Aluminum Nitride Market Size to Reach 267.6 Million in 2034

Vantage Market Research releases its latest comprehensive report on the Global Aluminum Nitride (AlN) market with a forecast period of 2024-2034. In 2024, the global Aluminum Nitride (AlN) market size is estimated at USD 152.3 Million, and is projected to register a CAGR of 5.8% and reach a value of USD 267.6 Million in 2034. The report covers current key growth factors, challenges, opportunities, up-to-date trends, technological advancements, innovations, and company-related news, revenue, key operating segments, strategies, recent developments, and provides expert insights to understand the various market scenarios and make more informed business decisions. The report covers AlN grades, types, production methods, and applications, and includes all major regions and countries with relevant revenue share, consumption patterns and relevant data, and end-use industries and projected domestic and international market scenarios.

Aluminum Nitride Market Overview:

Some key factors driving steady growth of the market are rapid technological advancements and high demand for and production of electronic devices, equipment, components, advanced ceramic substrates, power transistors, thyristors, Liquid Displays (LDs), Light Emitting Diodes (LEDs), electrical insulators, Integrated Circuits (ICs), microprocessors, and silicon wafer handling and processing. Also, AlN substrates, insulators, and heat sinks are key components in microelectronic devices, electronic packaging, chip carriers for sensors and detectors, laser heat management components, and packaging for microwave devices. 

Continuous Research and Development (R&D) and introduction of more advanced chips and electronic components, substrate designs, and rising focus on improving high-voltage power devices are major factors driving market growth. Heat sink is highly essential for electrical and high-power electronics applications and demand for heat conductors or spreaders remains steady due to expansion of grid infrastructure and shift towards renewable energy sources and distribution.

Technological advancements and innovations in electronics, such as tablets, smartphones, and computers, and various electrical devices and equipment are driving need for more efficient thermal control and this is expected tom continue to support demand for aluminum nitride. Moreover, increasing use of AlN in Ultraviolet (UV) light applications and optoelectronics, high thermal conductivity chip carriers, and high-power semiconductor devices, advancements in lighting solutions, and expanding applications in microwave devices and equipment are also driving growth of the market. 

However, factors such as high production costs of aluminum nitride, regulatory challenges in manufacturing, low market penetration, and complexities in synthesizing, processing, and handling of material are having a negative impact on market growth. Availability of alternatives, such as silicon carbide, beryllium oxide, and gallium nitride, is another factor having some level of negative impact. Also, characteristics of AlN such as high hardness and brittleness pose challenges for some applications, especially during processing and handling, and this results in preference for more durable and cost-efficient alternatives.

Some Key Takeaways:

In 2023, Asia Pacific registered fastest revenue growth rate among the regional markets and the trend is expected to gain momentum over the forecast period. 

High purity aluminum nitride is expected to continue to remain in high demand for production of substrates for GaN semiconductors, RF amplifiers, power electronics, and LEDs and others.

Carbothermal reduction remains the preferred production method for aluminum nitride and this is supported by rising focus on cost-effectiveness and need to cater to high demand for bulk component and base material orders driven by rising demand from expanding electronics manufacturing industries and other. 

The micro electronics segment among the application segments is expected to continue to maintain a lead over other applications due to continuous demand for various chips and components and increasing demand for personal computers, tablets, laptops, mobile phones, cameras, and audio and video systems, displays, LEDs, ICs, lighting solutions, and microwave ovens, among numerous others.

The market is highly consolidated with major companies adopting strategies to enhance product quality, innovate to comply with regulations and meet evolving industry demands, and are investing in R&D to optimize manufacturing processes, reduce production costs and energy consumption, and entering into strategic partnerships and collaborations.

Company List:

• Precision Ceramics USA
• KYOCERA Corporation
• Furukawa Co., Ltd.
• Morgan Advanced Materials
• Toshiba Materials Co., Ltd.
• CeramTec Group
• MARUWA Co., Ltd.
• Toyal Europe
• Toyal America, Inc.
• Toyo Aluminium K.K
• Tokuyama Corporation
• Accumet Materials Co.
• Merck KGaA
• Surmet Corporation
• Thrutek Applied Materials Co. Ltd.

Recent Developments:

June 13, 2024: Crystal IS, which is a subsidiary of Asahi Kasei, announced successful serial production of 100 mm diameter single-crystal aluminum nitride substrates with 99% usable area. This is the current requirement for UVC LEDs, and is also a crucial need in next-generation RF and power devices. Manufacturing will be done exclusively at the company’s US facility and will cater to needs of key partners. 

September 2023: Technical ceramic components and products manufacturer, CeramTec GmbH, launched Alunit AlN HP, which is a new aluminum nitride high performance substrate that offers a number of advantages over conventional substrates. Some include excellent thermal conductivity and 40% improved flexural strength, specifically for power generation and distribution sectors. This new AlN has applications in power converters and vehicle electrification for rail vehicle electrical and power applications.