Clean Energy Shift Drives Aluminum Building Material Growth
A recent study reveals that aluminium use in construction is set to grow significantly, with a projected 9% increase in demand by 2027 compared to 2022 levels.
The study, conducted by Ducker Carlisle, and commissioned by the Aluminum Association, indicates an annual shipment increase of more than £200m (US$260m) by 2027. The Association is a North America trade body for the aluminium production, fabrication and recycling industries, and their suppliers.
The report found that increased use in commercial buildings as well as in clean energy applications like solar installations will drive much of the growth in the coming years.
Additionally, Federal infrastructure spending, including emissions reductions programmes supported by the Inflation Reduction Act, a US law investing in clean energy, should also increase aluminium’s use in building.
This growth is driven by factors such as sustainability concerns, energy efficiency and the material's design flexibility.
Why aluminium building is growing in demand
Aluminium has been a staple in construction since its first major architectural application in the Empire State Building in the 1930s, and it has always been prized for its lightweight, durable and corrosion-resistant properties. It's extensively used in windows, doors, cladding, roofing and structural elements.
Commercial applications drive aluminium building growth
According to the study, 62% of building and construction professionals surveyed (including 79% of architects) expect their use of aluminium to grow in the coming years.
The study also predicts that aluminium is the material most likely to grow in use in the coming years among a dozen building materials.
The non-residential sector is leading the charge in aluminium adoption, accounting for over 60% of the US$2.5bn pounds of aluminium used in building and construction applications in 2022.
Key growth areas include commercial windows, cladding and doors.
How clean energy shift has boosted aluminium demand
According to the study, Aluminum is playing a key role in sustainable construction as companies look to strong, durable, recyclable and health and environmentally friendly options.
Solar installations, in particular, are expected to be a key market for aluminium through 2027.
Alcoa, another major player in the aluminium industry, is well-positioned to benefit from this trend with its sustainable aluminium products.
The company's low-carbon aluminium solutions are increasingly sought after for green building projects.
Additionally, domestically produced aluminium and aluminium products are about half as carbon intensive as aluminium products made in the rest of the world.
“The exciting news for us is that aluminium building products made in the United States and Canada already have an average recycled material content of more than 60% and a low carbon footprint compared to alternative materials”, says Paul Walker, chair of the Aluminum Association’s Building & Construction committee and Business Development Manager.
Rhett Bender, Senior Engagement Manager & Construction Practice Specialist at Ducker Carlisle, adds: “We consistently heard that aluminium usage would increase over the next three years because aluminium is lightweight, durable, sustainable and corrosion resistant."
Norsk Hydro, a global leader in aluminium production, is capitalising on this trend with its innovative building solutions.
Meanwhile Hydro, a global aluminium company, is investing heavily in sustainable aluminium solutions for construction, including its Hydro CIRCAL, which is made from 75% recycled post-consumer scrap, which significantly reduces carbon emissions. Another of its products, REDUXA, is a low-carbon aluminium solution with a carbon footprint aimed at sustainable construction.
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