Malaysia Alumina Market Outlook

malaysia has long been a major destination for the production and consumption of alumina, the key raw material for aluminum production. with its long-term growth prospects in the alumina market, malaysia is well-positioned to capitalize on increasingly strong global demand for aluminum. the primary aluminum industry in malaysia is highly dependent on alumina as an essential raw material. malaysia’s alumina production during 2018-2020 is expected to grow at a cagr of 4.5 percent, driven by rising demand from asia pacific countries such as india, china, and indonesia. as global demand for aluminum continues to grow, so will demand for alumina. in terms of production, malaysia currently ranks as the third-largest producer of alumina in the asia-pacific region, behind china and india. currently, the government of malaysia is focusing on increasing the production of aluminum through increasing investment, as well as taking measures to promote the usage of more cost-effective, higher-grade bauxite resources. all of these efforts are helping to boost the production of alumina in the country. the main end-user markets for alumina in malaysia are stamping, fabrication, and building and construction. in addition, the demand for aluminum is strong for automobiles, consumer durables, and aerospace as well. furthermore, malaysia’s aluminum exports have increased by 7 percent in 2017-18 as compared with the previous year, highlighting the country’s contribution in the global aluminum market. on the demand side, the high resistance of alumina to corrosion, wear, and thermal shock are the key driving factors for increased demand. furthermore, rising disposable incomes and growing consumer demand for lightweight, durable products are fuelling the demand for aluminum and alumina in malaysia. looking ahead, the future outlook on the alumina market for malaysia is expected to remain strong, as the country is expected to remain an appealing destination for increased investment. low-cost bauxite resources, access to specialized aluminum and alumina production expertise, and longer-term growth prospects will continue to support the demand for alumina in malaysia. as a result, the demand for aluminum and alumina is expected to remain relatively stable in the malaysian market over the coming years.