According to ChemAnalyst report, “Global Aluminium Hydroxide Market Analysis: Industry Market Size, Plant Capacity, Production, Operating Efficiency, Demand & Supply, End-Use, Sales Channel, Regional Demand, Foreign Trade, Company Share, Manufacturing Process, and Policy and Regulatory Landscape, 2015-2032,” the market for aluminium hydroxide is likely to reach 9,718 Thousand Tons by 2032 at an impressive CAGR of 3.74% during the forecast period. The market is expected to gain from the increased demand for aluminium hydroxide from flame retardants and automotive industries over the forecast period.
Aluminium hydroxide (Al (OH)3) is a white inorganic compound found in nature as gibbsite mineral. It's used to make various aluminium-based compounds and finds applications in fire-resistant products, pharmaceuticals, plastics, and cosmetics, available as powder and gel.
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The global aluminium hydroxide market is growing due to increased demand from industries like flame retardants and automotive. This trend is expected to continue due to its cost-efficient properties in painting and coating sectors. However, competition from alternatives like magnesium hydroxide could limit its growth. Nevertheless, its expanding use across industries offers potential for future market development.
The use of fire-resistant materials in construction is gaining importance due to safety concerns, with aluminium hydroxide being a valuable option. Its ability to act as a flame retardant by releasing water vapor when exposed to heat makes it effective for enhancing building material safety. Despite its benefits, concerns about health risks and environmental impact are limiting its market growth. Competition from alternatives like magnesium hydroxide also affects demand. To stand out, market players must emphasize aluminium hydroxide's unique advantages over competitors to maintain a competitive edge.
A significant trend in the aluminium hydroxide market is the focus on sustainability and environmental responsibility. Aluminium hydroxide's fire-resistant properties align with eco-friendly goals, driving its adoption in various applications. The market's future looks promising due to its increasing demand in batteries and chemicals sectors. The battery industry seeks it for safety and efficiency in electronics and EVs, while its versatile applications in the chemical sector align with sustainability goals, indicating favorable growth ahead.
The global aluminium hydroxide market is segmented by end-use, sales channel, and region. Based on end-use, the market is classified into construction, automotive, electronics, chemicals, and others. The construction industry held the largest share in 2022, driven by its demand of 2800 thousand tons. The construction industry benefits from aluminium hydroxide's fire-resistant properties for enhancing safety in insulation, coatings, and cladding, aligning with safety standards. The automotive sector is the second-largest segment, utilizing aluminium hydroxide for lightweight composites to improve fuel efficiency and safety in components like wire insulation and under-the-hood applications.
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Asia Pacific led the global aluminium hydroxide market in 2022 and is expected to continue doing so in the near future. The Asia Pacific region, particularly China and India, holds a strong position in the global market due to high plastics demand. China's role as a major chemical market and its emphasis on green development and healthcare growth are driving factors. Cross-border investments are increasing, and China's healthcare spending is expected to impact the aluminium hydroxide market's trajectory.
“Global Aluminium Hydroxide Market Analysis: Industry Market Size, Plant Capacity, Production, Operating Efficiency, Demand & Supply, End-Use, Sales Channel, Regional Demand, Foreign Trade, Company Share, Manufacturing Process, and Policy and Regulatory Landscape, 2015-2032”
National Aluminium Company Limited, East Hope Group, Eti Alüminyum A.S., Chalco Zhongzhou Advanced Material Technology Co. Ltd., Hindalco Industries Limited, P.T. Indonesia Chemical Alumina, Nabeltec AG, ZC-TECH, Gujarat Credo Alumina Chemicals Private Limited, and Nashtec LLC (Nabeltec AG & Sherwin Alumina) are the key players in the global aluminium hydroxide market.
“The global aluminium hydroxide market's future outlook is positive, driven by sustainability trends, demand for fire-resistant construction materials, and versatile applications in batteries and chemicals. The Asia Pacific, led by China and India, will likely remain dominant due to increased plastics demand and industrial progress. However, challenges like health and environmental concerns and competition from alternatives need addressing. Despite this, the market is poised for steady growth, fueled by safety regulations, sustainability priorities, and expanding industry applications,” said Mr. Karan Chechi, Research Director with TechSci Research, a research-based management consulting firm promoting ChemAnalyst worldwide.
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