Aluminum Cladding Market size was USD 57 billion in 2024 and is estimated to reach USD 135.6 billion by the end of 2037, expanding at a CAGR of 6.9% during the forecast period, i.e., 2025-2037. In 2025, the industry size of aluminum cladding is evaluated at USD 60.9 billion.
Aluminum cladding is rapidly gaining traction in the building and construction sector due to its cost-effectiveness, eco-friendly nature, durability, visual appeal, and low maintenance. The rising investments in both new infrastructure development projects and upgrades are augmenting the demand for aluminum cladding products. For instance, the Aluminum Association estimates that the rapid urban shift and increasing high-density population is set to augment 154 million LBs of aluminum usage in the construction sector between 2020 to 2025. The residential usage of aluminum grew 34% to 2.4 billion LB by 2024-end, wherein aluminum sheet and plate accounted for 1.17 billion LB usage.
The Research Nester study estimates that aluminum has a bright future in the building and construction field and around every USD 0.1 million in residential and non-residential spending drives 126 to 183 pounds of aluminum usage. Modern designs and low maintenance costs are set to uplift the aluminum metal roof usage to 23 to 25% by the end of 2025. This is expected to increase the demand for aluminum cladding products in the coming years.
Growth Drivers
Challenges
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Base Year |
2024 |
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Forecast Year |
2025-2037 |
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CAGR |
6.9% |
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Base Year Market Size (2024) |
USD 57 billion |
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Forecast Year Market Size (2037) |
USD 135.6 billion |
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Regional Scope |
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Product Type (Aluminum Composite Panels, Solid Aluminum Panels, Honeycomb Panels)
Aluminum composite panels segment is projected to account for aluminum cladding market share of more than 65% by the end of 2037, owing to its high usage in architectural claddings, facades, and interior designing for ceiling panels, partitions, and decorative signage. Outdoor advertising one of the oldest and most effective ways of marketing, significantly contributes to the sales of aluminum composite panels. These panels integrated with digital technologies are used to display ads on billboards, hoardings, and advanced posters.
Research Nester's study reveals that out-of-home advertising methods are 38% to 68% attractive, while digital billboards are 46% to 84% effective. In 2021, more than 350,000 billboards were installed around the U.S.’s busiest highways, streets, and rural roads. These statistics underscore that the rise in outdoor/out-of-home advertising is set to positively influence the sales of aluminum composite panels.
Sheet Type (Non-fire-rated ACP Sheet, Fire-rated Grade)
In aluminum cladding market, non-fire-rated ACP sheet segment is expected to hold revenue share of over 57.5% by the end of 2037. The low cost of non-fire-rated ACP sheets compared to fire-rated variants is increasing their use in budget-conscious construction projects. The ongoing advancements in manufacturing and material technologies are improving the performance of non-fire-rated ACP sheets. Advanced coatings and surface treatments are enhancing their resistance to UV degradation, corrosion, and other environmental factors. Thus, advanced non-fire-rated ACP sheets are finding high applications in commercial and residential buildings to enhance their aesthetics and functionalities.
Our in-depth analysis of the global aluminum cladding market includes the following segments:
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Sheet Type |
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Price Range |
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Category |
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Application |
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End use |
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Asia Pacific Market Forecast
Asia Pacific in aluminum cladding market is anticipated to dominate over 36.9% revenue share by 2037, owing to rapid urban and industrial activities augmenting the sales of aluminum cladding products. The increasing investments in infrastructure development and upgrade projects are generating lucrative opportunities for aluminum cladding product manufacturers. India and China are estimated to offer long-term returns to aluminum cladding manufacturers, whereas the sales of aluminum cladding products are expected to increase at a healthy pace in Japan and South Korea.
In India, swift urbanization in the country necessitating investments in infrastructure development projects is generating high-earning opportunities for aluminum cladding producers. The India Brand Equity Foundation (IBEF) revealed that Infrastructure Investment Trusts (InvITs) and Real Estate Investment Trusts (REITs) have invested around US$ 15.60 billion in the past 4 years until March 2024.
China is a leading producer of aluminum across the world and holds around 60% of the global share. This factor makes China a dominating market for aluminum cladding, which can potentially influence global sales. For instance, as per Research Nester analysis, in November 2024, China revealed that it may cancel export tax rebates for copper and aluminum products from December 1. This move can tighten the global aluminum cladding market, leading to a high domestic presence of these metals. Furthermore, this underscores that the domestic market is expected to expand significantly.
North America Market Statistics
The North America aluminum cladding market is expected to increase at the fastest pace during the forecast period. The ongoing infrastructure development projects, green building regulations, sustainability trends, and technological advancements in construction materials are increasing the sales of aluminum cladding products. Both, the U.S. and Canada are off lucrative opportunities for aluminum cladding manufacturers.
In the U.S., the increasing focus on sustainability and energy efficiency is driving the use of aluminum cladding products in the construction sector. The ability to mitigate energy consumption in green buildings and high insulation properties are fueling the use of aluminum cladding in the construction sector. For instance, in August 2023, the U.S. Department of Energy announced an investment of around USD 46 million to accelerate energy efficiency and mitigate carbon emissions in residential and commercial buildings. Such investments are augmenting the sales of aluminum cladding products.
Canada is investing heavily in infrastructure development projects, which are fueling the sales of modern construction materials including, aluminum cladding products for panels and sheets. The increasing number of commercial buildings, healthcare facilities, and high-rise apartments is significantly contributing to the overall aluminum cladding market growth. For instance, the Government of Canada in its 2022 budget invested more than USD 33 billion in Infrastructure Program. Furthermore, the Government of Newfoundland and Labrador, Canada, revealed that it has invested around USD 1.1 billion for infrastructure development in 2023. To earn high profits, aluminum cladding manufacturers can focus on expanding their product offerings across Canada.
Key players in the aluminum cladding market are increasing their revenue streams and gaining a competitive edge by adopting a combination of organic and inorganic strategies such as technological innovations, strategic partnerships, regional expansion, mergers & acquisitions, and a strong emphasis on sustainability trends. For instance, in November 2024, DuPont announced its net sales of USD 3.2 billion raised by 4% and the organic sales surpassed 3% compared to previous years.
Industry giants are introducing a wide range of aluminum cladding products tailored to different aluminum cladding market segments such as residential, commercial, and, industrial buildings, meeting consumer's specific demands is boosting their revenue streams. Furthermore, by forming strategic collaborations they are introducing innovative aluminum cladding products, attracting a wider consumer base.
Some of the key players include:
Author Credits: Shweta Patidar
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