Aluminum Hydroxide Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | > 4.50 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Aluminum Hydroxide Market Analysis
The market for aluminum hydroxide (Alumina Trihydrate) is anticipated to register a CAGR of over 4.5% during the forecast period.
- COVID-19 moderately impacted industry growth and temporarily halted production. However, post-pandemic, the consumption of aluminum hydroxide is increasing gradually in various industries.
- Major factors driving the market study include increasing usage in polymer applications, primarily as fire retardants, and a rise in safety standards in building construction. Increasing health risks, primarily due to exposure to aluminum hydroxide, are expected to hinder the market's growth.
- The rising usage of batteries and chemicals is expected to act as a growth opportunity for the market studied over the forecast period. Asia Pacific dominates the global aluminum hydroxide industry due to the surging plastic demand, especially in countries such as China and India.
Aluminum Hydroxide Market Trends
This section covers the major market trends shaping the Aluminum Hydroxide Market according to our research experts:
Plastics Segment to Dominate the Market
- Alumina trihydrate is majorly used in plastics as a flame retardant. Almost 40% of the alumina trihydrate produced is being used in the plastics industry. In thermoplastics, flame-retardant substances are added to the polymer matrix in a molten state during extrusion, while in thermosetting plastics, the flame-retardant materials are added to the polymer structure using polycondensation or grafting.
- Plastics are being used in different end-user industries owing to their advantages, such as low cost, less weight, durability, water-resistant, etc. Some of the major end-user industries include automotive and transportation, construction, and electrical and electronics, among others.
- Growing demand for lightweight and fire-resistant materials in the automotive industry to provide increased efficiency and design flexibility is primarily responsible for the growth of the plastics market. High-performance plastics offer manufacturers the advantages of design and comparable strength to steel. Thus, this helps in reducing the overall weight and controlling greenhouse gas emissions (GHG).
- The electrical industry is seeking alternatives to the use of halogens as flame retardants for health, safety, and recycling reasons. Created specifically to address these needs, the non-halogenated material will see widespread use in electrical applications such as insulating elements and housings for circuit breakers, contactors, transformers, and motors.
- Global plastics production was around 390.7 million metric tons in 2021, an annual increase of 4%. Plastic demand is set to continue growing for the foreseeable future, with production set to reach 589 million metric tons in 2050. The demand for eco-friendly solutions such as sustainable plastic packaging is also expected to experience growth.
- China is the leading producer of plastics, accounting for roughly 32% of global production. Despite the economic impacts of the pandemic, the production of plastic products in China increased in 2020. China currently produces 6-8 million metric tons of plastic products monthly.
- Furthermore, India's plastic industry has grown rapidly since its inception and is now a key player in global plastics production, comprising more than 20,000 processing units. It is a multi-billion dollar industry and a major contributor to India's economy, employing some four million people. It is also a global supplier, with India's polymer exports totaling some 1.5 million metric tons in 2021.
- The increase in polymer production activities in the Asia Pacific and European regions will likely drive the aluminum hydroxide market during the forecast period.
China to Dominate in Asia-Pacific
- China dominated the Asia-Pacific market. China has one of the world's largest chemical markets, significantly impacting the regional market. In recent years, there was a rapid growth in cross-border mergers and acquisitions by state-owned enterprises and private entities, as well as outbound greenfield investments.
- During the ongoing 13th five-year plan, China's chemical industry is expected to enter a new stage characterized by green development, industrial up-gradation, and structural developments. The Chinese healthcare sector is also growing at a rapid pace. As a part of Beijing's "Made in China 2025" industry plan, President Xi Jinping announced plans to focus on innovation and homegrown R&D concerning the pharmaceutical sector.
- In 2021, the total expenditure on health care in China reached over CNY 7.7 trillion (USD 1.1 trillion). Overall, healthcare spending is expected to increase to USD 2.53 trillion, representing a compound annual growth rate of 8.4%. The share of health spending in China's GDP will increase from 6.6%in 2022 to 9.1% in 2035.
- India accounts for approximately 6% of global plastics consumption, making it the third-largest consumer behind China and the United States. Economic growth and population growth are expected to drive plastics use in the coming decades, with projections showing that plastics consumption in India could rise to more than 160 million metric tons by 2060. Such factors are expected to drive the Chinese aluminum hydroxide market during the forecast period.
Aluminum Hydroxide Industry Overview
The aluminum hydroxide market is fragmented in nature, with several manufacturers across the world. The major companies include Aluminum Corporation of China Limited (Chalco), Nabaltec AG, TOR Minerals International Inc., Huber Engineered Materials, and LKAB Minerals AB, among others.
Aluminum Hydroxide Market Leaders
Aluminum Corporation of China Limited (Chalco)
Nabaltec AG
TOR Minerals International Inc.
Huber Engineered Materials
LKAB Minerals AB
*Disclaimer: Major Players sorted in no particular order
Aluminum Hydroxide Market Report - Table of Contents
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1. INTRODUCTION
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1.1 Study Assumptions
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1.2 Scope of the Study
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2. RESEARCH METHODOLOGY
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3. EXECUTIVE SUMMARY
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4. MARKET DYNAMICS
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4.1 Drivers
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4.1.1 Increasing Use in Polymer Applications as Fire Retardants
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4.1.2 Rise in Safety Standards in Building Construction
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4.2 Restraints
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4.2.1 Increasing Health Risks due to Exposure to Aluminum Hydroxide
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4.2.2 Other Restraints
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4.3 Industry Value-Chain Analysis
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4.4 Porter's Five Forces Analysis
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4.4.1 Bargaining Power of Suppliers
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4.4.2 Bargaining Power of Consumers
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4.4.3 Threat of New Entrants
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4.4.4 Threat of Substitute Products and Services
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4.4.5 Degree of Competition
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5. MARKET SEGMENTATION (Market Size in Volume)
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5.1 Product Type
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5.1.1 Industrial Grade
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5.1.2 Pharmaceutical Grade
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5.1.3 Other Product Types
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5.2 End-User Industry
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5.2.1 Plastics
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5.2.2 Pharmaceuticals
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5.2.3 Coatings, Adhesives, Sealants & Elastomers
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5.2.4 Other End-User Industries
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5.3 Geography
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5.3.1 Asia-Pacific
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5.3.1.1 China
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5.3.1.2 India
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5.3.1.3 Japan
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5.3.1.4 South Korea
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5.3.1.5 Rest of Asia-Pacific
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5.3.2 North America
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5.3.2.1 United States
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5.3.2.2 Canada
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5.3.2.3 Mexico
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5.3.2.4 Rest of North America
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5.3.3 Europe
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5.3.3.1 Germany
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5.3.3.2 United Kingdom
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5.3.3.3 Italy
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5.3.3.4 France
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5.3.3.5 Rest of Europe
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5.3.4 South America
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5.3.4.1 Brazil
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5.3.4.2 Argentina
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5.3.4.3 Rest of South America
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5.3.5 Middle-East and Africa
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5.3.5.1 Saudi Arabia
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5.3.5.2 South Africa
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5.3.5.3 Rest of Middle-East and Africa
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6. COMPETITIVE LANDSCAPE
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6.1 Mergers & Acquisitions, Joint Ventures, Collaborations, and Agreements
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6.2 Market Share (%)**/Ranking Analysis
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6.3 Strategies Adopted by Leading Players
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6.4 Company Profiles
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6.4.1 Almatis
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6.4.2 Alteo
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6.4.3 ALUMINA - CHEMICALS & CASTABLES
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6.4.4 Aluminum Corporation of China Ltd (Chalco)
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6.4.5 MAL - Magyar Alumnium
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6.4.6 Nabaltec AG
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6.4.7 Sumitomo Chemical Co. Ltd
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6.4.8 Huber Materials
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6.4.9 Sibelco
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6.4.10 LKAB Minerals AB
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6.4.11 TOR Minerals International, Inc.
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6.4.12 Akrochem Corporation
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6.4.13 Hindalco (Aditya Birla Management Corporation Pvt. Ltd)
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- *List Not Exhaustive
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7. MARKET OPPORTUNITIES AND FUTURE TRENDS
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7.1 Rising Usage in Batteries and Chemicals
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Aluminum Hydroxide Industry Segmentation
Aluminum hydroxide is a basic inorganic, white-colored, powered, amphoteric compound. It is also known as hydrate alumina or trihydrate aluminum. Due to its versatile properties, including lightweight and fire resistance, it is widely used in numerous end-user industries, including building and construction, electrical and electronics, automotive, and transportation.
The market is segmented into product type, end-user industry, and geography. By product type, the market is segmented into industrial grade, pharmaceutical grade, and other product types. Based on the end-user industry, the market is segmented into plastics, pharmaceuticals, coatings, adhesives, sealants, elastomers, and other end-user industries. The report also covers the market size and forecasts for the aluminum hydroxide market in 15 countries across major regions.
The market sizing and forecasts for each segment have been done based on volume (Kilotons).
| Product Type | |
| Industrial Grade | |
| Pharmaceutical Grade | |
| Other Product Types |
| End-User Industry | |
| Plastics | |
| Pharmaceuticals | |
| Coatings, Adhesives, Sealants & Elastomers | |
| Other End-User Industries |
| Geography | |||||||
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Aluminum Hydroxide Market Research FAQs
What is the current Aluminum Hydroxide Market size?
The Aluminum Hydroxide Market is projected to register a CAGR of greater than 4.5% during the forecast period (2024-2029)
Who are the key players in Aluminum Hydroxide Market?
Aluminum Corporation of China Limited (Chalco), Nabaltec AG, TOR Minerals International Inc., Huber Engineered Materials and LKAB Minerals AB are the major companies operating in the Aluminum Hydroxide Market.
Which is the fastest growing region in Aluminum Hydroxide Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Aluminum Hydroxide Market?
In 2024, the Asia Pacific accounts for the largest market share in Aluminum Hydroxide Market.
What years does this Aluminum Hydroxide Market cover?
The report covers the Aluminum Hydroxide Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Aluminum Hydroxide Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Aluminum Hydroxide Industry Report
Statistics for the 2024 Aluminum Hydroxide market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Aluminum Hydroxide analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
