Aluminum Wire for Aerospace Market 2024 – Market Size & Segments Analysis, Industry Trends, Manufacturers Analysis, Opportunities and Forecast 2030

The global market value of aluminum wire for the aerospace market was valued at USD 5.6 billion, and a CAGR of 6.34% is expected during the forecast period. Increasing demand for air freight is driving growth in the region significantly. Aluminum oxide is a very strong compound that provides a protective layer against any sort of environmental threat.

The strong electric conductivity of aluminum is the reason behind the use of aluminum wire in the aerospace market. Surging demand to recycle aluminum, growing adoption of cutting-edge technology, and rising use of aluminum wire in space exploration are the driving factors in the market. The property of aluminum alloy to prevent rusting is the reason behind its popularity all over the world.

Impact of Covid-19

The aerospace industry, like many others, faced disruption due to COVID-19. While the demand for aluminum wire has fluctuated, factors like supply chain disruption and reduced production have likely impacted the market. However, when air travel resumed and demand picked up, the demand for aluminum wire in the aerospace market increased. Increasing demand for commercial and military aircraft is driving growth in the market significantly. Aluminum wire possessing light-weight properties is being used in the aerospace market significantly. With the growing interest in space exploration, there is a demand for light-weight materials like aluminum wire for spacecraft construction. Aluminum wire reduces air pressure and avoids shock, and it is used in various types of aircraft.

Growth Drivers

Increasing demand to recycle and reuse aluminum is the main cause behind the growth in the market. The use of aluminum in space exploration is driving growth in the market. The formation of an aluminum oxide layer prevents the substance from rusting. Increasing environmental regulations and sustainability concerns are driving growth in the market. The adoption and trend of light-weight materials like aluminum are the main reasons behind the adoption of aluminum. Due to its lower cost and lighter weight, aluminum is mainly used as a substitute for copper.

In aircraft wiring harnesses, where weight savings are critical, aluminum wire is used significantly. For the construction of spacecraft and satellite components, there is a huge demand for light-weight aluminum.  Advancements in aerospace technologies, such as electric propulsion systems and onboard electronics, require high-quality aluminum wire for optimal performance. To improve fuel efficiency and reduce overall weight, it is advised to use aluminum instead of copper or any other metal. Increasing demand for aluminum in aerospace due to its light weight and its suitability for designing modern aircraft is driving the demand for aluminum.

Segmentation

By Type

·         All Aluminum Alloy Conductor

·         Aluminum Alloy Wire

·         Aluminum Conductor Steel Reinforce

By Insulation Type

·         XLPV Insulation

·         PVC Insulation

·         EPR Insulation

·         Others

By End-User

·         Electrics and Electronics

·         Aerospace

·         Automotive

·         Building and Construction

·         Packaging

·         Others

Regional Outlook

·         Asia Pacific

·         North America

·         Latin America

·         Europe

·         Middle East and Africa

Aluminum Wire for Aerospace Market by Type Segmentation

On the basis of type, aluminum wire for the aerospace market is segmented into all aluminum alloy conductors, aluminum alloy wire, and aluminum conductor steel reinforce. The aluminum alloy wire segment is the leading one and is expected to dominate the market during the forecast period. Aluminum alloy offers a favorable combination of lightweight and strength, which are essential for aircraft structure, reducing overall weight and fuel consumption. Due to its excellent corrosion resistance, it is crucial for withstanding harsh environmental conditions encountered in aerospace operations. Since aluminum alloy is easy to fabricate, it is dominating the aerospace market by far.

Aluminum Wire for Aerospace Market by End-User Segmentation

On the basis of end-user, the aluminum wire for aerospace market is segmented into electronics and electronics, aerospace, automotive, building and construction, packaging, and others. The Electronics and Electrics segment is dominating the market and is expected to dominate during the forecast period because of aluminum’s light weight, conductivity, and corrosion resistance properties, which are crucial in aerospace applications.

Since aluminum wire offers cost-effectiveness and fabrication compared to other materials like copper, these characteristics make aluminum wire ideal for various electric and electronic equipment. Increasing demand for it in aerospace vehicles is driving growth in the market. Increasing demand for aluminum wire in packaging and construction is driving growth in the market.

Regional Outlook

On the basis of the regions, the aluminum wire for the aerospace market is segmented into 5 parts: Asia Pacific, North America, Latin America, Europe, and the Middle East and Africa. North America is the leading segment and is expected to dominate the market during the forecast period, as it is home to some of the world’s largest aerospace companies, including Boeing and Lockheed Martin. The region has a robust aerospace industry with significant investment in research and development, along with manufacturing, which is driving the demand for aluminum wire.

The aerospace sector in North America is well known for its technological advancements. This includes the development of advanced aircraft systems and components that require high-quality materials like aluminum wire. The United States in particular has a substantial military and defense sector. This sector demands high-performance materials for military aircraft and defense systems, contributing to the demand for aluminum wire. North America is blessed with a well-established infrastructure and supply chains supporting the aerospace industry.

This includes access to raw materials, manufacturing capabilities, and a skilled workforce, facilitating the production and distribution of aluminum wire. Leading aerospace companies in North America have a significant influence on the market and often set industry standards. Their preference for aluminum wire solidifies the region’s leading position.

Europe is home to major aerospace companies like Airbus, as well as a robust network of suppliers and manufacturers. The region’s aerospace industry contributes to the demand for aluminum wire in various applications in aircraft construction and assembly. European countries are well-known for their advancement and innovation in aerospace engineering. Stringent regulatory standards in Europe and emphasize safety, reliability, and environmental sustainability. Aluminum wire meeting these standards finds significant use in complying with regulations and enhancing aircraft safety.

Key Players

·         Rusal

·         Kaiser Aluminum Corporation

·         Emirates Global Aluminium PJSC

·         Vedanta Ltd

·         Aluminium Corporation

·         Hindalco Industries Ltd

·         Alcoa Corporation

·         Swan Corporation

·         Southwire Company

·         MWS Wire Industries Inc

·         Constellium Group

·         Other Players