July 24, 2024

Rising applications of recycled aluminum to drive growth of Aluminum Deoxidizer Market

The global Aluminum Deoxidizer Market is estimated to be valued at US$ 3.13 Bn in 2023 and is expected to exhibit a CAGR of 5.7% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
Aluminum deoxidizers are additives that help prevent oxidation in molten aluminum during smelting and casting operations. They are usually added in small amounts to remove residual oxygen and prevent it from combining with aluminum to form aluminum oxide, which causes defects in the final cast product. Common aluminum deoxidizers include alkali and alkaline earth metals like sodium, calcium, barium which have a strong affinity for oxygen. They help improve the quality and performance of cast aluminum parts by yielding a purer metal. With growing aluminum recycling and higher purity requirements from automotive and aerospace industries, the market for aluminum deoxidizers is expected to grow steadily.

Market key trends:
One of the key trends driving growth in this market is the increasing focus on recycled aluminum. Recycling aluminum helps reduce carbon emissions significantly compared to primary aluminum production from bauxite ore. It is also more energy efficient. However, impurities in recycled aluminum need to be removed to attain the required purity levels particularly for applications in transportation and packaging sectors. Aluminum deoxidizers play a vital role in refining recycled aluminum successfully. Their demand is surging with the ballooning recycling rates of aluminum scrap and beverage cans globally. Growing recycling pushes up the consumption of aluminum deoxidizers over the forecast period.

Porter’s Analysis

  • Threat of new entrants: Low due to high capital requirements for R&D and manufacturing facilities.
  • Bargaining power of buyers: Moderate as there are many established players but aluminum products are an essential raw material.
  • Bargaining power of suppliers: Moderate as suppliers have established relationships with buyers but there are also alternative suppliers.
  • Threat of new substitutes: Low as there are limited substitutes for aluminum deoxidizers in aluminum production.
  • Competitive rivalry: High as the market is dominated by few global players with differentiation in technology and services.

Key Takeaways

The global aluminum deoxidizer market is expected to witness high growth, exhibiting a CAGR of 5.7% over the forecast period, due to increasing demand from the aluminum industry. Regional analysis

The Asia Pacific region currently dominates the global market and is expected to grow at the fastest rate during the forecast period owing to the presence of major developing economies like China and India with large aluminum production.

Key players

Key players operating in the aluminum deoxidizer market are Almatis GmbH, AluChem, Inc., Motim Electrocorundum Ltd., READE Advanced Materials, Zibo Honghe Chemical Co., Ltd., Henan HengXin Industrial & Mineral Products Co., Ltd., Prince Minerals LLC, HAIHUI Group Co., Ltd., Gongyi City Meiqi Industry & Trade Co., Ltd., Xinzheng Chengxin Carbon Co., Ltd.,Henan Junsheng Refractories Limited, Luoyang Zhongsen Refractory Co., Limited, Jiaozuo BeiYuan Chemical Co., Ltd., Gongyi City Xianke Water Supply Material Co., Ltd., Zibo Jiuchen Industry & Trade Co., Ltd.