Market Status and Development Prospect of Global Secondary Aluminum Industry

in scrap •  2 years ago 

With the continuous advancement of the global low-carbonization process, the production capacity of electrolytic aluminum and primary aluminum is about to reach the ceiling, and the secondary aluminum industry is gradually ushering in a golden period of development.

Aluminum Smelting Output Growth Rate Declines

According to IAI data, the output of the global aluminum smelting industry has shown an upward trend in recent years. In 2020, the global output of alumina reaches 133.775 million tons, the output of electrolytic aluminum reaches 65.267 million tons, and the output of secondary aluminum reaches 34.71 million tons. The global high-purity aluminum output is about 270,000 tons in 2020, and the global aluminum smelting industry's output is about 234 million tons. In 2021, the global output of electrolytic aluminum reaches 67.243 million tons, and the output of alumina reaches 138.077 million tons. Although it still maintains a growth trend, the growth rate has been below 5% since 2018, and the problem of overcapacity in electrolytic aluminum has gradually become prominent.

Aluminum Recycling Efficiency Increased

The efficiency of aluminum recycling directly determines the level of secondary aluminum output. According to the latest calculation results of the aluminum material flow model released by the International Aluminum Association in 2021, the total amount of scrap aluminum recycled in the world in 2019 is about 33.28 million tons, of which the amount of scrap aluminum recycled after consumption (old scrap aluminum) reached a record 19.97 million tons, accounting for nearly 60% of the total aluminum scrap input.

There are three main sources of post-consumer aluminum scrap: packaging, vehicles, and construction. Among them, in 2019, the global waste of aluminum from the packaging field was 5.34 million tons, and the old aluminum scrap from the transportation field was 6.3 million tons (including 4.42 million tons of castings, 990,000 tons of aluminum rolled products, and 890,000 tons of aluminum extrusions). ; 3.22 million tons of old scrap aluminum from the construction field (including 2.49 million tons of extrusion parts, 670,000 tons of rolled materials, and 60,000 tons of castings), 3.09 million tons of old scrap aluminum from other fields (of which 1.66 million tons of rolled materials tons, 1.24 million tons of extruded parts, and 1.01 million tons of castings); the recycling volume of aluminum cables is 1.2 million tons.

The Output of Secondary Aluminum Is Increasing Year by Year

According to data from the International Aluminum Association, from 2010 to 2021, the global output of recycled aluminum increased year by year, with an average annual compound growth rate of more than 5%. In 2020, the global output of recycled aluminum reaches 34.71 million tons, a year-on-year increase of 5.2%. According to preliminary calculations, the global output of secondary aluminum in 2021 is approximately 35.83 million tons, which is a further increase from 2020.

To sum up, since the 21st century, the problem of overcapacity in global aluminum smelting has begun to emerge, and concepts such as green environmental protection and renewable resource utilization have gradually emerged. The secondary aluminum industry has entered a golden period of development, and its output has increased year by year.

Luoyang HTGP is a professional manufacturer of scrap aluminum smelting equipment in China. Over the past 12 years, we have provided scrap aluminum smelting equipment and aluminum ingot casting equipment with reliable quality, safe operation, and environmental friendliness to nearly a thousand customers around the world. If you have any questions about scrap aluminum smelting and aluminum ingot casting, please feel free to contact us. We will do our best to solve your problem.

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