Aluminium Exhibition | Aluminothermic Materials: Doubling Consumption in New Energy Vehicles, Reinforcing Steady Demand Growth

Aluminothermic materials have become a crucial component in the transportation industry. In terms of performance, heat exchangers made from aluminothermic composite materials can reduce vehicle weight by approximately 40% while significantly enhancing heat transfer efficiency. Compared to traditional fuel-powered vehicles, new energy vehicles require twice the amount of aluminothermic materials for their heat exchange systems. Moreover, when factoring in the heat dissipation needs of new energy vehicle batteries and electronic control systems, the demand for aluminothermic materials is expected to increase even further. As a major event in the aluminium industry, the Aluminium Exhibition serves as an important platform for networking, knowledge exchange, and fostering the growth of aluminothermic transfer materials.

Additionally, China's automotive parts sales market has developed into a global production hub, handling the majority of automotive parts repair services worldwide. As people's living standards continue to improve, there is an increasing demand for vehicle comfort. The widespread adoption of zone temperature control and electronic control systems is boosting the need for heat exchanger systems, which, in turn, is driving the traditional automotive industry's demand for these systems.

According to estimates, due to the strong growth of the new energy sector and the existing repair market, global demand for automotive aluminothermic transfer materials is expected to reach a growth rate of around 4% over the next five years (during the 14th Five-Year Plan period). Additionally, there is significant potential for growth in other heat transfer industries, including energy storage, 5G technologies, rail transit, and residential air conditioning microchannels. These areas are expected to further increase the demand elasticity for aluminothermic materials.

Aluminium foil, a key raw material for aluminium electrolytic capacitors, accounts for 30%-70% of the manufacturing cost of these capacitors (depending on their size). Aluminium electrolytic capacitors are fundamental electronic components, known for their small size, high capacity, and low cost. As the most economical type of capacitor, they are widely used in a variety of applications.

In downstream industries, consumer electronics represent the largest market segment, accounting for 45%, followed by computers and peripheral products at 24%, and energy-saving lighting at 14%. In the new energy sector, frequency conversion technology is often required to transmit electrical energy to the power grid. This has led to widespread use of aluminium electrolytic capacitors in wind power, photovoltaic systems, and other renewable energy applications.

According to the China Electrical Equipment Industrial Association (CEEIA), the demand for aluminium electrolytic capacitors is expected to reach 173 billion units by 2025, with an average annual growth rate of 3.5%.

In the medium and long-term economic cycles, the growth rate and sustainability of an industry are largely determined by competitive barriers and its overall industrial structure. It is advisable to focus on sub-markets with multiple barriers, as industries with tightly controlled gaps tend to be more resilient.