Aluminum Trihydrate Market Analysis

Global Aluminum Trihydrate (ATH) Market Overview

Aluminum Trihydrate (ATH) Market Size was valued at USD 1.72 billion in 2023. The aluminum trihydrate (ATH) market industry is projected to grow from USD 1.82 Billion in 2024 to USD  2.83 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 5.70% during the forecast period (2024 - 2032). Growing demand for flame retardants across major industries and surging use of the product in the paints and coatings industry are driving the market growth.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Aluminum Trihydrate (ATH) Market Trends

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  GROWING DEMAND FOR FLAME RETARDANTS ACROSS MAJOR INDUSTRIES

  
  

Growing demand for non-halogenated flame retardants over halogenated flame retardants across industries is a factor driving the growth of the alumina trihydrate market. The increasing incidence of fire accidents drives the demand for alumina trihydrate as a flame retardant. Alumina trihydrate is a widely used flame retardant in the world, used in various applications such as engineering plastics, paints and coatings, rubber, paper, and more. For instance, in September 2020, the Flame Retardant Additives division of Huber Engineered Materials (HEM) announced plans for a major sustainability project and considerable investment in a new power plant at its Martinswerk site in Bergheim, Germany.

Increasing adoption of engineering plastics in various industries such as automotive, construction, and electronics positively impacts the demand outlook for alumina trihydrate. Using plastics in the automotive industry to reduce the overall weight of vehicles is expected to drive the alumina trihydrate market over the forecast period. The increasing use of plastic in the automotive and transportation industries is mounting the demand for alumina trihydrate in automotive plastics. Alumina trihydrate has a huge automotive market to cater to across the globe. Thus, the growing demand for flame retardants across major industries is a factor driving the growth of the aluminum trihydrate (ATH) market revenue.

Aluminum Trihydrate (ATH) Market Segment Insights

Aluminum Trihydrate (ATH) End-user Insights

The aluminum trihydrate (ATH) market segmentation, based on end-user, includes building & construction, electric & electronics, automotive, paints & coatings, plastics, pharmaceuticals, and others. The building & construction segment held the majority share in 2021 contribution to around ~23.59% in respect to the aluminum trihydrate (ATH) market revenue. This is primarily owing to the rising prevalence of use of ATH as flame retardants and smoke suppressants in buildings & construction across the globe. In Europe many countries such as Spain, Ireland, and Romania are experiencing major boom in construction sector in the recent years. Asia-Pacific is expected to lead the construction market in the coming years, with China and India driving the growth. Emerging markets such as China, India, Indonesia and developed economies such as the U.S. and Russia are estimated to occupy nearly 3/4th of the construction market in the next five years.

October 2022: Dupont introduced Corian Solid Surface. It is a highly versatile, aesthetic and performing material made from a combination of aluminum trihydrate, pure acrylic resin and environmentally friendly pigments. The material combines beauty and performance to fit harmoniously with the health of humans and the environment. It enables the creation of healthy spaces in fields from healthcare and food service to hospitality and residential design. It was also independently verified with the prestigious ‘Eurofins Indoor Air Comfort Gold’ certification in Europe.

Aluminum Trihydrate (ATH) Application Insights

The aluminum trihydrate (ATH) market segmentation, based on application, includes flame retardants, fillers, antacids and others. The flame retardants segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. This is due to the increasing preference for flame retardants across end industries such as building & construction, automotive, and electrical & electronics in order to meet stringent fire safety regulations positively impacts the market growth.

May 2021: J.M. Huber Corporation (Huber) signed a definitive agreement with RHI Magnesita (RHIM) to acquire their 50% ownership stake in the companies’ 50/50 joint venture, MAGNIFIN Magnesiaprodukte GmbH & Co. K.G. (“MAGNIFIN”). This transaction was expected to close in the second half of 2021, pending regulatory approvals. This approval has further broadened the growth opportunity for the aluminum trihydrate (ATH) industry.

Figure 2:  Aluminum Trihydrate (ATH) Market, by Application, 2021 & 2030 (USD Billion)Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Additionally, ATH is a cost-effective, non-reactive flame retardant used in various molding compounds. Inorganic fillers such as aluminum trihydrate are widely used as flame retardants and smoke suppressants. The main advantage of inorganic fillers is that they are non-toxic.

Aluminum Trihydrate (ATH) Regional Insights

By Region, the study segments the market into North America, Europe, Asia-Pacific and Rest of the World. Asia-Pacific aluminum trihydrate (ATH) market accounted for USD 0.48 billion in 2021 and is expected to exhibit an 6.40% CAGR during the study period. This is attributed to use of alumina trihydrate is the plastic industry, it is most economical and widely used as a flame retardant and smoke suppressant. Plastic is used in every sector, including packaging, building and construction, textiles, consumer goods, transportation, electrical and electronics, and industrial machinery. Growing middle-class population, rising disposable income, changing lifestyles, and others are factors expected to drive demand, supporting the market growth in this region. Moreover, factors such as the ready availability of raw materials and labor, advanced technology and innovation drive economic growth in the Asia Pacific region.

Further, the major countries studied are: The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3:  Aluminum Trihydrate (ATH) MARKET SHARE BY REGION 2021 (%)Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe aluminum trihydrate (ATH) market accounts for the second-largest market share due to the ATH is a natural mineral used as a key ingredient in composite materials for solid surfacing. Many households and companies have composite materials for solid surfacing in kitchens, bathrooms, and laboratory countertops. This is a factor expected to drive the growth of the target market. Strong economic growth associated with industrial production is expected to increase the demand for plastics, thereby propelling the demand for engineering plastics. Furthermore, an increasing number of residential and commercial infrastructures in the region is a factor expected to increase the demand for plastics in the region. Further, the Germany aluminum trihydrate (ATH) market held the largest market share, and the Rest of Europe aluminum trihydrate (ATH) market was the fastest growing market in the European region

The North America aluminum trihydrate (ATH) Market is expected to grow at a CAGR of 4.8% from 2022 to 2030. North America is projected to hold a significant share of the target market owing to growth in end-use applications and wider acceptance of ATH flame retardants in various end-use industries. Moreover, US aluminum trihydrate (ATH) market held the largest market share, and it was the fastest growing market in the North America region

For instance, US aluminum trihydrate (ATH) market is the favored by technological advancements and cost-effective solutions have positively impacted the alumina trihydrate market. Expanding industrial vehicles' applicability and utility in alum production will present an impressive growth curve through the forecast year. Stringent emissions standards are forcing OEMs to reduce overall weight and improve fuel economy, thereby reducing transportation operating costs. Additionally, strict regulations in many regions have imposed strict emission standards due to rising vehicle emissions levels. Vendors collaborate with regional and local players to develop new end-use products to enhance product portfolio and strengthen their footprint, which in turn are factors driving the alumina trihydrate market growth in the U.S.

Aluminum Trihydrate (ATH) Key Market Players & Competitive Insights

Major market players are spending a lot of money on R&D to increase their product lines, which will help the aluminum trihydrate (ATH) market grow even more. Market participants are also taking a range of strategic initiatives to grow their worldwide footprint, including new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the aluminum trihydrate (ATH) industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market environment.

One of the primary business strategies adopted by manufacturers in the aluminum trihydrate (ATH) market to benefit clients and expand the aluminum trihydrate (ATH) market sector is to manufacture locally to reduce operating costs. Intense competition, rapid advances in technology, frequent changes in government policies, and environmental regulations are key factors that confront market growth.

J.M. Huber Corporation (Huber Engineered Materials) is a subsidiary of J.M. Huber Corporation in industrial chemical manufacturing and is continuously innovating and transforming to exceed client expectations and industry standards. HEM prides itself on superior customer and technical service while focusing on creating, developing and manufacturing superior engineered specialty ingredients and specialty agriculture solutions. Our industrial chemical manufacturing is executed to enhance the performance, appeal and processing of a broad range of products used in industrial and consumer-based applications. Our expertise has advanced the art in alumina trihydrate, magnesium hydroxide, engineered molybdate compounds, specialty aluminas, organic matting agents, cast polymer performance minerals, industrial, food grade and USP calcium carbonate and specialty agriculture solutions.

Also, Sumitomo Chemical Co Ltd manufactures and sells chemicals and chemical-based products. The firm is organized into six segments by product type. The petrochemicals and plastics segment, which generates more revenue than any other segment, sells multiple products including propylene and polypropylene used in automobile seat cushions and interior panels. The pharmaceutical segment sells medicine to treat diabetes, neurology, cancer, and infectious diseases. The IT-related chemicals segment sells compound semiconductors and polarizing films used in LCD displays for TVs and smartphones. The other three segments are health and crop sciences; energy and functional materials; and others. The majority of revenue comes from Japan and China.

Key Companies in the aluminum trihydrate (ATH) market include

• M. Huber Corporation (Huber Engineered Materials)


• Sumitomo Chemical Co., Ltd


• The R.J. Marshall Company


• ALTEO


• SIBELCO


• LKAB Minerals AB


• Nabaltec AG


• Aluminum Corporation of China Limited (CHALCO)


• NALCO

Aluminum Trihydrate (ATH) market Developments

May 2021: J.M. Huber Corporation (Huber) signed a definitive agreement with RHI Magnesita (RHIM) to acquire their 50% ownership stake in the companies’ 50/50 joint venture, MAGNIFIN Magnesiaprodukte GmbH & Co. K.G. (“MAGNIFIN”). This transaction was expected to close in the second half of 2021, pending regulatory approvals. This approval has further broadened the growth opportunity for the aluminum trihydrate (ATH) industry

Aluminum Trihydrate (ATH) Market Segmentation

Aluminum Trihydrate (ATH) End User Outlook

• Building and Construction


• Electrical and Electronics


• Automotive


• Paints and Coatings


• Plastics


• Pharmaceuticals


• Other End-Users

Aluminum Trihydrate (ATH) Application Outlook

• Flame Retardant


• Filler


• Antacid


• Other Applications

Aluminum Trihydrate (ATH) Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Latin America
  
  
  
  • Mexico
  
  
  • Argentina
  
  
  • Brazil
  
  
  • Rest of Latin America
  
  
  
  


• Middle East & Africa
  
  
  
  • GCC Countries
  
  
  • South Africa
  
  
  
  


• Rest of Middle East & Africa