Market Forecast By Type (Primary, Secondary), By Product Type (Flat Rolled, Castings, Extrusions, Forgings, Pigments & Powder, Rod & Bar), By End-users (Transport, Building & Construction, Electrical Engineering, Consumer Goods, Foil & Packaging, Machinery & Equipment, Others) And Competitive Landscape
Product Code: ETC034428 | Publication Date: Jul 2023 | Updated Date: Aug 2025 | Product Type: Report | |
Publisher: 6Wresearch | No. of Pages: 70 | No. of Figures: 35 | No. of Tables: 5 | |
According to 6Wresearch internal database and industry insights, the Indonesia Aluminum Market is projected to grow at a compound annual growth rate of 5.5% from 2025-2031, driven by rising demand for construction, packaging, and electrical applications.
Report Name | Indonesia Aluminum Market |
Forecast period | 2025-2031 |
CAGR | 5.5% |
Growing Sector | Construction, Electrical, Packaging |
The Indonesia Aluminum Market report comprehensively covers the market by end-use. The report provides an insightful analysis of the current market trends, growth opportunities, challenges, and key drivers, offering valuable resources for stakeholders to align their strategies with the evolving market dynamics.
The Indonesian aluminum market is growing tremendously. This growth is due to its use in industries like construction, transportation, electrical, and packaging. Aluminum is gaining traction due to being light in weight, corrosion resistant, and eco-friendly. Advancements in technological have also lessen its environmental impact. However, challenges like volatility of raw material prices and emissions regulations put strong pressure on the market. Despite these hurdles, the future looks promising, with rising demand for aluminum in prominent sectors like packaging and construction.
The Indonesia Aluminum Market size is expected to grow at a significant CAGR of 5.5% during the forecast period 2025–2031. The construction sector's increased demand for aluminum is the major growth factor driving the market expansion, as its lightweight properties render it the preferred material for buildings and structures. Another key factor is the transformation to environmentally responsible packaging, as aluminum is readily recyclable, which is consistent with environmental protection regulations. Moreover, the demand for aluminum is further fueled by the expansion of infrastructure and urbanization in Indonesia, particularly in the areas of consumer durables and electrical components. The country's overall aluminum growth is influenced by these factors.
The Indonesia Aluminum Market growth faces several challenges, including volatile raw material prices, which directly impact the cost structure of aluminum production. Furthermore, the increasing environmental regulations, majorly those that pertain to energy consumption and carbon emissions, have the potential to raise operational costs and restrict production capacity. There are also problems in the market given that processing aluminum uses a lot of energy and the demand for metal around the world changes all the time. Another problem is that there are not enough trained workers in new technologies, which makes it harder for Indonesia to use more environmentally friendly ways to make things.
The aluminum market in Indonesia is witnessing major trends which align with global change toward sustainability and innovation. Major trend is the surging use of aluminum in green building designs, where its light weight and low energy use are put together for efficient usage. More and more people are using new technologies, like recycling aluminum and smelting methods that use less energy. Another trend is the use of AI and IoT in the production of metal to improve quality control and preventative maintenance, which makes the whole industry run more efficiently.
The Indonesia Aluminum Industry has galore of investment opportunities, mainly related to improving recycling infrastructure and coming out with more energy-efficient ways to make products. As the need for eco-friendly and recyclable products grows, aluminum recycling grows an appealing area to invest in. Furthermore, progress in electric cars (EVs) and the growing use of aluminum in the auto industry create chances for investors to increase production capacity. In the next few years, investors are likely to be interested in companies that are working on innovative methods to package things and researching lightweight aluminum parts for the electrical and building industries.
Key companies contributing significantly to the Indonesia Aluminum Market share include PT. Indonesia Asahan Aluminium (INALUM), PT. Suryaraya Metal, and PT. Alcoa Indonesia. PT. INALUM is the leading player in aluminum smelting, with a strong focus on sustainability. PT. Suryaraya Metal is a prominent player in the packaging and automotive sectors, providing high-quality aluminum products. These companies hold a major market share, driving growth and innovation within the industry.
A variety of initiatives have been launched by the Indonesian government to promote eco-friendly practices in the aluminum industry. Regulations mandate the recycling of aluminum products for ecological preservation. Businesses in Indonesia are required to adhere to specific quality and environmental standards set out by the Indonesian National Standard (SNI) for aluminum products. A further factor contributing to the expansion of the country's aluminum market is the increasing emphasis on green construction regulations and the government's sponsorship of infrastructure projects.
The Indonesian Aluminum Industry is anticipated to experience substantial growth in the years ahead. This expansion is a result of the increasing demand for sustainable building materials and advancements in aluminum production capabilities. The utilization of aluminum will be further stimulated by the growing emphasis on the reduction of carbon footprints and energy consumption in industries. The demand for aluminum in the construction, transportation, and packaging sectors will thrive as urbanization and industrialization continue to expand. Nevertheless, in order to have market expansion, it is imperative to resolve hurdles associated with regulatory compliance and price fluctuations.
The report offers a comprehensive study of the subsequent market segments and their leading categories.
According to Guneet Kaur, Senior Research Analyst, 6Wresearch, packaging is the fastest-growing segment in the Indonesia Aluminum Market due to the increasing demand for lightweight, sustainable, and recyclable packaging solutions. The growing preference for eco-friendly packaging materials boosts aluminium’s adoption in the sector.
The report provides a detailed analysis of the following market segments
1 Executive Summary |
2 Introduction |
2.1 Key Highlights of the Report |
2.2 Report Description |
2.3 Market Scope & Segmentation |
2.4 Research Methodology |
2.5 Assumptions |
3 Indonesia Aluminum Market Overview |
3.1 Indonesia Country Macro Economic Indicators |
3.2 Indonesia Aluminum Market Revenues & Volume, 2021 & 2031F |
3.3 Indonesia Aluminum Market - Industry Life Cycle |
3.4 Indonesia Aluminum Market - Porter's Five Forces |
3.5 Indonesia Aluminum Market Revenues & Volume Share, By Type, 2021 & 2031F |
3.6 Indonesia Aluminum Market Revenues & Volume Share, By Product Type, 2021 & 2031F |
3.7 Indonesia Aluminum Market Revenues & Volume Share, By End-users, 2021 & 2031F |
4 Indonesia Aluminum Market Dynamics |
4.1 Impact Analysis |
4.2 Market Drivers |
4.2.1 Growing demand from the construction industry in Indonesia |
4.2.2 Increasing use of aluminum in automotive manufacturing |
4.2.3 Government support and investment in infrastructure projects |
4.3 Market Restraints |
4.3.1 Fluctuating prices of raw materials |
4.3.2 Competition from alternative materials like steel and composite materials |
4.3.3 Environmental concerns related to aluminum production processes |
5 Indonesia Aluminum Market Trends |
6 Indonesia Aluminum Market, By Types |
6.1 Indonesia Aluminum Market, By Type |
6.1.1 Overview and Analysis |
6.1.2 Indonesia Aluminum Market Revenues & Volume, By Type, 2021-2031F |
6.1.3 Indonesia Aluminum Market Revenues & Volume, By Primary, 2021-2031F |
6.1.4 Indonesia Aluminum Market Revenues & Volume, By Secondary, 2021-2031F |
6.2 Indonesia Aluminum Market, By Product Type |
6.2.1 Overview and Analysis |
6.2.2 Indonesia Aluminum Market Revenues & Volume, By Flat Rolled, 2021-2031F |
6.2.3 Indonesia Aluminum Market Revenues & Volume, By Castings , 2021-2031F |
6.2.4 Indonesia Aluminum Market Revenues & Volume, By Extrusions , 2021-2031F |
6.2.5 Indonesia Aluminum Market Revenues & Volume, By Forgings , 2021-2031F |
6.2.6 Indonesia Aluminum Market Revenues & Volume, By Pigments & Powder, 2021-2031F |
6.2.7 Indonesia Aluminum Market Revenues & Volume, By Rod & Bar, 2021-2031F |
6.3 Indonesia Aluminum Market, By End-users |
6.3.1 Overview and Analysis |
6.3.2 Indonesia Aluminum Market Revenues & Volume, By Transport, 2021-2031F |
6.3.3 Indonesia Aluminum Market Revenues & Volume, By Building & Construction, 2021-2031F |
6.3.4 Indonesia Aluminum Market Revenues & Volume, By Electrical Engineering, 2021-2031F |
6.3.5 Indonesia Aluminum Market Revenues & Volume, By Consumer Goods, 2021-2031F |
6.3.6 Indonesia Aluminum Market Revenues & Volume, By Foil & Packaging, 2021-2031F |
6.3.7 Indonesia Aluminum Market Revenues & Volume, By Machinery & Equipment, 2021-2031F |
7 Indonesia Aluminum Market Import-Export Trade Statistics |
7.1 Indonesia Aluminum Market Export to Major Countries |
7.2 Indonesia Aluminum Market Imports from Major Countries |
8 Indonesia Aluminum Market Key Performance Indicators |
8.1 Average selling price of aluminum products in Indonesia |
8.2 Percentage of aluminum used in new construction projects |
8.3 Number of automotive manufacturers using aluminum components |
9 Indonesia Aluminum Market - Opportunity Assessment |
9.1 Indonesia Aluminum Market Opportunity Assessment, By Type, 2021 & 2031F |
9.2 Indonesia Aluminum Market Opportunity Assessment, By Product Type, 2021 & 2031F |
9.3 Indonesia Aluminum Market Opportunity Assessment, By End-users, 2021 & 2031F |
10 Indonesia Aluminum Market - Competitive Landscape |
10.1 Indonesia Aluminum Market Revenue Share, By Companies, 2024 |
10.2 Indonesia Aluminum Market Competitive Benchmarking, By Operating and Technical Parameters |
11 Company Profiles |
12 Recommendations |
13 Disclaimer |