest alloy series available, stronger than 6061. 7000 series is widely used in marine, automotive, and aerospace applications where strength is a very high priority. It is also used to produce a firearm and hang glider frames.


• Others: The other segment held a market share of 5.36% in 2021 and is expected to register a CAGR of 4.71% during the forecast period. The other series of aluminum alloy include the 1000 series, 4000 series, and other aluminum series.

By Application

• Building & Construction: The building and construction accounted for a market share of 38.35% in 2021 and is expected to register a CAGR of 6.08% during the forecast period. The application of aluminum extrusion products in the construction industry can be attributed to their high corrosion resistance, low density, and flexibility. Aluminum extrusion is used in construction industries in various applications, including windows, shopfronts, partitioning, curtain walling, patent glazing, conservatories, glasshouses, roofing, scaffolding, road furniture and signs, architectural hardware, heating and ventilation, expansion joints, and car park barriers, and other wide-span constructions applications as they are corrosion-resistant, and provide good formability.


• Automotive and Transportation: The automotive & transportation segment accounted for a market share of 30.52% in 2021 and is expected to register a CAGR of 7.29% during the forecast period. This segment's growth can be attributed to the increasing demand from the automotive industry. Aluminum is the second most used material in automobiles in bars, I-beams, pipes, and welded tubes. This product reduces the weight of automotive parts and enhances their performance. The aluminum extrusion provides good formability, surface quality, and good crash resistance for various applications such as passenger cars, trucks, and trailers. Therefore, the growth of the automotive industry will provide lucrative opportunities for market growth.


• Electrical and Electronics: Aluminum has a low density, making the product a good option for long-distance power lines. Aluminum extrusion provides good resistance properties and is commonly used in power lines, motors, cables, power systems, and various appliances in the electronics and electrical industries. This product has several applications in electronic industries, such as electronic chassis, racks and housing, computer cases, power units, bus bars and connectors for industrial power, and other applications. The demand for electronics products is high across the world and hence, is expected to boost the product demand globally. Thus, the segment accounted for the second-largest market share of 13.38% in 2021 and is projected to register a CAGR of 5.43% during the forecast period.


• Consumer Goods: Aluminum extrusion is used in many consumer goods such as tablets, PCs, sporting equipment, furniture, and coffee machines. The growing usage of aluminum extrusion products in bicycles, boats, buses, aesthetic design elements, and other equipment is expected to fuel the market. The consumer goods segment accounted for a market share of 7.62% in 2021 and is expected to register the highest CAGR of 6.57% during the forecast period.


• Machinery: Aluminum extrusion is used to produce various machinery. Due to its low weight, good flexibility, high rigidity, and strength, it has a wide range of applications and is expected to provide an optimistic opportunity for market growth. The growth of the machinery sector is expected to boost the market during the forecast period. The machinery segment is expected to grow at a higher CAGR of 5.09% during the forecast period.


• Others: The others segment accounted for a market share of 3.22% in 2021 and is expected to register a CAGR of 4.19% during the forecast period. The others segment includes power & energy, medical, packaging, and other industries. The rising demand from the aerospace industry for aluminum products is expected to fuel the market growth over the forecast period.

By Region

• North America: The United States and Canada now make up separate markets in North America. The market in North America held the second-largest market share in 2021, which is further trailed by Europe. Large-scale end-use sectors, robust technology development, and continuous investment into upgrading their ailing infrastructure, all contribute to the region’s prosperity.


• Europe: The Europe market accounted for the second-largest share in 2021 and is projected to record a CAGR of 5.45% during the forecast period. The market in Europe is primarily driven by the demand for aluminum extrusion in automotive and aerospace applications. Germany accounted for the largest market share in Europe in 2021 and was followed by France.


• Asia-Pacific: The market's growth can be attributed to the growing urbanization and increasing demand in the construction industry, especially in the commercial sector in the emerging economies of Asia-Pacific, particularly in China, Japan, and Southeast Asian countries. China is the leading producer and consumer of aluminum extrusion in Asia-Pacific, accounting for about 56.67% value share of the regional market in 2021.


• Latin America: The Latin American market has been further categorized as Brazil, Mexico, Argentina, and the rest of Latin America. The construction of green buildings in Latin America is likely to boost the demand for aluminum extruded products that offer better durability, enhanced energy efficiency among other benefits.


• Middle East & Africa: The growth of markets in Latin America and the Middle East & Africa are likely to be driven by the increasing industrialization of global extrusion manufacturers and shifting upward trend in the regions' economies coupled with the rising per capita disposable income of the consumers in the region.