Global aluminum FRP market to grow at a CAGR of 3.64% during 2014-2019

According to a recently published market research report the global aluminum FRP market is likely to reach a CAGR of approximately 3.64% until 2019. The demand for aluminium FRP from the automobiles industry is driving the market. This is because aluminium FRP is replacing steel in automobiles and transport. It is preferred over other metals due to its light weight leading to reduced fuel consumption and reduced greenhouse gas emission.

The report emphasizes on the involvement of industries such as food and beverages, automobile and construction, and defence and aerospace. With an increase in the aluminium production especially in China, the aluminium FRP industry is expected to gain significant traction during the forecast period.

Report highlights:

- Plates and sheet accounted for more than three-fourth of the market in 2014, and the study predicts a decline in its market share by 2019. However, it is considered as an important FRP material due to its usage in the food and beverages and automobiles industries. The demand for light weight material will emerge as a key growth driver for this segment during the forecast period.

- The plates and sheets segment is predicted to cross over 22.05 million metric tons by 2019.

- The high demand for packed food and beverages calls for an increase in consumer packaging, and hence, aluminium foil use.

- The use of foil in pharmaceutical packaging is likely to witness the strongest growth in the next four years.

APAC dominates the market with many developing countries contributing to its growth. China was the largest producer of aluminium FRP in 2014, followed by Japan and Taiwan. China is focusing on balancing internal market by discouraging export of primary aluminum by imposing high duties. At the same time, it is giving VAT rebates for export of semi-fabricated and value-added products, thus, encouraging the export of high value products.