High purity alumina market was expected at USD 1.3 billion in 2020 and is estimated to grow at a current CAGR of 21.2% to reach USD 5.9 billion by 2025.
High Purity Alumina Market overview:
High purity alumina (HPA) is considered as a treated premium non-metallurgical form of aluminum segmented by its purity level. It has characteristics like chemical stability, high melting point, high electrical resistance & insulation, and excellent thermal conductivity that makes it a perfect choice for engineering applications.
Key factors driving the market are the rise in the call for LED lightings. On the other hand, high expenses of HPA is estimated to hamper the expansion of the market on a short-term basis. In addition to that, HPA’s applications in scratch-resistant glass for smartphones & watches and its increasing applications in making optical lens is likely to offer ample opportunities for the expansion of the market throughout the foreseen period.
What is High Purity Alumina?
High purity alumina (HPA) is a processed surcharge non-metallurgical type of aluminum segmented based on the purity level. It has features like chemical stability, high melting point, good electrical resistance & insulation, and excellent heat conductivity, making it a perfect choice for engineering applications. Alumina is generally called as aluminum oxide (Al2O3) and is an essential raw material for the production of metallic aluminum. It is broadly employed in businesses working in the making of semiconductors, electrolytic capacitor foils, light-emitting diode (LED) and LCDs, electronic storage systems, and photovoltaic cells. The presentation and cost of high-purity aluminum oxide changes depending upon its level of purity.
High Purity Alumina Market segmentation:
On the basis of type, the market is separated into 6N, 5N, 4N. The 4N segment of HPA is alumina with a purity rate of 99.99 percent. The 4N sector has the lowest price compares to its counterparts. The 5N HPA has a purity rate of 99.999 percent while the 6N HPA has 99.9999 percent. These types find applications in LEDs, semiconductor substrates, optical lenses, aerospace, biomedical, among others.
6N HPA assists in developing very high-quality sapphire wafers that are required by high-end applications like medical, automotive, aerospace and defence. 4N HPA finds its essential use in LED bulbs and digital displays. Dominating companies in this segment invest more in R&D to offer brand customization as per the needs of the application areas. Government support, dominating to escalated adoption of LEDs together with lower costs as compared to other types of HPA, is expected to increase the call for 4N HPA segment in the future.
On the basis of technology, the market is separated into Hydrolysis acid leaching, Hydrochloric acid leaching. Hydrolysis technology is the most adopted method employed by critical makers for the production of HPA, owing to its benefits as it assists in recovering the acid that can be reused, decreasing the operating prices. Apart from this, the employment of hydrolysis technology allows tailoring the HPA services for end-users. These factors are estimated to escalate the adoption of hydrolysis technology in the forecast period.
On the basis of application, the market is separated into Light-emitting diode, Sapphire, Semiconductors, Biomedical devices, Others. The increasing demands in consumer electronics and smart devices have bolstered the profitability in the LED application segment. It is also predicted to witness prominent growth rate in the coming years, followed by semiconductors and biomedical devices.
The key trend being showcased in the global high purity alumina market is the rising investments by market players in the latest industries for product manufacturing. Apart from that, investments are being focused upon the growth of existing production units and the modernization and enhancement of aging facilities. This rise in investments for improving the production of alumina is estimated to lead to the higher availability of the product to meet the rising call in the market. Call for HPA is mainly driven by rising adoption of LED products, lithium-ion battery separators, sapphire glass for smartphones, and smartwatches. HPA is employed as a phosphor material in plasma displays and as a critical component in protective coatings.
The high purity alumina market is majorly driven by its rise in applications in semiconductors, LED lighting, lithium-ion batteries, plasma display screen, phosphor, hybrid cars, optical lenses, sodium lamps, and smartphone sapphire glass. In addition to that, rise in the call for high purity alumina from LED lighting business, due to strict government rules on production, import, and sale of incandescent lights is estimated to boost the expansion of the LED lighting business; hence, fuelling the development of this market. Moreover, HPA is employed in the manufacturing of lithium-ion batteries.
Hence, the rise in the call for lithium-ion batteries owing to a surge in the call for electric cars worldwide in order to curb carbon emission is estimated to escalate the call for high purity alumina. The shift from conventional incandescent light bulbs to energy-efficient and sustainable LED lighting systems has assisted in intensifying the overall appeal for LEDs. The increasing use of LED lighting by both developed and rising countries is estimated to drive the call for LED application sector in the global high purity alumina market. Recent developments in the automotive business, increasing LED lighting and artificial sapphire demand, the fast growth of cities, new potential employments of aluminium as an alternative to copper in the power business and several other trends will boost the global high purity alumina business expansion.
The critical constraint seen in the high purity alumina market is the changes in the costs of the raw materials employed in the production of high purity alumina. Owing to the changing prices of the raw materials, companies engaged in the production of aluminum oxide are showcasing alteration in profit margins and also finding it hard to formulate their growth plans.
Increasing applicability of LEDs in the lighting market together with developed utility of high purity alumina in, smart watches, smartphones and tablets, will generate huge opportunities for medium to small scale makers. Increase in construction and manufacturing activities in these countries is leading to the call for products such as LEDs and semiconductors that are primarily made of alumina, hence providing ample expansion opportunities to the market players.
Factors like high prices of production are estimated to pose a challenge to the expansion of the global high purity alumina market in future
High Purity Alumina Market geographical analysis:
Marked Segmentation based on the region:
a. Middle East
On the basis of revenue, North America high purity alumina market is estimated to showcase an expansion rate of above 14% during the foreseen period. The rising call from the end-use businesses is propelling the HPA makers to escalate their production capacities. Europe high purity alumina market is likely to develop at a CAGR of 15% on the basis of revenue over the forecast period. The expansion is attributable to the increasing production of lithium-ion battery separators and LEDs in crucial countries like Germany, UK, Russia, and France. Key players in Europe, like Polar Sapphire Ltd., are adding working on latest technologies to improve the product quality and escalate their production capacities.
The Asia Pacific high purity alumina market rose as the most significant regional market accounting for a revenue share of about 67% in 2018, and this trend is estimated to continue in the predicted period. Key players in the Asia Pacific market are situated in Australia, China, and Japan. These players are involved in capacity growth to meet the increasing call from LEDs, lithium-ion battery, and smartphones in developing countries like India, Japan, and South Korea.
The Middle East and Africa and Latin America are other promising regions for the high purity alumina market that are presumed to witness steady growth in the next few years.
High Purity Alumina Market key players:
Major companies plying their trade in the High Purity Alumina Market include Orbite Technologies Inc., Sumitomo Chemical Co., Ltd., Baikowski SAS, Alcoa Inc., Nippon Light Metal Holdings Company, Ltd., Altech Chemicals Ltd., Zibo Honghe Chemical Co. Ltd., Sasol, and Xuan Cheng Jing Rui New Material Co. Ltd., and Hebei Pengda Advanced Materials Technology Co., Ltd. Other players operating in this market include Norsk Hydro ASA, Rio Tinto Alcan Inc., Polar Sapphire Ltd., Shandong Keheng Crystal Material Technologies Co., Ltd., and CHALCO Shandong Co., Ltd. These major important players are adopting various strategies like R&D and business growth to stay competitive in the global high purity alumina market.
Recent Developments and Trends
Altech Chemicals Ltd is constructing a 4,500 tonnes per annum industry in Johor, Malaysia, where it will manufacture 99.99% (4N) high purity alumina (HPA) from feedstock at the 100%-owned kaolin deposit at Meckering, Western Australia.
Orbite Alumnae stated that building activities at its high-purity alumina (HPA) industry in Cap-Chat, Quebec, Canada, have almost been completed — all critical equipment is in order.
1.1 Market Definition
1.2 Study Deliverables
1.3 Base Currency, Base Year and Forecast Periods
1.4 General Study Assumptions
2. Research Methodology
2.2 Research Phases
2.2.1 Secondary Research
2.2.2 Primary Research
2.2.3 Econometric Modelling
2.2.4 Expert Validation
2.3 Analysis Design
2.4 Study Timeline
3.1 Executive Summary
3.2 Key Inferences
4. Drivers, Restraints, Opportunities, and Challenges Analysis (DROC)
4.1 Market Drivers
4.2 Market Restraints
4.3 Key Challenges
4.4 Current Opportunities in the Market
5. Market Segmentation
5.1 By Type
5.1.2 6N High Purity Alumina
5.1.3 5N High Purity Alumina
5.1.4 4N High Purity Alumina
5.1.5 Y-o-Y Growth Analysis
5.1.6 Market Attractiveness Analysis
5.1.7 Market Share Analysis
5.2 By Material Type
5.2.3 Hydro Chloric Acid
5.2.4 Y-o-Y Growth Analysis
5.2.5 Market Attractiveness Analysis
5.2.6 Market Share Analysis
5.3 By Application
5.3.2 Light Emmiting Diode
5.3.5 Bio-Medical Devices
5.3.7 Y-o-Y Growth Analysis
5.3.8 Market Attractiveness Analysis
5.3.9 Market Share Analysis
6. Geographical Analysis
6.1.1 Regional Trends
6.1.2 Impact Analysis
6.1.3 Y-o-Y Growth Analysis
126.96.36.199 By Geographical Area
188.8.131.52 By Type
184.108.40.206 By Technology
220.127.116.11 By Application
6.1.4 Market Attractiveness Analysis
18.104.22.168 By Geographical Area
22.214.171.124 By Type
126.96.36.199 By Tecnology
188.8.131.52 By Application
6.1.5 Market Share Analysis
184.108.40.206 By Geographical Area
220.127.116.11 By Type
18.104.22.168 By Technology
22.214.171.124 By Application
6.2 North America
6.1.2 United States
6.3.6 South Korea
6.5 Latin America
6.4.5 Rest of Latin America
6.6 Middle East & Africa
7. Strategic Analysis
7.1 PESTLE analysis
7.2 Porter’s Five analysis
7.2.1 Bargaining Power of Suppliers
7.2.2 Bargaining Power of Consumers
7.2.3 Threat of New Entrants
7.2.4 Threat of Substitute Products and Services
7.2.5 Competitive Rivalry within the Industry
8. Market Leader Analysis
8.1 Orbite Technologies
8.1.2 Product Analysis
8.1.3 Financial analysis
8.1.4 Recent Developments
8.1.5 SWOT analysis
8.1.6 Analyst View
8.2 Nippon Light Metal Holdings Company
8.3 Sumitomo Chemical
8.4 Zibo Honghe Chemical
8.6 Baikowski SAS
8.8 Shandog Keheng Crystal Material Technologies
8.9 Xuan Cheng Jing Rui New Materials
8.10 Altech Chemicals
9. Competitive Landscape
9.1 Market share analysis
9.2 Merger and Acquisition Analysis
9.3 Agreements, collaborations and Joint Ventures
9.4 New Product Launches
10. Market Outlook and Investment Opportunities
a) List of Tables
b) List of Figures