Global Aluminum Foil Market 2017-2021
About Aluminum Foil
Aluminum foils are part of flat-rolled products (FRP) used across various end-user segments such as pharma, consumer packaging and industrial. Aluminum foils are manufactured using cold rolling process and considered to be one of the finest value addition in the Aluminum value chain. The global aluminum foil market is likely to grow at a fast pace due to the rapid demand from the pharmaceutical and food and beverage industries. Aluminum foils are resistant to microorganisms and can be easily sterilized. They make it easier to print and label the products. They are used in many technical applications, such as improving the insulation performance for firewalls and fire doors, due to their reflective surface, incombustibility, durability, and corrosion resistance. They also have good welding and adhesive properties.
Technavio’s analysts forecast the global aluminum foil market to grow at a CAGR of 5.22% during the period 2017-2021.
Covered in this report
The report covers the present scenario and the growth prospects of the global aluminum foil market for 2017-2021. To calculate the market size, the report considers the retail selling price as the average selling price of the product.
The market is divided into the following segments based on geography:
Technavio Announces the Publication of its Research Report – Global Aluminum Foil Market 2017-2021
Technavio recognizes the following companies as the key players in the global aluminum foil market: Alcoa, Ess Dee Aluminum, Gulf Aluminium Rolling Mill, Hindalco Novelis, Norsk Hydro, and RUSAL.
Other Prominent Vendors in the market are: Assan Alüminyum Sanayi ve Ticaret, Laminazione Sottile, Iberfoil, Symetal, and CHINALCO HENAN LUOYANG ALUMINUM FOIL.
Commenting on the report, an analyst from Technavio’s team said: “The latest trend gaining momentum in the market is Increasing product innovations. Major vendors are competing with new product innovations to meet the global demand for aluminum foils. Norsk Hydro has introduced HyLectra, which is aimed at environment-friendly battery production combined with ideal efficiency. It is predominantly used in battery production as cathode current collectors. Aluminum foils offer high surface area resulting in amenability of the battery. Therefore, innovation in technology and products by aluminum foil vendors is expected to affect the global aluminum foil market positively.”
According to the report, one of the major drivers for this market is Disadvantages of plastic packaging. Developments in technology and innovative product designs are promoting the need for new packaging materials for pharmaceutical products. There has been a shift from using glass containers and vials to plastic bottles and containers made from low-density polyethylene and high-density polyethylene. Though these packaging materials are convenient to use, with fewer breakage chances, and cheaper, they are not impervious to leaching of chemicals from lacquers, paper, or film face stocks, adhesives, topcoats, label inks, or even the container itself, which could contaminate the medicine inside. In addition to this, safe and cost-effective disposal of plastics used for packaging is another sustainability concern faced by the global pharmaceuticals packaging industry. On the other hand, aluminum packaging is safer to use and easily recyclable.
Further, the report states that one of the major factors hindering the growth of this market is Increasing closures of aluminum smelting units. Aluminum smelting and casting manufacturers mainly depend on energy resources such as natural gas and electricity. Due to the energy-intensive processing, electricity expenses account for approximately 60% of the total cost of aluminum casting production. Due to power shortages and soaring power prices, the manufacturing units are shutting down. For instance, in February 2017, Rio Tinto Boyne Island aluminum smelter has announced cutting the production in the manufacturing unit, as the price of electricity hiked to $12,642 per megawatt per hour. Therefore, downstream products, such as foils, sheet, coils, and plates, are expected to have a lower volume. This is expected to affect the global aluminum foil market negatively.
Alcoa, Ess Dee Aluminum, Gulf Aluminium Rolling Mill, Hindalco Novelis, Norsk Hydro, RUSAL, Assan Alüminyum Sanayi ve Ticaret, Laminazione Sottile, Iberfoil, Symetal, and CHINALCO HENAN LUOYANG ALUMINUM FOIL.