Newly updated: The world of aluminium extrusions to 2035, understanding the next decade of demand, economics & opportunities

Aluminium extrusion is entering a new phase of structural growth, shaped by electrification, renewable energy, digital infrastructure, lightweighting and more sustainable material solutions. Global aluminium extrusion usage was estimated at 34.27 million tonnes in 2024 and is projected to reach 44.22 million tonnes by 2035, representing a CAGR of 2.29 per cent. But the bigger question is where incremental demand will come from, which applications will drive it and where the greatest opportunities will emerge.

Over the next decade, major extrusion demand is expected from EVs and lightweight mobility, solar and renewable energy infrastructure, electrical networks, data centres, AI infrastructure, industrial automation and advanced manufacturing. Meanwhile, China remains the largest source of global volume, while India and Southeast Asia are emerging as important growth markets. In mature Western markets, the opportunity is increasingly shifting towards higher-value, specialised and decarbonised extrusion applications.

Against this backdrop, AL Circle has updated its report, "The World of Aluminium Extrusions to 2035", to reflect current market shifts, the outlook for the next decade and the key developments shaping the global aluminium extrusion industry.

Demand: A structural change

Building and construction will remain the largest end-use sector, but transportation, electrical and electronics, industrial applications and other high-growth segments are expected to gain share. EV adoption is increasing aluminium extrusion usage in battery trays, structural components and other lightweight applications. Renewable energy infrastructure, particularly solar PV mounting systems, wind power, grid infrastructure, battery energy storage systems and green hydrogen projects, is creating additional demand. Data centres, AI infrastructure and advanced telecommunications are also emerging as important demand pools, supporting server racks, cooling systems, heat sinks and power distribution applications.

The demand outlook in numbers

Building and construction demand is projected to increase from 19.31 million tonnes in 2025 to 21.83 million tonnes by 2035. However, its CAGR of 1.24 per cent is below the global market CAGR of 2.29 per cent, indicating a gradual shift in extrusion demand.

Transportation is forecast to grow at a 3.58 per cent CAGR, while electrical and electronics is expected to record the highest growth among the major end-use sectors at 4.26 per cent. Industrial applications are projected to grow at 2.76 per cent CAGR, pointing to a broader shift towards lightweighting, electrification, thermal management, automation and higher-value industrial uses.

Regional demand: China leads, Asia accelerates

China accounted for approximately 64.88 per cent of global aluminium extrusion consumption in 2025 and is expected to contribute 54.7 per cent of incremental global volume through 2035. Beyond China, Rest of Asia-Pacific is projected to record the fastest regional growth, with a CAGR of 4.32 per cent between 2025 and 2035. Europe and North America are increasingly focused on high-value, complex and decarbonised extrusion applications, while the Middle East, Africa and South America are expected to benefit from urbanisation and infrastructure development.

AL Circle’s market intelligence for the global industry

AL Circle is launching the updated report, “The World of Aluminium Extrusions to 2035”, providing a forward-looking view of global extrusion demand, economics and strategic growth opportunities.

The report covers:

• Demand forecast: Global extrusion demand, regional growth dynamics and industries driving incremental consumption through 2035.
• Price benchmarking: Aluminium and extrusion economics, including pricing, conversion costs, billet economics, energy, carbon costs and trade measures.
• Plant economics: Capacity utilisation, raw-material costs, energy, operating costs, customer demand and offtake requirements before major capacity investment.
• Strategic growth sectors: EVs, renewable energy, electrical infrastructure, data centres, industrial automation and advanced manufacturing.

Why this market intelligence matters now

1. For extrusion producers, the report helps assess which products, applications and markets should receive the next investment. 
2. For OEMs and industrial buyers, it provides insight into supply, costs and strategically important extrusion capabilities.
3.  For billet producers, it helps assess future primary and secondary billet requirements. 
4. For equipment manufacturers, it highlights where new extrusion capacity will be required. 
5. For investors, it helps distinguish structural opportunities from markets where additional capacity could create utilisation and margin risks.

A report for the next phase of extrusion growth

Growth will not be evenly distributed across regions, applications or product categories. Electrification, renewable energy, digital infrastructure, lightweight transportation and sustainable construction are expected to create new demand, while geopolitical risks, trade policies, energy costs, environmental regulations and excess capacity will continue to influence industry economics.