High-purity alumina is a cutting-edge material that is used to make sapphire substrates, which are subsequently used to make Light-Emitting Diodes (LEDs) and other application-specific products. High-purity alumina exhibits qualities including high brightness levels, corrosion resistance, and heat tolerance. Since the previous two decades, demand for LED lighting has increased, driving up the price of high-purity alumina.
The market for high-purity alumina was worth USD 3.8 billion, and by 2030, it will be worth USD 15.2 billion, growing at a 21.6% CAGR during the forecast period.
Growing government initiatives and rising LED demand in emerging markets are fostering industry expansion. There are several industrial and application uses for high-purity alumina. They ascribe qualities that are more valued by user industries, such as high heat resistance, high electrical strength, and mechanical strength.
Market Dynamics
Drivers
The market growth is stimulated by the rising demand for LED lights produced using HPA. Compared to conventional light bulbs, LED lights have a longer lifespan and use less energy, increasing their use in commercial and household lighting applications.
The rising demand for renewable energy storage options and electric vehicles will support the expansion of the HPA industry. Lithium-ion batteries, commonly used in electric vehicles and renewable energy storage options, are created using HPA. In the upcoming years, the need for HPA will increase due to the growing uptake of electric vehicles and renewable energy sources.
The high-purity alumina market will increase through the quick expansion of phosphor-based products like plasma televisions, in which high-purity, high-purity alumina is used to regulate the properties of phosphorous products.
Restraints
Factors such as the high production costs and the limited supply of raw materials are factors restraining the market expansion of high-purity alumina.
Opportunity
Additionally, the market for high-purity alumina will rise across North America and Europe as a result of the rapidly expanding demand for high-resolution television and smartphones. Rising LED applications in the lighting sector and the enhanced use of high-purity alumina in smartwatches, smartphones, and tablets will create profitable prospects for medium to small-scale businesses, assisting in future growth.
Market Segmentation
By Type
In 2022, the 4N product segment led the entire market with the highest revenue share of more than 40.0% due to its usage in LEDs. Lithium-ion batteries also employ it as a battery separator. During the projected period, the market will be driven by growth in the lighting and EV industries. In 2022, the 5N product segment had the second-highest revenue share.
By Application
In 2022, the LED segment was the biggest market, with a revenue share of nearly 49.65%. Due to increasing demand from the electronics and automotive industries, the semiconductor segment had the second-highest revenue share in 2022. Due to their high electrical conductivity, semiconductors are mostly employed in high-tech industrial sectors like the Internet of Things (IoT), the manufacture of smartphones, and the creation of motherboard chips. In the upcoming years, increasing EV demand will boost the demand for lithium-ion batteries.
Regional Analysis
In 2022, Asia Pacific held the largest market share of more than 71.00%. The majority of end-user businesses are located in nations like China, Japan, India, and Australia. Japan’s highly tech-driven industrial base contributes to a strong annual demand for HPA. These nations are also major hubs for the lithium battery and LED sectors, both of which continuously need a sizable quantity of 4N HPA. The governments of these nations support this environmentally beneficial choice and educate the public about its advantages. The usage of high purity alumina, which is used primarily in a variety of application verticals, encourages not only environmentally beneficial choices but also ensures cost effectiveness, making it affordable for the region’s end consumers. One of the top producers of HPA is China.
Key Players
Sumitomo Chemical Co., Ltd., Sasol Limited
Baikowski SAS
Altech Chemicals Ltd.
Nippon Light Metal Holdings Company, Ltd.
Almatis, Inc.
Polar Sapphire Ltd.
Hebei Pengda Advanced Materials Technology Company
Coorstek Inc.
Orbite Technologies
Honghe Chemical
Sasol ltd
Xuancheng jingrui new material co.
The market for high-purity alumina was worth USD 3.8 billion, and by 2030, it will be worth USD 15.2 billion, growing at a 21.6% CAGR during the forecast period. High-purity alumina (HPA) market size growth is driven by extensive product utilization in a variety of applications, including electronics and LEDS, among others. Additionally, growing product demand in developing nations will open up attractive growth prospects for market participants.
Related Reports:
Coronary Stents Market Report – The global coronary stents market will witness a robust CAGR of 7.82%, valued at $8.82 billion in 2022, and expected to appreciate and reach $16.14 billion by 2030, confirms Strategic Market Research.
