U.S. Aluminium Powder Market Size, Share & COVID-19 Impact Analysis, By Type (Atomized Aluminium Powder and Flake Aluminium Powder), By Application (Industrial, Automotive, Aerospace & Defense, Building & Construction, Electronics & Semiconductors, and Others), and Country Forecast, 2023-2030

The U.S. aluminium powder market size was worth USD 303.3 million in 2022 and is projected to grow at a CAGR of 6% during the forecast period.

Industrial applications of aluminium powder including manufacturing of paints & coatings, protective coatings, printing inks, abrasives, and inorganic & organic aluminium chemicals & catalysts are anticipated to fuel the U.S. aluminium powder market growth. Moreover, owing to rising industrialization across the U.S., use of this powder for explosives in defense, mining, and other industrial sectors has witnessed significant growth in the recent past due to increased defense and mining activities. Rising geopolitical crises between different countries, such as Russia-Ukraine and Armenia-Azerbaijan is propelling the growth of the country’s defense industry, resulting in an increased demand for the product.

Due to supply chain disruption across the U.S., in 2020, the year-on-year growth rate of the U.S. market significantly dropped compared to 2019.  The demand for bauxite ore across the country was significantly impacted due to a short-term production halt, shortage of inventory and raw material, trade restrictions, economic slowdown, changing consumer behavior in response to the COVID-19 outbreak, and various other reasons.

LATEST TRENDS

Increasing Product Use in Electrical and Electronic Devices to be Latest Market Trend

The increasing popularity of electrical and electronic products in homes and offices will contribute to the U.S. market growth in the coming years. Technological advances and increasing product application in electrical and electronic devices, such as capacitors, semiconductors, automotive batteries, and other electronic components are expected to boost the market growth.

The recent years have witnessed a significant rise in the per-capita income of emerging economies of the world including China, India, Brazil, and South Africa. There is also a rise in defense rivalry in major countries due to growing geo-political crises. These factors are significantly pushing the growth of the automotive, electronics, and aerospace & defense industries, presenting lucrative opportunities for the market.

DRIVING FACTORS

Increasing Product Adoption in the Building & Construction Industry to Significantly Drive Market Growth

In the building & construction industry, aluminium powder is being widely used in lightweight bricks, slurry preparation, Autoclave Aerated Concrete (AAC), and in the manufacturing of paints and coatings. Autoclaved Aerated Concrete or AAC is a building material that has high efficiency in heat insulation, excellent fire resistance, and superior load-bearing capacity. AAC offers lightweight construction solutions with superior thermal & sound insulation, higher compressive strength, and excellent resistance to water penetration. These properties of the AAC manufactured by using aluminum powder have resulted in increased demand from the rapidly growing building & construction sector. This factor is anticipated to amplify market growth during the forecast period.

The construction sector has witnessed a significant recovery after the setback encountered due to the COVID-19 pandemic. This sector is anticipated to be a major contributor to reviving the economies of several countries across the globe.

For example, to generate high-paying jobs in the U.S., the Biden administration came up with Bipartisan Infrastructure Law. Under this initiative, the government has kept a target to spend around USD 1.2 trillion on funding infrastructure projects which include a range of civil construction projects across the country. This initiative also provides expanded funding, which will allow states to retrofit thousands of low-income homes to make them healthier and more energy-efficient while lowering utility bills.

RESTRAINING FACTORS

Environmental Constraints to Hinder the Market Growth

Several countries across the world have had to adopt new rules and regulations in response to increasing environment-related problems and rising public demand for government action to reduce the levels of pollution. The cost of goods has increased due to the high energy-consuming processing required to manufacture materials to meet the high standards.

In the past decade, consumers have become increasingly aware and concerned about the environment. Governments of many countries are establishing methodologies in collaboration with the private sector and international organizations to monitor the adverse effect of ores, such as bauxite. To meet the stringent standards, companies utilizing aluminium and bauxite need to restrict and regulate their use, which is likely to restrain the U.S. market growth.

SEGMENTATION

By Type Analysis

Based on type, the market is divided into flake aluminum powder and atomized aluminium powder.

The atomized aluminum powder segment is anticipated to dominate the U.S. aluminium powder market share. The rapidly growing industrial chemical companies in the country and rising technological innovations in the product manufacturing processes to make it more reliable are some of the prominent factors boosting the adoption of atomized aluminium powder.

The rising government initiatives for environmental protection might propel the growth of the flake aluminum powder segment. According to the EPA, in the U.S., the government aims to increase the national recycling rate by 50% by 2030. Thus, aluminum is 100% recyclable and takes the same physical properties as the original aluminum after recycling. These factors are contributing to the rapid growth of this product across the country.

By Application Analysis

Based on application, the market is divided into automotive, industrial, building & construction, electronics & semiconductors, aerospace & defense, and others.

The industrial segment accounted for the largest share of the market. The growing consumer demand for additive manufacturing, refractory & ceramic production, brazing, thermal spray, chemical catalysts, and oilfield drilling will boost product adoption in the U.S.

The electronics & semiconductor segment accounted for a significant market share. Aluminum powder is an ideal material for sintered bodies due to its excellent thermal conductivity, high rate of electrical insulation, and thermal expansion properties similar to those of various semiconductors.

Growing demand for lightweight materials, government mandates for emission reduction & fuel economy, and rise in disposable income are the factors boosting the demand for passenger cars. This, in turn, will drive product usage in the automotive industry.

KEY INDUSTRY PLAYERS

As far as the competitive landscape is concerned, the U.S. aluminium powder market is moderately consolidated with a significant number of regional and global players operating across the world. Some of these companies include AMPAL Inc., NovaCentrix, and VALIMET, Inc., among many others. These firms are competing in terms of the application and price of the product. They are placing great stress on social marketing, product innovation, collaborations, and acquisitions. Most corporations have integrated their raw material production and sales activities to maintain product quality and expand their regional presence.

LIST OF KEY COMPANIES PROFILED:

• AMPAL Inc. (U.S.)


• VALIMET, Inc. (U.S.)


• NovaCentrix (U.S.)


• MMP Industries Limited (India)


• SCHLENK SE (Germany)


• Toyal America, Inc. (U.S.)


• Kymera International (U.S.)

KEY INDUSTRY DEVELOPMENTS: 

• April 2022 - Kymera International, a specialty materials company, acquired AmeriTi Manufacturing Company in Detroit, Michigan, U.S. The acquisition strengthened the company's presence in the aerospace, medical, defense, and industrial markets.

REPORT COVERAGE

The report has conducted a detailed study of various prominent factors, such as leading applications, key companies, and top products. It also gives information on prominent market trends and focuses on significant advancements in the industry. The report has included different variables as well that have played a vital role in boosting the market's growth in recent years. It also studies the market dynamics, historical data, opportunities, and revenue growth estimates at the country level.

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