Transparent Aluminum Market Expected to Reach $27.8 Million by 2031

According to a new report published by Allied Market Research, titled, "Transparent aluminum Market by Type and Application: Global Opportunity Analysis and Industry Forecast, 2021–2030," The global transparent aluminum market size was valued at $5.2 million in 2020, and is projected to reach $27.8 million by 2030, growing at a CAGR of 10.2% from 2022 to 2031.

Transparent aluminum is also known as aluminum oxynitride and polycrystalline ceramics. It is obtained from combining three elements named as aluminum, oxygen, and nitrogen. The manufacturing process involves pressurizing aluminum oxynitride powder to 15,000 pounds per inch in rubber molds submerged in hydraulic fluid. The obtained material, which is molded and opaque, is heated at 2000 degree Celsius and kept at this temperature for two days. Once it is cooled, aluminum or ALON emerges as transparent, which is then ground and polished for extra clarity and strength. Furthermore, transparent aluminum possesses various physical, chemical, and mechanical properties due to which it is commonly used in building & construction, medical devices, and other end-use industries. 

Moreover, key factors such as, growing population across the world, increase in the disposable income, growing trend for automated sensors, and modern infrastructure themes creating the need for houses are expected to foster the growth of transparent aluminum market. For instance, according to report published by AUTODESK in year December 2018, the construction industry needs to build an average of 13,000 buildings every day through 2050. Transparent aluminum is three times harder than steel and fused silica due to which it has been majorly used in the building and construction industry for making armored windows, infrared absorptive domes, optical glasses, and others. Thus, the increase in demand for transparent aluminum is expected to boost the market growth during the forecast period. 

However, high manufacturing cost and requirement for technical expertise, are expected to hinder the market expansion. In addition, the availability of specific substitutes for transparent aluminum such as ceramics, fused silica, and windshield glasses restrain the market growth. Furthermore, the high price of transparent aluminum is expected to act as a major challenging factor for several key manufacturers during the forecast period. Conversely, increase in the demand for transparent aluminum in emerging economies is expected to create lucrative opportunities for future market growth. 

The rise in global population, change in lifestyles, increase in the disposable income among people, and well-established industrial sectors in emerging economies have boosted the need for transparent aluminum. Transparent aluminum is resistant to corrosion and damages that occur from radiation and oxidation. This is projected to increase the demand for transparent aluminum in the personal care industry, which is anticipated to offer new opportunities in the global transparent aluminum market.

According to an article published by India Brand Equity Foundation in December 2022, the Defense Ministry has set a target of 70% self-reliance in weaponry by 2027, creating huge prospects for industry players where transparent aluminum plays significant role in making various defense equipment. It is mainly used to make bulletproof glasses, armored windows, infrared absorptive domes, and optical glasses. This factor is creating most lucrative opportunities for global transparent aluminum market in the defense industry

The transparent aluminum market is segmented on the basis of material, end-use industry, and region. By material, it is classified into aluminum, oxygen, and nitrogen. On the basis of end-use industry, it is divided into building & construction, healthcare, defense, and others. Region-wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA.

By material, the market is segmented into aluminum, oxygen, and nitrogen. The oxygen segment dominated the global transparent aluminum market and accounted for 52% share in 2021. Pure oxygen is used as reactive gases for production of oxynitride thin films. It has major role in the production of transparent aluminum or aluminum oxynitride and it is typically used as feedstock. Utilization of aluminum oxynitride is used for making infrared windows. Infrared windows are significant component in the atmospheric greenhouse effect which balances incoming solar radiation and outgoing IR to space due to which infrared windows are widely preferred in electric panels, residential and commercial sectors. This factor is creating the demand for oxygens in the coming years.

By end-use industry, the market is divided into building and construction, healthcare, defense, and others. The defense segment dominated the global market, in terms of revenue in 2021 with 57% share in the global market.

According to an article published by Economics Times in February 2023, India’s defense has allotted $72 billion budget in 2023. Transparent aluminum play significant role in making defense equipment as it is widely used in making armored windows, optical glasses, infrared  and bullet proof glasses, and other equipment. This factor is anticipated  to drive the market; thus, offering most remunerative opportunities in the coming years.

Region wise, the transparent aluminum market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. The Europe transparent aluminum market accounted for a major market share in 2021 and is projected to grow at the highest CAGR during the forecast period. Europe, architectural surfaces, roofing systems, and window frames are constructed with transparent aluminum as part of the green building idea. In addition, in Europe region transparent aluminum is widely used in a range of building applications, including wiring systems, due to its high strength, longevity, and lower danger of breakage, as well as its low cost and lightweight. 

Moreover, the market for transparent aluminum in Europe is anticipated to expand during the forecast period. Germany, the U.K., the Netherlands, France, and Italy are anticipated to contribute significantly to the European transparent aluminum market. Furthermore, government high investment in army manufacturing and medical equipment industry is projected to escalate the transparent aluminum market where it has been extensively used in making optical bulletproof glasses, armored windows, infrared domes, and others. 

Key players operating in the global transparent aluminum market includes, AMERICAN ELEMENTS, CeramTec GmbH, Ceranova, CoorsTek Inc., INNOVACERA, KYOCERA Fineceramics Europe GmbH, Murata Manufacturing Co., Ltd., POLYCRYSTAL design GmbH, Saint Gobain, and Surmet Corporation.                                                                                               

Furthermore, growing population across the world, increase in the disposable income, growing trend for automated sensors, and modern infrastructure themes creating the need for houses are expected to foster the growth of transparent aluminum market. Transparent aluminum is used for making armored windows, infrared absorptive domes, optical glasses, and others. 

 Furthermore, North America has witnessed significant adoption of transparent aluminum due to presence major key company such as Surmet Corporation which manufactures and distributes transparent aluminum across the globe. However, the outbreak of the COVID-19 pandemic had moderate impacts on the global transparent aluminum market.”

COVID-19 analysis

COVID-19 had a negative impact on the transparent aluminum market due to the imposition of strict lockdown on supply chain activities and the decrease in the potential sales of the building and construction industry has hampered the market growth during COVID-19.  However, there is a decrease in the number of COVID-19 cases in the fourth quarter of 2020 owing to which there is an increase in the building and construction activity and the medical devices manufacturing industry was working at full capacity due to which there is an increase in the demand for raw materials including aluminum, oxygen, and nitrogen. This factor is expected to boost the potential sales of transparent aluminum post-COVID-19 scenario. 

Key findings of the study:

• By material, the oxygen segment is estimated to display the highest growth rate, in terms of revenue, registering a CAGR of 10.4% from 2022 to 2031.
• By end use industry, the defense end use industry segment is estimated to display the highest growth rate, in terms of revenue, registering a CAGR of 10.5% from 2022 to 2031.
• By region, North America garnered the highest share in 2021, in terms of revenue, growing at a CAGR of 11.5%.