High-Purity Alumina Market Growth Factors, Applications, Regional Analysis, Key Players and Forecasts by 2024
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The high-purity alumina market is expected to witness notable growth in emerging economies in the coming years. These countries are witnessing rapid growth in their economy, which is mainly characterized by the large-scale expansion in the construction and manufacturing sectors. Rise in construction and manufacturing activities in these countries is resulting in the demand for products such as LEDs and semiconductors, which are primarily made up of alumina, thus offering ample growth opportunities to the market players.
Increasing regulatory norms to encourage the adoption of energy-efficient lighting solutions, such as LED bulbs, are driving the growth of the high-purity alumina market, globally. For instance, in 2015, the government of India introduced two schemes to boost the industrial production of LED solutions. Under the Modified Special Incentive Package Scheme (M-SIPS), 20% of the total capital expenditure in setting up an LED-manufacturing plant is borne by the Indian government. This has helped companies to develop the product at a comparatively low cost.
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The major restraint identified in the high-purity alumina market is the fluctuations in the prices of the raw materials used in the production of high-purity alumina. Due to the fluctuating cost of the raw materials, companies engaged in the production of aluminum oxide are witnessing alteration in profit margins and also finding it difficult to formulate their expansion plans. Thus, continuous variations in raw material costs are hindering the growth of the market.
Some of the major companies operating in the global high-purity alumina market are Sumitomo Chemicals Co. Ltd., Orbite Aluminae Inc., Alcoa Inc., United Company RUSAL Limited, Mitsubishi Chemical Corp., Nippon Hydro ASA, Hong Fu Crystal Technology (Anhui) Co. Ltd., Dalian Hiland Photoelectric Material Co. Ltd., and Hebei Pengda Advanced Material Technology Co. Ltd.
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