Global High Purity Base Metals Market by End Use (Building & Construction, Transportation), by Product (Lead, Aluminum, Copper, Zinc) and Region (North America, Latin America, Europe, Asia Pacific and Middle East & Africa), Forecast To 2028

Summary of the Report

In 2019, the global high purity metals market was worth USD 323.06 million. It is projected to grow at a compound annual rate (CAGR), of 2.6% between 2020 and 2027. The market is expected to grow due to a growing demand from high purity metals in the construction, consumer goods and electronics industries. Due to trade wars, and the gap in demand-supply, the market saw a slight drop in 2019. The market's growth was also affected by the COVID-19 virus pandemic in 2020. This caused disruptions in manufacturing, transportation and the demand from end-use industries. Despite the obstacles caused by the pandemic the demand for high-purity base metals will stabilize in the near future due to the accelerating demand from the end use industries.

Due to the existence of end-use industries, the U.S. is a major market for high purity metals. The United States is a major consumer of high-purity aluminum, particularly for its defense industry which uses the metal in vehicles and ammunition. The COVID-19 pandemic has also affected the country, and is likely to affect market growth.

The supply and production of base metals has been severely affected by the pandemic, which will have a negative impact on market growth. The lockdown in Peru, a major producer, has caused major disruptions to zinc production. Chile, a major copper producer, is also affected by the situation. Codelco, Chile's largest copper miner, had to close its Chuquicamata refinery and smelter after another worker died from coronavirus.

The largest end-user of high purity base materials is transportation. It uses high purity metals in many applications. Over the forecast period, base metals demand will be boosted by an increasing demand for electronic vehicles. The copper used in electric vehicles is twice that of gasoline-powered cars. The International Copper Association estimates that electric vehicles will require more than 40 thousand charging points over the next ten years, which will consume approximately 100 kilotons copper by 2027.

End-use Insights

In 2019, the transportation segment accounted for more than 29.0% of total revenue. The automotive industry uses almost all major base metals in their purest form. The main raw material for batteries is lead, which is used extensively in the electronic, automotive, industrial and consumer goods industries.

The battery has been a major application segment for lead, and will continue to be a crucial source of refined lead. To meet increasing consumer demand, companies are recycling old batteries to make refined lead. In September 2020, Chunxing (a major producer of secondary leads) was approved by the Environmental Protection Agency in Victoria for construction of a recycling facility. It is expected that the plant will be able to recycle 50 kilotons lead-acid batteries annually and produce 28 kilogramons of refined led per year.

Over the forecast period, the electrical and electronics segment will be the fastest growing. This segment makes a lot of electrical wires because of its high electrical conductivity and ductility as well as thermal resistance. The future will see increased product demand from the end-use sector due to advanced chip designs that use high purity copper for higher chip speeds and better device performance.

Product Insights

Aluminum was the most popular product segment, with a revenue share greater than 42.0% in 2019. High-purity aluminum is used in high-tech industries that demand good electrical conductivity as well as corrosion resistance. It is used in electronics for sputtering targets, vacuum evaporation materials, thin-film applications, as well as in LED production.

High purity aluminum's unique characteristics are compelling companies to invest their time in research and development to expand the use of the product. In April 2019, Sumitomo Chemical and Tohoku University collaborated to develop novel anodes that can be used in higher-capacity Li-ion battery designs. The researchers discovered that high-purity aluminum foil could be used to control the expansion and contractions of high-capacity aluminum anodes. This would prevent their deterioration in cyclic battery reactions.

Zinc is expected to see significant growth over the forecast period. Galvanizing and making alloys are two of the most common uses for zinc. Galvanization is essential in construction and transportation to ensure durability, protection and low costs for vehicles and structures. Long-term development of steel structures is expected to increase the demand.

However, the base metal had to see a substantial decline in its price due to disruptions caused by the COVID-19 pandemic. In 2020, industries such as transportation and construction were hard hit, which in turn impacted the demand and caused zinc prices to fall.

Regional Insights

Asia Pacific was the dominant market region and held a volume share exceeding 71.0% in 2019. China is the largest consumer of base metals worldwide, accounting for the large portion of the region's market share. In the future, the region's developing economies will also contribute to the increase in demand for high-purity metals.

India's growth in the end-use industry is a positive factor for Asia's market. The Indian government's initiatives to encourage manufacturing in India are expected to increase the country's production of high-purity base metals to meet consumer demand. Hindalco Industries, for example, signed a deal with Hindustan Copper Ltd. in September 2020 to purchase and sell copper concentrates made by the PSU.

This partnership is in line with the Indian government’s clarion call to Aatmanirbhar Bharat Abhiyan. It also represents a significant step towards reducing dependence on imported copper concentrates. The pact will allow the local mining of copper concentrate to be used for the production of refined copper. Hindalco Industries uses copper in India's key industries, including railways, electronics and construction. These initiatives will drive market growth over the forecast period.

In 2019, Europe accounted for the second largest market share. Due to declining demand for base materials, particularly refined zinc, the region is expected to experience a slow growth rate during the forecast period. The COVID-19 scenario further affected the region's production and demand for base materials by negatively impacting key industries. The U.K., France, Germany and France were all hard hit, as was the U.K.'s GDP for the second quarter 2020 at -10.1%, 13.8% and 20.4%, respectively.

Market Share Insights & Key Companies

Due to the presence of well-established players in the mining and refining base metals, the market is highly competitive. Due to the virus outbreak, many companies suffered losses in 2020 and had to close their manufacturing and mining operations.

Rio Tinto, for instance, announced in July 2020 that it would close its Tiwai Point aluminum smelter in New Zealand. It will shut down the plant by August 2021. The strategic decision to close the smelter was made because it was no longer considered viable. The shutdown can be attributed to factors such as high electricity consumption and rising energy costs. Also, falling aluminum prices due COVID-19 could be blamed. In 2019, the company suffered a loss of NZ$46 millions from its smelter. The following are some of the most prominent players in high purity base metals markets worldwide:

• Aluminum Corporation of China Limited

• BHP

• Boliden Group

• Codelco

• Hindalco Industries

• KGHM Polska Mied? S.A

• Norsk Hydro ASA

• Nyrstar

• Rio Tinto

• Rusal

• Sumitomo Chemical

Up Market Research published a new report titled “High Purity Base Metals Market research report which is segmented by End Use (Building & Construction, Transportation), by Product (Lead, Aluminum, Copper, Zinc), By Players/Companies Aluminum Corporation of China Limited, BHP, Sumitomo Chemical, Rusal, Nyrstar, Norsk Hydro ASA, Rio Tinto, Codelco, KGHM Polska Mied? SA, Hindalco Industries, Boliden Group”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.

Report Scope

The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.

Global High Purity Base Metals Market Report Segments:

The market is segmented by End Use (Building & Construction, Transportation), by Product (Lead, Aluminum, Copper, Zinc).

High Purity Base Metals Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.

Key Benefits for Industry Participants & Stakeholders:

• Industry drivers, restraints, and opportunities covered in the study
• Neutral perspective on the market performance
• Recent industry trends and developments
• Competitive landscape & strategies of key players
• Potential & niche segments and regions exhibiting promising growth covered
• Historical, current, and projected market size, in terms of value
• In-depth analysis of the High Purity Base Metals Market

Overview of the regional outlook of the High Purity Base Metals Market:

Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.

Highlights of The High Purity Base Metals Market Report:

1. The market structure and projections for the coming years.
2. Drivers, restraints, opportunities, and current trends of High Purity Base Metals Market.
3. Historical data and forecast.
4. Estimations for the forecast period 2028.
5. Developments and trends in the market.

                1. Building & Construction

                2. Transportation

                1. Lead

                2. Aluminum

                3. Copper

                4. Zinc

8. Market scenario by region, sub-region, and country.
9. Market share of the market players, company profiles, product specifications, SWOT analysis, and competitive landscape.
10. Analysis regarding upstream raw materials, downstream demand, and current market dynamics.
11. Government Policies, Macro & Micro economic factors are also included in the report.

We have studied the High Purity Base Metals Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.

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Reasons to Purchase the High Purity Base Metals Market Report:

• The report includes a plethora of information such as market dynamics scenario and opportunities during the forecast period
• Segments and sub-segments include quantitative, qualitative, value (USD Million,) and volume (Units Million) data.
• Regional, sub-regional, and country level data includes the demand and supply forces along with their influence on the market.
• The competitive landscape comprises share of key players, new developments, and strategies in the last three years.
• Comprehensive companies offering products, relevant financial information, recent developments, SWOT analysis, and strategies by these players.