Europe’s aluminium extrusion demand set to grow at 2.42% CAGR through 2035

Europe’s aluminium extrusion market is entering a new phase, with demand expected to expand across several key industries. The region accounts for around 10 per cent of global aluminium extrusion usage, making it an important market for producers and suppliers. Electric vehicles, grid investment and construction activity are set to play an important role in shaping demand over the coming years.

Aluminium extrusion usage in Europe is forecast to rise from 3.48 million tonnes in 2025 to 3.56 million tonnes in 2026, an increase of 2.30 per cent. By 2035, usage is projected to increase by 27.01 per cent from 2025 levels. The CAGR for 2025-2035 is expected to be approximately 2.42 per cent.

Recent figures already point to a change in demand patterns. European extrusion demand improved modestly in H1 2026, with Q2 demand increasing 0.4 per cent year on year following a weaker first quarter. Building and construction and industrial applications provided some support, while automotive extrusion demand continued to benefit from the expansion of battery-electric vehicle production.

Transport is emerging as one of the more promising areas for European extruders. Aluminium extrusion usage in the sector is forecast to rise from 970,000 tonnes in 2025 to 1 million tonnes in 2026, an increase of 6.2 per cent. Over 2026-2035, transport extrusion demand is expected to grow at a CAGR of approximately 3.06 per cent.

Construction remains Europe’s largest outlet for extruded aluminium. Usage in the sector is expected to decline from 1.52 million tonnes in 2025 to 1.50 million tonnes in 2026, a decrease of 1.3 per cent. By 2035, demand is forecast to rise, representing a CAGR of 1.60 per cent from 2026.

The market is gradually recovering after two years of contraction. Total construction output is projected to grow 2.4 per cent in 2026 and 2.2 per cent in 2027, compared with only 0.3 per cent growth in 2025.

Another demand channel is emerging from the electricity system itself. Aluminium extrusion usage in electrical and electronics applications is forecast to increase from 560,000 tonnes in 2025 to 580,000 tonnes in 2026, representing a 3.6 per cent rise. By 2035, demand is expected to increase at a CAGR of approximately 3.49 per cent from 2026.

Taken together, these trends suggest that Europe’s aluminium extrusion demand through 2035 will be shaped not by a single sector, but by the combined momentum of EVs, construction, electrification and higher-value applications, while producers increasingly compete on efficiency, sustainability and product value.

                                                                                                                                     Source: AlCircle