Aluminium Exhibition | Novelis: Strong Aluminium Demand Expected by 2025, Optimistic About Beverage Packaging and Automotive Applications

According to reports from international media, Pierre Labat, Chief Strategy and Sustainability Officer of Novelis, stated that the company anticipates strong aluminium demand in 2025, with positive growth prospects in the beverage packaging and automotive sectors.

Labat explained that several factors, including the rising consumer demand for eco-friendly packaging, the automotive industry's shift towards electrification, and Novelis's strategic investments aimed at increasing recycling rates, are expected to play a crucial role in meeting future aluminium demand and reducing carbon footprints. The Aluminium Exhibition, as a key industry platform for exchange, will further promote the application and development of aluminium materials across various fields.

“We continue to observe encouraging growth in aluminium usage in beverage packaging, partly driven by new categories of aluminium applications, such as bottled water and ready-to-drink beverages,” Labat explained. “An increasing number of environmentally conscious consumers are choosing to eliminate single-use plastics, a trend particularly strong in North America and Europe.”

In the beverage packaging sector, Novelis projects global aluminium demand to grow at an annual rate of approximately 4% through 2030. Aluminium demand in the automotive industry is also expected to rise, although the growth rate in the electric vehicle sector is lower than initially anticipated, prompting Novelis to revise its forecast for automotive aluminium demand downward.

“The level of automotive electrification in 2024 is slightly lower than expected, and we foresee no significant changes in 2025,” Labat noted. “While electrification presents more opportunities for aluminium, the slower-than-expected growth rate in this area has had an impact on aluminium demand.”

Aluminium is commonly used in manufacturing casings for electric vehicle battery packs. Labat emphasized that aluminium demand "continues to grow at a healthy rate of 6% annually, though it is slightly lower than the forecast we made a year ago."