Aluminum Extrusion MarketSize and Trends

Market Dynamics:-

Demand for aluminum is rapidly increasing in end-use industries such as automotive, building & construction, and electrical & electronics, owing to superior performance offered by aluminum over steel, and other metals. Furthermore, aluminum extrusion offers advantages such as light weight, recyclability, and corrosion resistant are expected to drive demand for aluminum extrusion in various end-industries. These factors are expected to drive growth of the aluminum extrusion market over the forecast period.

Moreover, growing end-use industries is expected to act as a major driver for growth of the aluminum extrusion market over the forecast period. Aluminum extrusion find its applications in structural support to roofing system, elevator shafts, stairwells and others in construction industry. According to the India Brand Equity Foundation (IBEF), Indian real estate industry was valued at US$ 120 billion in 2017 and is expected to reach US$ 1 trillion by end of 2030.

Market Outlook:-

Among product type, mill finished segment is expected to account for over 50.0% market share in the global aluminum extrusion market over the forecast period. This is attributed to growth in end-use industries in emerging economies such as India, Thailand, and China. For instance, vehicle production in Thailand and India is increasing at a faster pace coupled with increasing consumption of aluminum extrusion per motor vehicle, leading to growth of the aluminum extrusion market in Asia Pacific.

Increasing per capita expenditure and changing lifestyle of consumers is expected to aid in growth of aluminum extrusion market over the forecast period. According to the International Organization of Motor Vehicle Manufacturers, the production of cars and commercial vehicles in India was 4.48 million units in 2016 and reached 5.17 million units in 2018.

However, volatility in aluminum prices is expected to hamper growth of the aluminum extrusion market over the forecast period, owing to fluctuations in raw material prices affecting the margin of aluminum extrusion manufacturers and cost at which consumers or end-users procure finished product.