Aluminum Slug Market

Aluminum Slug Market By Shape (Rectangular, Flat, Round, Others), By Material (PCR (Post-Consumer Recycled Aluminum), PIR (Post-Industrial Recycled Aluminum), Green Virgin Aluminum, Other Materials), By Application (Tubes, Aerosols, Technical Parts, Others), By End-User (Automotive, Construction, Food and Beverages, Personal Care, Pharmaceutical, Paint And Coating, Electrical, Others). Global Industry Analysis, Size, Share, Growth, Trends, Regional Analysis, and Forecast 2023-2031.

Chemical & Material | May 2023 | Report ID: EMR0075 | Pages: 217

The global aluminum slug market in 2023 was valued at USD 4.2 billion and is predicted to reach roughly USD 7.1 billion in 2031, rising at a CAGR of 5.3% between 2023 and 2031. 

Aluminum slugs are cylindrical pieces of aluminum that are either extruded or cut from larger blocks of the metal. They serve as crucial raw materials in the manufacturing of various aluminum products such as cans, tubes, and containers. These slugs are typically made from high-purity aluminum alloys like 1050, 1070, and 3003, renowned for their excellent formability, corrosion resistance, and thermal conductivity. Through processes like deep drawing, impact extrusion, or stamping, aluminum slugs can undergo further transformation to create a wide range of aluminum products. Some examples include aluminum aerosol cans, beverage cans, and tubes.

 

Market Growth Factors:

Below are the market growth factors.

  • Rising demand for aluminum cans and tubes.
  • Increasing use of aluminum in automotive and construction industries.

Aluminum cans, which are lightweight, easy to transport, and recyclable, are in high demand as packaged beverage consumption rises. Aluminum slugs are an important raw material used in the manufacture of aluminum cans. Aluminum tubes are commonly used in cosmetics, medicines, and personal care product packaging. The growing demand for these items is propelling the aluminum slug market forward. Aluminum is being used more and more in the automobile sector to create lightweight, fuel-efficient vehicles. Heat exchangers, radiators, and condensers are just a few of the automobile parts that are made with aluminum slugs. A significant user of aluminum goods, particularly aluminum slugs, is the building industry. The need for aluminum slugs is being driven by the rising usage of aluminum in building projects like roofing, siding, and window frames Aluminum is a highly recyclable material, and the recycling of aluminum slugs and other aluminum products is becoming increasingly significant due to environmental concerns. The increased emphasis on sustainability is driving up demand for aluminum slugs.

 

Aluminum slug Market Report Scope & Segmentation

Report Attribute

Details

Estimated Market Value (2023)

4.2 Bn

Projected Market Value (2031)

7.1 Bn

Base Year

2023

Forecast Years

2023 - 2031

Scope of the Report

Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment- By Type, By Product, By Application & By Region

Segments Covered

By Shape, By Material, By End-user & By Region

Forecast Units

Value (USD Billion), and Volume (Units)

Quantitative Units

Revenue in USD million/billion and CAGR from 2023 to 2031

Regions Covered

North America, Europe, Asia Pacific, Latin America, and Middle East & Africa, and Rest of World

Countries Covered

U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Argentina, GCC Countries, and South Africa, among others

Report Coverage

Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PEST analysis, value chain analysis, regulatory landscape, market attractiveness analysis by segments and region, company market share analysis, and COVID-19 impact analysis.

Delivery Format

Delivered as an attached PDF and Excel through email, according to the purchase option.

 

Market Drivers:

  • Rising in demand for Aluminum Slug in Personal Care Product Packaging and Food & Beverage

The market expansion for aluminum slugs is anticipated to be aided by the rising demand for personal care products. Consumer items utilised for personal hygiene, personal grooming, and personal beautification are referred to as personal care products. Due to the fact that aluminum slugs are used to make products like flexible tubes, aerosol cans, collapsible tubes, aluminum bottles, and aluminum covers that are frequently used for the packaging of personal care products, the demand for the aluminum slug market is rising. For instance, Zippia Inc., a US-based career advisor that offers work possibilities, estimates that the beauty and personal care industry in the United States would be valued around $84 billion in August 2022. Further, the global cosmetic industry is expected to reach approximately $463.5 billion by 2027.

The food and beverage industry has a significant demand for aluminum slug. Aluminum slugs are used in the production of cans for perishable goods like groceries, vegetables, etc. The demand for canned, ready-to-eat food is anticipated to increase over the next few years, driving growth in the food and beverage industry. In Beverages, the cans are widely used for packaging of cold drinks. The demand for consumption of beverages is expected to grow exponentially.

  • Recycling Initiatives

The increasing awareness of environmental issues and the implementation of government policies promoting recycling have a significant impact on the demand for recycled aluminum. As a sustainable choice, aluminum slugs can be produced from recycled aluminum. With growing emphasis on recycling and sustainability, there is a potential for an upsurge in the demand for aluminum slugs. The environmental consciousness and focus on sustainability are driving factors that may contribute to the increased need for aluminum slugs in the market.

 

Market Restraints:

The cost and accessibility of aluminum as a raw material directly affect aluminum slug manufacturing. The profitability and viability of the market for aluminum slugs can be impacted by changes in aluminum prices. Volatile pricing for raw materials can be difficult for producers and restrict their capacity to offer rates that are affordable. Like other metal sectors, the market for aluminum slugs is governed by environmental laws that lower pollution and support sustainable practises. Manufacturers may have difficulties as a result of having to comply with strict rules, especially those that do not place a high priority on sustainability. Significant energy inputs are needed, especially during the aluminum melting and shaping operations, to produce aluminum slugs. Rising energy costs and concerns about carbon emissions associated with energy-intensive manufacturing can be a restraint for the aluminum slug market. Tariffs and other protectionist trade policies may have an effect on the world market for aluminum slugs. Trade disputes and limitations on the import and export of aluminum goods have the potential to disrupt supply chains, drive up costs, and restrict firms' access to the market. In some places or applications where demand has peaked, the aluminum slug market may be saturated. The growth potential may be limited by this saturation, which will also enhance manufacturer competitiveness. Additionally, market consolidation through mergers and acquisitions may lower entry barriers for new competitors and pose difficulties for smaller producers.

 

Market Opportunities:

  • Increasing demand for sustainable materials
  • Growing demand for aluminum packaging

The focus on sustainability creates a demand for eco-friendly materials such as aluminum, which is largely recyclable. This trend could boost the aluminum sphere market as it offers a sustainable alternative to other materials that may not be as environmentally friendly. Emerging markets such as Asia-Pacific, Africa and the Middle East are experiencing rapid industrialization and urbanization, driving demand for aluminum products, including aluminum screws. The aluminum slug market could benefit from this trend by expanding its presence in these regions. Demand for aluminum packaging, including aluminum cans and tubes, is increasing across a variety of industries such as food and beverage, cosmetics and pharmaceuticals.

 

Segments Analysis:

  • Shape Insights

Aluminum slugs are typically cylindrical and can range in diameter from a few millimeters to several inches. During the manufacturing process, the slugs are simple to handle and carry due to their cylindrical shape.

Uniform shape: To ensure consistency in the finished product, the slugs are normally produced to a certain size and shape. Precision extrusion or machining techniques are used to attain this consistency.

Smooth surface: An aluminum slug's surface is normally smooth and devoid of any dents, scratches, or other flaws. The final product has a neat and uniform appearance because of this smooth surface.

Weight and density: Depending on its size and composition, an aluminum slug's weight and density can change.

  • Material Insights

Aluminum slugs are ideal for situations where weight reduction is important, since they are lightweight and have a good strength-to-weight ratio. Due to its excellent corrosion resistance, particularly when anodized, aluminum is ideal for use in harsh environments or outdoor applications. Due to its excellent thermal conductivity, aluminum can quickly transfer heat from one component to another and away from one component. Aluminum slugs are ideal for heat sinks, electronic components, and other thermally sensitive applications because of this property. Slugs can be melted down and reused without losing their properties because aluminum is highly recyclable. This property makes aluminum slugs an environmentally friendly solution for manufacturers.

  • End Users Insights

In the packaging sector, beverage producers and food producers who employ aluminum cans, containers, and closures for their products are primarily the end users of aluminum slugs. These businesses require aluminum slugs of the highest caliber that are precisely the right size, shape, and surface finish. OEMs and suppliers who employ aluminum components in their products are frequently the end users of aluminum slugs in the automotive sector. These end users need aluminum slugs of the highest caliber to achieve their exacting standards for performance, weight, and strength. Manufacturers of electrical connectors, conductors, and other components are frequently the final consumers of aluminum slugs in the electrical sector. These end users require aluminum slugs of the highest caliber that satisfy their particular demands for corrosion resistance, thermal conductivity, and electrical conductivity.

 

Competitive Landscape

The major market players are focusing on innovation in Aluminum Slug development. The companies are partnering with other big players or merging with other companies to achieve their goals. Big Enterprises are acquiring small businesses and expanding their production capacity and innovation capabilities. Few recent updates from market are:

Key Market Players:

  • Alucon
  • ALUMAN S.A.
  • Aluminum Rheinfelden Semis GmbH
  • Arnest AO
  • Ball Corp.
  • Fuchuan Metal Technologies Co., Ltd.
  • Haomei Aluminum
  • Impol Aluminum Corporation
  • Jindal Aluminum Limited
  • RONDAL d. o. o.
  • Signi Aluminum
  • Talum

 

Recent Developments:

  1. In Apr 2023, Ball Corporation became the first extruded aluminum manufacturing company to supply ASI certified aluminum products to its customers.
  2. In Sep 2022, Novelis developed a new laminated alumna surface beverage can-ends for sustainable and attractive look.
  3. In July 2021, Ball Corporation and EN+ group have announced a collaboration in manufacturing ultra-low carbon aluminum aerosol cans in the slug market to reduce the environmental impact.
  4. In Jun 2021, Aluminum slug and disc producer, ALUMAN SA joins ASI as 171st Production & Transformation member as it can allow ALUMAN SA to cooperate and exchange ideas of the best practice within members.

 

Aluminum slug Market Report Segmentation

ATTRIBUTE 

DETAILS

By Shape

  • Rectangular
  •  Flat
  •  Round
  •  Others

By Material

  • PCR (Post-Consumer Recycled Aluminum)
  •  PIR (Post-Industrial Recycled Aluminum)
  •  Green Virgin Aluminum
  •  Other Materials

By Application

  • Tubes
  •  Aerosols
  •  Technical Parts
  •  Others

By Geography

  • North America (USA and Canada)
  • Europe (UK, Germany, France, Italy, Spain, Russia and Rest of Europe)
  • Asia Pacific (Japan, China, India, Australia, Southeast Asia and Rest of Asia Pacific)
  • Latin America (Brazil, Mexico, and Rest of Latin America)
  • Middle East & Africa (South Africa, GCC, and Rest of Middle East & Africa)

Customization Scope

  • Available upon request

Pricing

  • Available upon request

 

Key Benefits of the Report:

  • This study presents an analytical depiction of the Aluminum industry along with current trends and future estimations to determine the imminent investment pockets.
  • The report presents information related to market key drivers, restraints, and opportunities, along with detailed analysis of the Aluminum Slug Market share.
  • The current market is quantitatively analyzed to highlight the Aluminum Slug Market's growth scenario.
  • Porter's five forces research demonstrates the market power of suppliers and buyers.
  • The report provides a detailed Aluminum market analysis based on competitive intensity and how the competition will take shape in the coming years.

Research Methodology

Our research methodology has always been the key differentiating reason which sets us apart in comparison from the competing organizations in the industry. Our organization believes in consistency along with quality and establishing a new level with every new report we generate; our methods are acclaimed and the data/information inside the report is coveted. Our research methodology involves a combination of primary and secondary research methods. Data procurement is one of the most extensive stages in our research process. Our organization helps in assisting the clients to find the opportunities by examining the market across the globe coupled with providing economic statistics for each and every region.  The reports generated and published are based on primary & secondary research. In secondary research, we gather data for global Market through white papers, case studies, blogs, reference customers, news, articles, press releases, white papers, and research studies. We also have our paid data applications which includes hoovers, Bloomberg business week, Avention, and others.

Data Collection

Data collection is the process of gathering, measuring, and analyzing accurate and relevant data from a variety of sources to analyze market and forecast trends. Raw market data is obtained on a broad front. Data is continuously extracted and filtered to ensure only validated and authenticated sources are considered. Data is mined from a varied host of sources including secondary and primary sources.

Primary Research

After the secondary research process, we initiate the primary research phase in which we interact with companies operating within the market space. We interact with related industries to understand the factors that can drive or hamper a market. Exhaustive primary interviews are conducted. Various sources from both the supply and demand sides are interviewed to obtain qualitative and quantitative information for a report which includes suppliers, product providers, domain experts, CEOs, vice presidents, marketing & sales directors, Type & innovation directors, and related key executives from various key companies to ensure a holistic and unbiased picture of the market. 

Secondary Research

A secondary research process is conducted to identify and collect information useful for the extensive, technical, market-oriented, and comprehensive study of the market. Secondary sources include published market studies, competitive information, white papers, analyst reports, government agencies, industry and trade associations, media sources, chambers of commerce, newsletters, trade publications, magazines, Bloomberg BusinessWeek, Factiva, D&B, annual reports, company house documents, investor presentations, articles, journals, blogs, and SEC filings of companies, newspapers, and so on. We have assigned weights to these parameters and quantified their market impacts using the weighted average analysis to derive the expected market growth rate.

Top-Down Approach & Bottom-Up Approach

In the top – down approach, the Global Batteries for Solar Energy Storage Market was further divided into various segments on the basis of the percentage share of each segment. This approach helped in arriving at the market size of each segment globally. The segments market size was further broken down in the regional market size of each segment and sub-segments. The sub-segments were further broken down to country level market. The market size arrived using this approach was then crosschecked with the market size arrived by using bottom-up approach.

In the bottom-up approach, we arrived at the country market size by identifying the revenues and market shares of the key market players. The country market sizes then were added up to arrive at regional market size of the decorated apparel, which eventually added up to arrive at global market size.

This is one of the most reliable methods as the information is directly obtained from the key players in the market and is based on the primary interviews from the key opinion leaders associated with the firms considered in the research. Furthermore, the data obtained from the company sources and the primary respondents was validated through secondary sources including government publications and Bloomberg.

Market Analysis & size Estimation

Post the data mining stage, we gather our findings and analyze them, filtering out relevant insights. These are evaluated across research teams and industry experts. All this data is collected and evaluated by our analysts. The key players in the industry or markets are identified through extensive primary and secondary research. All percentage share splits, and breakdowns have been determined using secondary sources and verified through primary sources. The market size, in terms of value and volume, is determined through primary and secondary research processes, and forecasting models including the time series model, econometric model, judgmental forecasting model, the Delphi method, among Flywheel Energy Storage. Gathered information for market analysis, competitive landscape, growth trends, product development, and pricing trends is fed into the model and analyzed simultaneously.

Quality Checking & Final Review

The analysis done by the research team is further reviewed to check for the accuracy of the data provided to ensure the clients’ requirements. This approach provides essential checks and balances which facilitate the production of quality data. This Type of revision was done in two phases for the authenticity of the data and negligible errors in the report. After quality checking, the report is reviewed to look after the presentation, Type and to recheck if all the requirements of the clients were addressed.

Frequently Asked Questions

The size of the global aluminum slug market is expected to increase to USD 7.1 billion by 2031 from USD 4.2 billion in 2023.
Global aluminum slug market rising at a CAGR of 5.3% between 2023 and 2031.
Major players of global aluminum slug market are Alucon, ALUMAN S.A., Aluminum Rheinfelden Semis GmbH, Arnest AO, Ball Corp., Fuchuan Metal Technologies Co., Ltd., Haomei Aluminum, Impol Aluminum Corporation, Jindal Aluminum Limited, RONDAL d. o. o., Signi Aluminum, Talum.
The market-driving factors of the global aluminum slug market are rising in demand for Aluminum Slug in Personal Care Product Packaging and Food & Beverage and recycling initiatives.