Aluminum Matrix Composites Market - Forecast(2023 - 2028)

Aluminum Matrix Composites Market Overview

The Aluminum Matrix Composites market size is estimated to reach US$280.5 million by 2027 and is forecasted to grow at a CAGR of 4.3% during the forecast period 2022-2027. Aluminum matrix composites are the class of lightweight high-performance aluminum-centric material systems that are made by liquid state or solid-state process. The composite materials have rich mechanical properties such as high strength, resistivity to corrosion and lightweight which is driving the market demand for aluminum matrix composites market. Flourishing applications of aluminum matrix composites in the brake system, gas turbine engines, high-speed machinery and construction material are influencing aluminum matrix composites industry growth. Factors such as the increase in aerospace production, growing investments of governments in bridge construction and bolstering the growth of the automotive sector have provided growth opportunities to the aluminum matrix composites industry. However, the growing usage of polymer matrix composites in the transportation sector is posing a challenge to the market growth of aluminum matrix composites thereby negatively impacting the aluminum matrix composites market size. The lockdown caused by COVID-19 reduced the demand for aluminum matrix composites in the transportation sector as there was a shutdown of plants and factories, which negatively impacted the aluminum matrix composites industry outlook.

Aluminum Matrix Composites Market Report Coverage

The “Aluminum Matrix Composites Market Report – Forecast (2022-2027)” by IndustryARC, covers an in-depth analysis of the following segments in the Aluminum Matrix Composites market.

Key Takeaways

• Asia-Pacific dominates the Aluminum Matrix Composites industry, owning to the rapidly growing transportation and building & construction sector which has significantly influenced the demand for Aluminum matrix composites in the region.
• Fuelling demand for aluminum-centric material systems on account of their rich mechanical properties and lighter weight than steel has positively impacted the aluminum matrix composites industry outlook.
• The availability of substitutes such as polymer matrix composites will negatively affect the demand for Aluminum Matrix Composites in certain transportation sectors such as aerospace which can reduce the aluminum matrix composites market size.

Aluminum Matrix Composites Market Segment Analysis – by Method

The liquid state process held the largest share in the Aluminum Matrix Composites market share in 2021 and is anticipated to grow at a CAGR of 4.5% during the forecast period of 2022-2027. The liquid state process incorporates rich mechanical properties in aluminum matrix composites, making these composites materials have high applicability in high speed machinery. The liquid state process in comparison with the solid-state process is cost-effective and has high demand in the automotive and electrical & electronics sectors for manufacturing pistons & valves and electronic packaging. The rapid growth witnessed by the transportation and electrical & electronics sector on account of growing demand for new automobiles and an increase in consumption of consumer electronics has accelerated the market demand for aluminum matrix composites. Thus, the growing market demand for aluminum matrix composites has increased the usage of the liquid state process for manufacturing aluminum matrix composites, thereby positively impacting the segment growth during the forecast period.

Aluminum Matrix Composites Market Segment Analysis – by End-Use Industry

The transportation sector held the largest share in the Aluminum Matrix Composites market share in 2021 and is anticipated to grow at a CAGR of 4.7% during the forecast period 2022-2027. Composite materials such as aluminum matrix composites have rich mechanical strength and anti-corrosive properties in comparison to steel. The demand for aluminum matrix composites in the transportation sector is influenced by their growing application in pistons, valves, brakes and turbine engine components. Automotive production has shown tremendous progression owing to rapid urbanization, flourishing demand for fuel-efficient vehicles and growing investment in the automotive sector. According to the International Organization of Motor Vehicles Manufacturer, in 2021, global automotive production stood at 80.1 million units, which showed a 3% increase in comparison with the 2020 production level. With the increase, the automotive production, the demand for aluminum matrix composites for manufacturing pistons, valves and brake systems has also increased, thereby positively impacting the market growth in the transportation sector during the forecast period.

Aluminum Matrix Composites Market Segment Analysis – by Geography

Asia-Pacific held the largest share in the Aluminum Matrix Composites market share in 2021 up to 41%. The flourishing application of aluminum matrix composites for automotive components and construction material is influencing its market growth in the region. The transportation sector especially the automotive has grown rapidly in the Asia-Pacific countries namely China and India, whereas Japan has shown tremendous growth in the building & construction sector. According to the International Organization of Motor Vehicles Manufacturers, in 2021, Asia-Pacific held a 50% share of global automobile production volume, with China producing 26 million units and India 4.3 million units. Also, according to Japan’s Ministry of Land, Infrastructure, Transport and Tourism, in April 2022, construction orders in Japan increased by 30.5% in comparison with 2021 same month. The bolstering growth in the transportation and building & construction sector in such major countries has accelerated the demand for aluminum matrix composites in the Asia-Pacific region, resulting in positive market growth.

Aluminum Matrix Composites Market Drivers

Increase in Aerospace Production:

Aluminum Matrix Composites being a class of high-performance aluminum-centric material systems has major applicability in high-speed machinery equipment such as turbine engines and wings of aircraft. The aerospace sector has grown rapidly over the years, owing to an increase in the production level of aircraft manufacturers to address the growing air passenger traffic. For instance, according to the annual report of Boeing, in 2021, the aircraft manufacturer delivered 340 aircraft which showed an increase of 116% in comparison to 2020 deliveries. Furthermore, according to the annual report of Airbus, in 2021, the aircraft deliveries of the company stood at 611 units, showing an 8% increase in comparison to 2020 deliveries. The growing deliveries of aircraft resulting from an increase in production have accelerated the demand for composite materials such as aluminum matrix composites for making parts of turbine engines. Thus, such an increase in demand will provide growth opportunities to the aluminum matrix composites industry.

Growing Investments of Governments in Building & Construction:

Aluminum Matrix Composites in comparison to steel have higher strength, provide good stiffness and are anti-corrosive. Such rich properties of Aluminum matrix composites make it an appropriate material to be used in the building & construction sector. The building & construction sector has grown rapidly on account of growing investments by governments in commercial and infrastructural construction. For instance, the Government of India, in April 2022, announced the construction of 64 strategic roads and 103 bridges in Indo-China, Indo-Pakistan and Indo-Myanmar areas with a total evaluation of US$393.6 million. Furthermore, according to Statistics Canada, in February 2022, Canada’s investments in commercial construction increased by 1% to US$2.20 billion. Aluminum matrix composites are used in bridge infrastructures for decks, whereas, in commercial construction they are used besides steel in structural frames. The increase in investments in commercial and infrastructural construction will accelerate the demand for aluminum matrix composites in building & construction sector, thereby positively impacting the aluminum matrix composites industry growth.

Aluminum Matrix Composites Market Challenge

Availability of Substitutes:

The emergence of cheaper substitutes is posing a challenge to the growth of the Aluminum Matrix Composites industry. Alternatives to aluminum matrix composites such as polymer matrix composites and ceramic matrix composites have created competition in the aluminum matrix composite industry. Polymer matric composite in comparison to the high-performance aluminum-centric material system has less manufacturing cost and it comes with the same mechanical strength as well as anti-corrosive properties. Furthermore, aluminum matrix composites unlike polymer matrix composites tend to lose their wetting performance at high temperatures. Owning to its less costly nature and improved performance over metal matrix composites, polymer matrix composites are gaining traction in certain sectors such as aerospace. For instance, in February 2021, Boeing started using polymer composites in its new Being 777 and 787 aircraft. The introduction of such alternatives will reduce the applicability of aluminum matrix composites in the aerospace sector, thereby negatively affecting the aluminum matrix composites market size during the forecast period.

Aluminum Matrix Composites Industry Outlook

Technology launches, acquisitions and R&D activities are key strategies adopted by players in the Aluminum Matrix Composites market. Top 10 companies in the Aluminum Matrix Composites Market are:

1. Materion Corporation
2. Ultramet
3. 3M
4. Alvant Ltd.
5. DWA Aluminum Composites
6. CPS Technologies
7. AMETEK
8. Advanced Composite Tooling
9. Gamma Alloys
10. Wrisco Industries Inc.

Recent Developments

• In March 2022, Alvant which is a leading manufacturer of Aluminum Matrix Composites signed a memorandum of understanding for a strategic 3M partnership to advance metal matrix composite technology for real-world applications.
• In January 2021, TISCIS a metal composites manufacturing company partnered with SPRINT for testing and manufacturing metals composites for spacecrafts which is funded by SPRINT.
• In July, 2019, ITT Inc. a US-based designer and manufacturer highly engineered solutions acquired Matrix Composites Inc. for US$29 million and the acquisition will expand the metal matrix composite line of ITT Inc. and broadens it’s ability to provide composites parts to aerospace sector.

Relevant Reports

Aerospace Composites Market - Forecast (2022 - 2027)

Report Code – CMR 0647

Functional Composites Market – Forecast (2022 - 2027)

Report Code – CMR 0660

Composite Materials Market – Forecast (2022 - 2027)

Report Code – CMR 0010

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