Technavio landscapes global aluminium foils market from 2016 to 2020

Leading market research firm Technavio has come up with a list of six major aluminium foil manufacturers who are likely to dominate the world market from 2016 through 2020.

Presently, there are six vendors including Alcoa, Ess Dee Aluminium, GARMCO, Hindalco Industries, Norsk Hydro, and RUSAL, who are ruling the aluminium foils market. However, with new players entering the industry, the market shares of these top vendors are shrinking and the new players are sharing a slice each of the entire pie.

Leading analyst at Technavio, Chandrakumar Badala Jaganathan says, “To stay competitive in the market, aluminium foil producers are adapting new technologies to reduce carbon emission during the production process. For instance, Norsk Hydro uses catalytic exhaust air treatment technology that is applicable for all foil annealing furnaces. This helped in reducing odour in process exhaust, carbon emission, and energy cost.”

Moreover, owing to a steady increase in the cost of electricity, the main cost factor in aluminium smelting, vendors are making a fast shift from coal to alternative sources of energy. It has been found that in order to cope with the escalating cost and become more sustainable aluminium industry players are relying more on an optimal mix of power sources which includes renewable energy sources. This trend will grow over the long term.

RUSAL, for example, has planned a project for the construction of a gas-powered electrical generator at Ural Foil (foil mill) to produce its own heat and power for the pant. Other companies too are looking at alternative energy sources. With the demand for aluminium foils increasing exponentially all over the world, foil manufacturers will leave no stone unturned to improve their operational efficiencies to stay profitable in the long run.