Aluminium Industry Dynamics in Asia (Ex - China)

Contributed by: Anonymous
July 01, 2021

The market size of aluminium industry in Asia Pacific stood at USD 103.25 Billion in 2019. It is the major contributor of growth of the global market owing to the presence of significant consuming countries including China, India, Japan etc. The growing construction and automotive sectors in these countries and region are driving this demand for the metal. China itself contributes more than 50% of the total global production and consumption of aluminium and hence industry dynamics of aluminium is greatly impacted by this one country. If we try to understand the situation within Asia, other than China, then we have specifically look at the following areas –

PRODUCTION

The production of the aluminium base lies in the east while the market lies in the west. The developed country has to depend on the developing countries for the raw material of their business. The aluminium market in Asia is ruled by India, Japan, North Korea, Singapore, Taiwan, Indonesia, Vietnam and Malaysia and Eastern Siberia. Though, along with the base aluminium production, Asia is now producing semi-finished aluminium products at large.

Here we will look at some top aluminium producing countries in Asia to show the dynamics of the Aluminium industries in this continent.

INDIA:

India stands 5th amongst the aluminium producing countries in the world. it produces more than 2100 thousand tons per annum. Here are some of the top Indian companies that are considered as the best in the world industrial map also.

  • Hindalco is the leading aluminium company in India. It supplies 39% of the total aluminium requirement in the Indian market
  • NALCO (National Aluminium Company Limited) is a Government of India undertaking company that has a production capacity of up to 460000 tons.
  • Bharat Aluminium Company Limited owned by Vedanta group is one of the leading companies in the aluminium industry of India & the world.

JAPAN:

Though Japan produces only a small amount of primary aluminium still it imports more than 3 million tonnes of alloyed and non-alloyed aluminium in the world aluminium industry. Japan exports the largest part of its aluminium production to the packaging industry followed by transportation. It exports about 300000 tonnes, and the rest is used domestically. Japanese aluminium producers UACJ Corp and YKK AP are producing aluminium extrusions.

RUSSIA:

Russia has emerged as the second biggest aluminium producer in the world, after China recently and their exponential growth has been driven by their favourable policies and government support to this industry. Rusal is the top company in Russia driving this growth and in terms of aluminium production they are globally in top 5 position. The company is engaged in the production and sale of primary aluminium and other related products. The company is involved in mining and refining of bauxite into alumina. The company is currently one of the world’s largest aluminium companies by production, and it has 10 aluminium smelters, of which nine are in Russia and one in Sweden.

REST OF ASIA:

Press Metal in Malaysia is the leading aluminium extruder that supplies aluminium to the phone company, solar sector. It is the first Malaysian company that exports aluminium to Europe, Australia & New Zealand. Indonesia Asahan Aluminium is the producer of total aluminium production in Indonesia. South Korea & Taiwan play a significant role in the aluminium industry.

SUMMARY:

In a word, Asia remains in the spotlight of the aluminium industry dynamic for the factors such as rapid industrialization, rapid urban expansion, increasing demand for flat-rolled aluminium products etc. production of the aluminium industry is growing at a speed. It has possibilities for further growth if supported by industry-friendly policies of the government.

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