Aluminum Alloys Market

Aluminum alloys, in general, are the alloys, wherein an alloying metal is added to the base metal (aluminum) to enhance the properties of pure aluminum and make it suitable for specific applications. Aluminum alloys are used in the manufacture of automotive components, aerospace components, marine components, construction elements, packaging products, electrical parts, sports goods and various consumer goods. Light weight of aluminum and better properties infused through alloying metal make it a superior substitute in automotive applications. Furthermore, aluminum alloys are widely used in the aerospace industry; these are ideal materials to replace heavy weight components in aircraft. Aluminum alloys are also used in the construction industry for building structures including roofs, windows, architectural hardware, partitions and structural glazing. Additionally, aluminum alloys are used in wires, consumer goods, tools and machineries. In terms of revenue, the global aluminum alloys market was valued at US$ 91,230.7 Mn in 2013 and is projected to reach US$ 126,500.8 Mn by 2020, expanding at a CAGR of 4.8% from 2014 to 2020. 

 

Transportation was the largest segment of the global aluminum alloys market, accounting for more than 40% share in 2013. Transportation is also anticipated to be the fastest growing end-user segment of the global aluminum alloys market in the next six years. Steady development in industries such as automotive, aerospace and marine is responsible for the growth of the transportation end-user segment. Rising focus on the usage of hard but lightweight aluminum alloys for producing durable components and for increasing the fuel efficiency of vehicles is expected to drive the demand for aluminum alloys in the automotive market in the next few years. Furthermore, increasing demand for the manufacture of light-weight and high-strength components for various aerospace applications is likely to drive the demand for aluminum alloys in the global aerospace industry in the next six years. 

 

The global aluminum alloys market has been segmented based on regions such as North America, Europe, Asia Pacific and Rest of the World (RoW). Asia Pacific was the largest regional market for aluminum alloys, constituting over 60% share in 2013. Increasing demand for aluminum alloys in transportation and construction industries is projected to drive the aluminum alloys market in Asia Pacific in the next few years. Asia Pacific is also estimated to be the fastest growing region in the global aluminum alloys market during the forecast period. Higher demand for aluminum alloys in developing nations in Asia, such as China and India, is likely to drive the aluminum alloys market in Asia Pacific in the next few years. The aluminum alloys market in North America and Europe is likely to grow significantly in the next six years due to steady recovery of the economy in the U.S. and Europe. The aluminum alloys market in RoW is expected to grow noticeably in the next few years, due to rising demand for aluminum alloys in regions such as Latin America and the Middle East.

 

Increasing demand for aluminum alloys in rapidly growing end-user segments such as transportation and construction is anticipated to drive the global aluminum alloys market in the next few years. Rising usage of recycled aluminum alloys is also projected to offer substantial opportunities to the aluminum alloys market in the next six years. However, fluctuation in prices of raw materials is likely to hamper market growth during the forecast period. Major manufacturers of aluminum alloys include United Company RUSAL Plc, Alcoa Inc., Aluminum Corp. of China Ltd., Norsk Hydro ASA, and Dubai Aluminum Co. Ltd.