Market Overview:
The aluminum extrusion market involves manufacturing aluminum beams, bars, tubes, and other sectional or hollow products through forcing preheated aluminum billets under high mechanical pressure through a shaped die opening. Extrusion permits intricate shapes to be made in a single operation. Aluminum extrusions possess excellent longevity and corrosion resistance which makes them suitable for the construction of vehicles, buildings, and other manufactured goods. Various shapes of aluminum extrusions such as T profiles, U profiles, I beams, channels, and other specialized custom shapes find diverse applications.

Market key trends:
One of the key trends driving the growth of the aluminum extrusion market is emerging trends in energy-efficient buildings. Aluminum is becoming a popular choice for window frames, doors, curtain walls, and other architectural profiles due to its light weight, durability, and thermal properties. Aluminum extrusions aid in reducing energy consumption by allowing natural ventilation and daylighting.

They help improve indoor air quality and occupant comfort in buildings. In addition, aluminum extrusions reflect heat and shield buildings from solar heat gain leading to lower energy usage for cooling. This reduces operating costs in the long run and makes buildings more sustainable. Growing concerns about climate change and urbanization are compelling governments worldwide to impose stringent regulations regarding energy usage of new constructions which is expected to further boost demand for aluminum extrusions in commercial and residential infrastructure projects.

The global Aluminum Extrusion Market Demand is estimated to be valued at US$ 110 Bn in 2023 and is expected to exhibit a CAGR of 8.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Porter’s Analysis

Threat of new entrants: Low barrier of entry but capital intensive production facilities favors large players.

Bargaining power of buyers: Buyers have moderate bargaining power due to availability of alternatives and fragmented market presence.

Bargaining power of suppliers: Aluminum suppliers have moderate bargaining power due to availability of substitutes and dominance of few key aluminum producers.

Threat of new substitutes: Threat from substitute materials like plastics and copper is moderate due to regulations around sustainability and recycling.

Competitive rivalry: Intense competition exists among existing players to gain market share.

SWOT Analysis

Strength: Aluminum extrusions offers properties like corrosion resistance, light weight and recyclability. Growing construction and automotive industries favors market growth.

Weakness: Volatility in raw material prices and energy costs affects profit margins. Significant investment required for production facilities.

Opportunity: Increasing focus on sustainability and eco-friendly materials offers growth prospects. Rising disposable incomes in developing economies to propel demand.

Threats: Slowdown in key end-use industries like construction impacts sales. Technological advancements reduce aluminum content in certain applications.

Key Takeaways

The global aluminum extrusion market is expected to witness high growth, exhibiting CAGR of 8.0% over the forecast period, due to increasing construction activities and green building initiatives across the globe. The Asia Pacific region currently dominates the market due to rapid industrialization and presence of leading aluminum producers in China and India.

Regional analysis North America and Europe are other major regions for aluminum extrusions supported by growing automotive production. Stringent emission regulations favor use of lightweight aluminum over other metals.

Key players operating in the aluminum extrusion market are UAJC Corporation, Constellium, Norsk Hydro ASA, China Zhongwang Holding Limited, Kaiser Aluminum, Extrudex Aluminum, Gulf Extrusions Co., Novelis, AMG Advanced Metallurgical Group, and Hindalco Industries Ltd. Constellium and Novelis captured over 15% share of the global market in 2023.

Read More: https://www.ukwebwire.com/anticipated-to-openup-the-new-avanue-for-aluminum-extrusion-market/