High Purity Alumina (HPA) is a high-value, high-end and highly demanded product as it is the key ingredient required for the production of synthetic sapphire. The HPA serves as a base material for the fabrication of sapphire substrates used majorly in the electronics industry, including in applications such as LED lights, smartphone components, semiconductor wafers, and many others. The high purity alumina market has gained incredible traction as there is no substitute for HPA in the manufacture of synthetic sapphire. HPA exhibits growing application driven by its outstanding properties such as corrosion resistance, crack resistance, high brightness and its capacity to resist extreme temperatures. In addition, HPA is used as a major component in protective coatings and as a phosphor material in plasma displays.
Rising applications of HPA in semiconductors, lithium-ion batteries, LED, plasma screen display, photovoltaic cells, smartphone sapphire glass, etc. are the primary factor driving the growth of the global high purity alumina market. Similarly, a rise in demand for better display in the electronics industry along with the commercialization of LED that uses HPA are other factors that have also contributed to the market growth. However, the higher cost of HPA production and threat from substitutes in some of the end-use segments may limit the market from growing.
On the other hand, high-end characteristics of HPA such as chemical stability, high melting point, high electrical insulation & resistance, and effective thermal conductivity are likely to boost the market growth in the coming years. Moreover, the adoption of HPA in the medical industry, as the product provides a ready-to-use solution for bio-ceramics in dental and orthopedic treatments and REO-doped YAG crystals for medical imaging is largely expected to generate numerous growth prospects for the market in the forecast period.
The global high purity alumina market is segmented based on product, technology, application, and geography. On the basis of product, the segmentation includes 4N, 5N, and 6N. Among which, 4N product type dominated the segment with major market share owing to its high adoption in lithium-ion batteries and electric vehicles in emerging economies such as China and South Korea. Also in the U.S., the Li-ion battery manufacturing company Gigafactory has already surged the production for HPA market.
The technology segment is bifurcated into hydrolysis and hydrochloric acid leaching. The hydrolysis segment is expected to hold more than two-thirds of the market share, as the hydrolysis of aluminum alkoxide is the most adopted method used by most of the manufacturers to produce high purity alumina. Based on the application segment, the categorization can be given as semiconductors, LEDâs, sapphire, phosphor, and other applications. Among all the applications, LEDâs held for the maximum market share in the segment, driven by the increasing preference of consumers towards lightning solutions owing to their longer life and environment-friendly nature as compared to traditional lighting solutions. Furthermore, the China government is offering beneficial backings for LED production to manufacturers to thrive in the LED industry in the country.
Geographical coverage has also been offered for each of the major regions including North America, Asia-Pacific, Europe, South America and Rest of the World. Among which, Asia-Pacific generated the largest revenue owing to the growth in the construction industry in the region, principally in infrastructure projects such as highways and roadways in India and China. Similarly, in terms of growth, the Asia-Pacific region is likely to attain the fastest CAGR over the forecast period 2017 â 2025.
The report presents a detailed analysis of major players operating in the high purity alumina market. Few of them include Sumitomo Chemical Co., Ltd, Orbite Technologies Inc., Alcoa Inc., Baikowski SAS, Altech Chemicals Ltd, Zibo Honghe Chemical Co. Ltd., Polar Saffire Ltd., Nippon Light Metal Holdings Company Ltd., Dalian Hiland Photoelectric Material Co., Ltd., and Xuan Cheng Jing Rui New Material Co. Ltd
The market for high purity alumina appears fragmented and fiercely competitive due to many large and small players churning the competition in the market. Through the strategic partnership, acquisition, expansion, product & technology launch, and collaboration, these players try to gain a competitive edge.
For instance, in 2018, Altech Chemicals Ltd, announced proactive Investors on the company's project development, on the High Purity Alumina (HPA) applications and markets. It is the only project in the world today that's at the funding stage. The company is mining âkaolinâ as a feedstock in Australia and will be processing in into HPA at a facility which is contracted to be built in Malaysia under a turnkey agreement. Financing and countersigning has been secured, and a 10-year off-take agreement is already in place with Mitsubishi.
Likewise, in the year 2017, Orbite Technologies Inc. announced its update on the Company's progress on its high purity alumina (HPA) production. The company targeted to achieve the goal of producing 1 tonne per day of HPA.
High Purity Alumina Market Segmentation
By Product Type
- Hydrochloric Acid Leaching
- Other Applications
- North America
- Rest of Europe
- Rest of APAC
- South America
- Rest of South America
- Rest of the World