by The aluminum extrusion market comprises products such as shapes, rods, pipes, and structural extrusions that are used across various end-use industries. Aluminum extrusions are versatile materials that offer excellent thermal and electrical conductivity along with high strength-to-weight ratio. They are used in a wide range of applications such as construction, automotive, machinery & equipment, electrical, and mass transit. The growing construction activities along with increasing automotive production are propelling the demand for aluminum extrusion solutions.
The Global Aluminum Extrusion Market is estimated to be valued at US$ 5.57 Bn in 2024 and is expected to exhibit a CAGR of 18.% over the forecast period 2024 to 2031.
Key Takeaways
Key players operating in the aluminum extrusion market are Corbion, Minerals Technologies Inc., Compass Minerals International Inc., Albion Laboratories, Inc., Paul Lohmann GmbH KG, K+S Aktiengesellschaft, Gadot Biochemical Industries Ltd., Arla Foods amba, DuPont, Jungbunzlauer Suisse AG, SEPPIC, and Koninklijke DSM N.V. Key players are focusing on capacity expansion and new product launches to cater to the growing demand.
The growing construction activities along with the revival of the automotive industry post COVID-19 pandemic are fueling the demand for aluminum extrusions. Rapid urbanization and infrastructure development projects across emerging nations are creating lucrative opportunities.
The Aluminum Extrusion Market Demand players are focusing on geographic and end-use industry expansion to gain a competitive advantage. Rising aluminum extrusion consumption in Asia Pacific and North America driven by increased manufacturing and construction spending is helping market players to strengthen their global footprint.
Market Key Trends
Rising application of aluminum extrusions in electric vehicles is one of the key trends in the market. They are used in various components such as battery casings, front-ends, charge ports, and underbody shields in electric vehicles due to their high strength, corrosion resistance, and lightweight properties. With stringent emission norms, the demand for energy-efficient electric vehicles is rising rapidly, which is propelling the consumption of aluminum extrusions.
Porter’s Analysis
Threat of new entrants: Aluminum extrusion requires huge capital investment and technical expertise. Large players dominate the market making it tough for new players to enter.
Bargaining power of buyers: Buyers have moderate bargaining power as there are many aluminum extrusion suppliers but products differ in quality.
Bargaining power of suppliers: Suppliers of aluminum ingots have some bargaining power as few companies supply bulk of raw material requirement.
Threat of new substitutes: Substitute materials like plastics pose low threat as Aluminum Extrusion Companies has superior properties like strength, corrosion resistance and recyclability.
Competitive rivalry: Intense competition exists among existing players to gain market share and differentiate based on quality, service and innovation.
Geographical Regions
North America accounts for the largest share of global aluminum extrusion market value owing to extensive applications in transportation, machinery and construction sectors. Growth is steady with recovery in building & construction industry.
Asia Pacific exhibits fastest growth and is expected to surpass North America by 2024 driven by infrastructure growth in China, India and Southeast Asia coupled with aluminum extrusion replacing steel. Rapid industrialization and urbanization supports market expansion.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
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