The high purity alumina market is projected to foresee commendable growth between 2021-2027 owing to expanding electronic manufacturing sector, lower operational costs of the material, increasing adoption of hybrid & electric vehicles, and high product usage in LEDs. High purity alumina or HPA is a high-purity form of Al2O3 or aluminum oxide. It is a high-margin, high-value and is an extremely demanded product since it is one of the critical ingredients needed to produce synthetic sapphire.
High purity alumina is largely used for its exceptional properties as well as characteristics like high brightness, scratch and corrosion resistance as well as its ability to bear extreme temperatures. It is also utilized as a base material in the sapphire substrates manufacture for applications like LEDs, in certain battery as well as power storage elements, medical and aeronautical applications, special space, artificial gemstones, aeronautical, in manufacture of artificial sapphire glass such as TV screens and mobile phones.
The major providers of high purity alumina in the market are also successfully testing HPA-based coatings, further strengthening their position in the industry landscape. Citing an instance, in January 2021, Altech Chemicals Ltd, Australian innovator and one of the leading suppliers of high purity alumina, reportedly announced that the firm has started battery performance testing of graphite particles that has been coated with HPA through a proprietary coating technology.
This process applies an even layer of HPA around 2 nm thick on graphite particles which are further utilized as anodes in batteries. The firm states that the uniformity in the process is essential, since this would aid in enhancing the performance of lithium-ion batteries.
The high purity alumina market is bifurcated into numerous segments in terms of technology, product, application, and regional landscape. With respect to technology, the high purity alumina market is classified into HCL leaching and hydrolysis. Among these, the hydrolysis segment will witness significant growth up to 2027 owing to lower operational costs.
In terms of application, the overall high purity alumina market is segmented into sapphire, phosphor, semiconductor, LEDs, and others. The others segment comprises of lithium-ion batteries and is anticipated to witness a respectable CAGR of more than 14% over the forecast timeframe. This estimated growth is ascribed to the increasing adoption of hybrid & electric vehicles.
From a regional frame of reference, high purity alumina market in Europe will witness around 13% CAGR through 2027. Growth in the electronic manufacturing sector in the Eastern European countries will have a significant impact on the regional growth. Extensive use of the material in manufacturing and electronics will drive the market in the coming years.