Alumina Trihydrate Market Size, Share & Industry Analysis, By Application (Flame Retardant, Catalyst, Filler, and Others), By End-use Industry (Water Treatment, Building & Construction, Paints and Coatings, Glass, Plastic, Pharmaceutical, and Others), and Regional Forecast, 2024-2032

The global alumina trihydrate market size was valued at USD 4.21 billion in 2023 and is projected to grow from USD 4.45 billion in 2024 to USD 7.14 billion by 2032, exhibiting a CAGR of 6.1% during the forecast period.

Alumina trihydrate is also called an alumina hydrate, aluminium tri hydroxide, aluminium hydrate, ATH, ATH mineral, and aluminium hydroxide. A powder-formed solid substance appears white with no odor. It is an amphoteric compound and naturally occurs in barite, gibbsite, doyletie, and nordstrandite. The product has low solubility in water but can be soluble in strong alkalis and acids. At high temperatures, the alumina trihydrate decomposes to water, aluminium oxide, and aluminium oxide, thereby being used as a flame retardant in various applications. In addition, it is chemically inert, non-toxic, and resistant to abrasion. These properties make it a sustainable solution in many applications, including fire retardants, coagulants, catalysts, antacids, vaccines, mineral extenders, and smoke suppressants.

The increasing adoption in the various end-use industries, such as pharmaceutical and plastic industries is slated to fuel market growth. The product's primary use can be observed in the antacids formulation, owing to its basic properties. Furthermore, it is used to buffer the pH in the stomach, which helps treat upset and sour stomach. In addition, due to flame retardant properties, the product is used to form polyethylene and Polyvinyl Chloride (PVC). The rapid growth in the pharmaceutical industry and innovation in plastic products are expected to aid in surging product demand. Hence, the rising demand is poised to fuel the alumina trihydrate market growth during the forecast period.

The COVID-19 pandemic led to global manufacturing disruptions due to lockdowns, restrictions, and workforce shortages. This resulted in interruptions in the production of ATH, as facilities faced challenges in maintaining operations at full capacity. In addition, restrictions on movement and transportation disrupted the supply chain of raw materials required for ATH production. Delays in shipping and logistics further hindered the timely delivery of ATH to end-users. Many industries that utilize ATH, such as construction, automotive, and electronics, experienced a decline in demand during the pandemic. Construction projects were delayed or canceled, automotive production decreased, and consumer electronics sales slowed due to economic uncertainties and reduced consumer spending.

Alumina Trihydrate Market Trends

Use of Aluminium Hydroxide in Water Treatment Plants

Rapid urbanization, industrialization, and agricultural activities have led to the contamination of water sources with pollutants such as heavy metals, organic compounds, and pathogens. Traditional water treatment methods often struggle to effectively remove these contaminants, necessitating the adoption of advanced treatment technologies. Aluminium hydroxide, with its excellent coagulation and flocculation properties, offers an effective solution for addressing complex water quality challenges. The growing demand for clean water and the increasing complexity of water quality challenges are expected to drive continued growth in adopting aluminium hydroxide in water treatment plants. Ongoing research and development efforts are focused on enhancing alum-based treatment processes' efficiency, performance, and sustainability. Innovations such as modified forms of aluminium hydroxide nanoparticles and hybrid coagulant formulations aim to improve treatment outcomes further and address emerging contaminants, ensuring the continued relevance of alum in the evolving landscape of water treatment technologies.

Alumina Trihydrate Market Growth Factors

Growing Demand for Flame Retardants across Major Industries Drives Market Growth

With the growing awareness about fire hazards and safety regulations becoming stricter globally, industries such as construction, automotive, electronics, and textiles increasingly prioritize fire-resistant materials. Flame retardants such as alumina trihydrate act as additives in various materials to inhibit or delay fire spread. As a result, manufacturers across sectors such as construction, transportation, and electronics are incorporating flame retardants into their products to meet safety standards and regulations. In addition, environmental concerns and the growing preference for sustainable products are driving the shift toward eco-friendly flame retardants such as alumina trihydrate. Unlike traditional flame retardants containing halogenated compounds or heavy metals, it is considered environmentally benign and non-toxic. As sustainability becomes a key focus for industries and consumers alike, the demand for alumina trihydrate as a safer alternative to conventional flame retardants continues to rise. The growing demand for flame retardants across major industries, driven by concerns for fire safety and environmental considerations, is poised to fuel the expansion of the market during the forecast period.

RESTRAINING FACTORS

Presence of Alternatives May Hamper Market Growth

The availability of a wide range of flame retardant compounds can restrain the market's growth. Alternatives such as organophosphorus compounds, brominated flame retardants, and intumescent formulations offer specific advantages over ATH regarding performance, cost, or environmental impact. Industries seek flame retardants tailored to their particular requirements, leading to the adoption of alternative compounds that may better suit their needs. While alumina trihydrate exhibits excellent flame retardant properties at moderate temperatures, it may not be as effective in high-temperature applications. In aerospace, automotive, and electronics industries, where exposure to elevated temperatures is common, alternative flame retardants with superior heat resistance, such as organophosphorus compounds or phosphorous-based additives, are preferred. This hinders the market potential of alumina trihydrate in specific high-temperature environments.

Alumina Trihydrate Market Segmentation Analysis

By Application Analysis

Flame Retardant Segment to Dominate Due to Extensive Usage in End-use Industries

By application, the market is segregated into flame retardant, catalyst, filler, and others.

The flame retardant segment is anticipated to account for the largest market share during the forecast period. The growth of the flame retardant segment is driven by the increasing focus on fire safety across major industries such as construction, automotive, electronics, and textiles. With the growing awareness about fire hazards and safety regulations becoming stricter globally, industries increasingly prioritize fire-resistant materials. Flame retardants such as ATH act as additives in various materials to inhibit or delay fire spread. As a result, manufacturers across sectors such as construction, transportation, and electronics are incorporating flame retardants into their products to meet safety standards and regulations.

The catalyst segment is poised to register a moderate growth rate during the forecast period due to its indispensable role in polymerization reactions. ATH acts as a co-catalyst in Ziegler-Nattacatayst systems, which are widely used in the production of polyethylene and polypropylene. These polymers are fundamental to numerous industries, including packaging, automotive, construction, and consumer goods.

By End-use Industry Analysis

Plastic Segment Led Due to Product Usage as a Flame Retardant Filler

By end-use industry, the market is classified into water treatment, building & construction, paints and coatings, glass, plastic, pharmaceutical, and others.

The plastic segment held the dominating market share in 2023. Alumina trihydrate is extensively used as a flame-retardant filler in the production of plastics, polymers, and composite materials. It is added to thermosetting resins, thermoplastics, and rubber compounds to improve their fire retardancy and smoke suppression capabilities. ATH synergizes with other flame retardant additives, such as halogenated compounds or phosphorus-based agents, to achieve desired fire performance standards while minimizing environmental impact and toxicity concerns.

The demand for paints and coatings is expected to grow significantly as fire safety regulations become more stringent and the need for sustainable building materials increases. As manufacturers prioritize the development of fire-resistant, durable, and environmentally friendly coatings, ATH is poised to play a significant role in meeting these evolving market requirements.

REGIONAL INSIGHTS

By region, the market is classified into Asia Pacific, Latin America, the Middle East & Africa, North America, and Europe.

Asia Pacific captured the largest alumina trihydrate market share in 2023 and is anticipated to dominate during the forecast period. The region's growth is associated with the rising adoption of the product in the pharmaceutical industry. Furthermore, the higher utilization of alumina trihydrate as a catalyst for various purposes is slated to fuel the market growth in Asia Pacific.

Europe’s market growth can be ascribed to increasing product use in the automobile and plastic industries. Heightened demand of alumina trihydrate as flame retardant in construction industry for wall panels, insulation, roofing materials, and flooring applications will further drive the demand of product in the region.

The high use of the product in water treatment and construction is expected to aid in propelling substantial market growth in North America. In addition, the accelerating growth of the plastics industry in the U.S. is contributing significantly to market development.

The Middle East & Africa is anticipated to witness significant growth during the forecast period owing to the adoption of the alumina trihydrate in paints & coatings.

List of Key Companies in Alumina Trihydrate Market

Strategic Planning Adopted by Companies to Strengthen Their Market Share

A few major players primarily dominate the market. The existing players have developed proprietary products, and they maintain a competitive edge over other players owing to their unique product offerings. Furthermore, the companies are continuously conducting R&D activities to develop better solutions to match the changing needs of the electronic industry.

The major alumina trihydrate manufacturers in the market are Sibelco, Niknam Chemicals Private Limited, THE CHEMICAL COMPANY, Hindalco Industries Ltd., and Astrra Chemicals. Plant expansions and strategic mergers and acquisitions characterize the global market. The market's major businesses have been actively acquiring competitors for better economies of scale.

LIST OF KEY COMPANIES PROFILED:

• Sibelco (Belgium)


• Niknam Chemicals Private Limited (India)


• THE CHEMICAL COMPANY (U.S.)


• Hindalco Industries Ltd. (India)


• Astrra Chemicals (India)


• Gujarat Credo Alumina Chemicals Ltd. (GCACL) (India)


• ACURO ORGANICS LIMITED (India)


• The R.J. Marshall Company (U.S.)


• ATAMAN Chemicals (Türkiye)


• TOR Minerals (Netherlands)

KEY INDUSTRY DEVELOPMENTS:

• February 2024: Emirates Global Aluminium announced that it had signed an agreement to supply alumina to the Alumina Industrial Company. This collaboration aims to foster the emergence of a new sector dedicated to manufacturing specialty products from alumina.


• December 2023: Hindalco Industries announced an investment of USD 96.20 million to set up a battery foil manufacturing facility in Odisha’s Sambalpur district. The new plant will manufacture fine-quality aluminium foil used in rechargeable batteries.


• November 2023: Almatis announced a substantial investment to increase the capacity of calcined alumina production in North America. The project is designed to boost primary calcined alumina production capacity at its Benton, Arkansas, plant.


• September 2023: Hindalco Industries signed a technology partnership agreement with Italy-based Metra to manufacture high-speed aluminium rail coaches.


• January 2022: Huber Engineered Materials (HEM) announced the acquisition of RHI Magnesita with a 50% ownership stake. MAGNIFIN products are sold globally by Martinswerk GmbH as part of the HEM Fire Retardant Additives (FRA) strategic business unit, which produces a wide range of halogen-free fire retardants, smoke suppressants, and specialty aluminium oxides.


• September 2020: The Fire Retardant Additives division of Huber Engineered Materials (HEM) announced that the company plans to make a substantial investment and major sustainability project in a new power plant at its Martinswerk facility in Bergheim, Germany.

REPORT COVERAGE

The research report provides a detailed analysis of the market and focuses on crucial aspects such as leading companies, applications, and end-use industries. In addition, it offers insights into market trends and highlights vital industry developments. In addition to the factors mentioned above, the report encompasses various factors that have contributed to the market's growth in recent years. It further includes historical data and forecasts revenue growth at global, regional, and country levels and analyzes the industry's latest market dynamics and opportunities.

Report Scope & Segmentation