New Energy Has Emerged As A Key Driver For Aluminum Extrusion Production Growth

In 2023, China's aluminum extrusion production rebounded, with annual output estimated to rise 6.65% YoY to 21.45 million mt. This includes 11.69 million mt from construction extrusion, up 1.35% YoY, and 10.75 million mt from industrial extrusion, up 25.31% YoY.

In industrial extrusion, photovoltaic extrusion significantly drove the overall industry, largely due to the new energy sector's rapid development and promising prospects. Explosive downstream demand in the second half of the year fueled a strong increase in photovoltaic extrusion.

While the overall construction extrusion sector remained in its off-season, " ensuring timely deliveries of presold homes" and "urban village" renovation policies drove a 19.8% YoY increase in national real estate completion area from January to September. This boosted usage of construction extrusions like doors, windows, curtain walls, and decorations. Yet, severe oversupply in construction extrusion production meant not all saw increased orders. The nature of these orders, often involving long payment terms and short construction periods, posed challenges for many small and medium-sized enterprises, directing orders towards larger enterprises and accelerating production capacity clearance.