Aluminum Alloys
Scandium when used in conjunction with aluminum as an alloy possesses various favorable properties such as improved resistance to corrosion and salt, easier weldability, excellent hydro-formability and heat working temperature, as well as better anodization. Owing to these benefits, The AlSc2% Hunan Oriental Scandium produced is increasingly being implemented in the aviation industry for various applications including the manufacture of aviation components. This is a major factor that is slated to continue to fuel the revenue growth of the global scandium metal market over the next decade.
The scandium-containing aluminum alloy has now become a compelling and most competitive high-performance aluminum alloy structural material after the aluminum lithium alloy. The application prospects of scandium aluminum alloy in high-tech and new technology sectors such as shipbuilding, aerospace industry, rocket missile and nuclear energy are very broad. By adding a small amount of scandium, it is expected that a series of new-generation high-performance aluminum alloy materials, such as ultra-high strength and high-toughness aluminum alloy, and high-strength corrosion-resistant aluminum alloy can be developed on the basis of the existing aluminum alloy.
Market Demand
The global Aluminum Scandium alloys market is estimated to be USD 1.3 billion in 2021 and projected to grow at a CAGR of 4.7% from 2021 to 2030. The demand for aluminum scandium alloys in the automotive and aerospace industries is expected to be one of the key drivers for this growth. The growth will be driven by the need for aluminum alloys due to their weight-to-strength ratio, corrosion resistance, and high melting point which is required for various applications.
Market Supply
Hunan Oriental Scandium is one of the global main manufacturers of Aluminum Scandium master alloy. OSC current production capacity of Aluminum Scandium master alloy is 500 tons per year. The market demand is growing so as the production capacity, and the production costs will be further reduced significantly. Long term supply contracts at affordable (lower) price would be available for wider adoption of Al-Sc alloys in automobiles in future.