Press release
Driving Aluminum Systems Market Growth in 2025: The Role of Aluminum Systems Market Thrives On Automotive Industry Growth
Aluminum Systems Market Size
Aluminum Systems Market Size Growth Forecast: What to Expect by 2025?
The aluminum systems market has seen significant growth in the past years. There's prediction that it will increase from $162.69 billion in 2024 to around $172.2 billion in 2025 at a 5.8% Compound Annual Growth Rate. Factors contributing to this growth in the historical period include aluminum's lightweight and superior strength-to-weight ratio, its expanded usage in the construction and building sector, sustainability and reusability of aluminum materials, and the corrosion-resistant and durable nature of aluminum products. Additionally, the growing demand in the automotive and transportation sectors plays a pivotal role.
How Will the Aluminum Systems Market Size Evolve and Grow by 2029?
The market for aluminum systems is projected to experience significant expansion in the following years, with its value expected to reach $227.85 billion in 2029, growing at a compound annual growth rate (CAGR) of 7.3%. This upcoming growth can be linked to the increasing usage of aluminum in green building and leed certification projects, the rise of urbanization and megacities fueling construction activities, the surge in demand for aluminum in the packaging and consumer goods sector, the growing use in electronics and electrical components, and the automotive industry's shift towards electric vehicles and lightweighting. Notable trends for the forecasted period encompass enhancements in aluminum alloys and coating technologies, energy-efficient windows and doors, intelligent and eco-friendly infrastructure, the use of aluminum in transportation electrification, and initiatives focusing on a circular economy and recycling.
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What Drivers Are Propelling the Growth of Aluminum Systems Market Forward?
The advancement in the automobile sector is propelling the growth of the aluminum systems market. The automotive industry encompasses a range of undertakings, including designing, producing, selling, and marketing of vehicles. A shift in customer interests and choices motivates car manufacturers to unveil an array of vehicle designs and models. Aluminum and its various systems form an essential component of the automotive sector, given its extensive use in creating car bodies and structures, electrical wires, wheels, paint, light systems, gearbox, air conditioning condenser and pipes, and engine components among others. For instance, data published by Statistics Canada, a government agency in Canada, revealed that in June 2024, the total number of motor vehicles registered on Canadian roads in 2022 was 26.3 million, marking a 0.3% increase from the previous year. As such, the swift expansion of the automotive industry is predicted to spur the demand for aluminum systems in the forecasted period.
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Which Emerging Trends Are Transforming the Aluminum Systems Market in 2025?
The primary trend emerging in the aluminum systems market is the formation of collaborations and partnerships. To fulfill customer needs, capitalize on shared resources, and penetrate new markets, major corporations operating within the aluminum system industry are prioritizing these relationships. Notably, in 2022, Sharp Corp, an American motor vehicle manufacturer, initiated a partnership with Hydro aluminum Metal, headquartered in Oslo. This cooperation provides Shape with the opportunity to introduce Hydro CIRCAL's unique attributes to the international automotive market, offering environmentally friendly solutions without compromising on the strength and weight-reducing features inherent in Hydro's aluminum product line.
What Are the Key Segments in the Aluminum Systems Market?
The aluminum systems market covered in this report is segmented -
1) By Alloy Type: Wrought Aluminum Alloy, Cast Aluminum Alloy
2) By Alloying Element: Silicon, Magnesium, Manganese, Copper, Other Alloying Elements
3) By Applications: Transportation & Logistics, Packaging, Construction, Electrical & Electronics, Other Applications
Subsegments:
1) By Wrought Aluminum Alloy: 1 Series, 2 Series, 3 Series, 4 Series, 5 Series, 6 Series, 7 Series, 8 Series
2) By Cast Aluminum Alloy: 1xx.x Series, 2xx.x Series, 3xx.x Series, 4xx.x Series, 5xx.x Series, 7xx.x Series, 8xx.x Series
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Who Are the Key Players Shaping the Aluminum Systems Market's Competitive Landscape?
Major companies operating in the aluminum systems market include Rusal, Alcoa Corporation, Aluminum Corporation of China Limited, Rio Tinto Group, BHP Group Limited, Ryerson Inc., Bonnell Aluminum, Joseph Fazzio Inc., Continental Steel & Tube Co., Aluminum Distributing Inc., A-1 Alloys, Metalmark Inc., Pennsylvania Steel Company Inc., Kaiser Aluminum Corporation, Craft-Bilt Manufacturing Co., Airtec Corporation, Kawneer Company Inc., Enclos Corp., Dome'L Inc., Boyd Aluminum Mfg. Co., AJ Manufacturing Inc., Columbia Manufacturing Co. Ltd., Sierra Pacific Windows, All Time Manufacturing Co. Inc., Schueco International KG, Guangdong Xingfa Aluminium Co. Ltd., LIXIL Group Corporation, Wacang or Guangdong Huachang Aluminum Factory Co., FENAN Group, Sapa Group, YKK Architectural Products, Hydro Sapa, Aluprof SA, Innovative Aluminum Systems Inc., European Architectural Supply Inc.
What Geographic Markets Are Powering Growth in the Aluminum Systems Market?
Asia-Pacific was the largest region in the aluminum systems market in 2024, and it is also expected to be the fastest-growing region in the forecast period. The regions covered in the aluminum systems market report include Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
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