The global market for Alumina Trihydrate (ATH) is projected to reach US$1.9 billion by 2025, driven by robust applications in coatings, inks, adhesives, caulks, sealants and most importantly as non-halogen flame retardant and smoke suppressant. Key benefits of ATH driving its use as a versatile pigment include dehydration at 428 degree F that makes it a perfect flame retardant and smoke suppressant; high brightness which allows for adding into colors without the risk of darkening; low oil absorption and viscosity stability; median particle size ranging from 1 micron to 80 microns; reflactive index of 1.57 which helps impart strength, transparency or translucency; non-abrasive; easy dispersability; chemically inert which makes it Stain, scrub, water resistant and UV transparent; thermal conductivity; non-toxic; non-halogen; and low impurities which means faster cure in thick UV cured systems; compatibility with cationic and or anionic systems which offers flexibility in the choice of polymers. Growth in the market is especially benefiting from the growing demand for non-halogenated flame retardants as a safer alternative to poly-brominated retardants. Environmental and public health crackdown on halogenated flame retardants and the superior qualities of non-halogenated flame retardants are indirectly creating opportunities for the use of ATH in the manufacture of non-halogenated flame retardants.

The current state of bauxite mining is also of importance and significance to the market since a vast majority of aluminium trihydrate is derived from bauxite ore. Globally, countries rich in bauxite reserves include Guinea, Australia, Vietnam, Brazil, Jamaica, China, Indonesia with 7,400, 6,000, 3,700, 2,600, 2,000, 1,000, and 1,200 million metric tons of resources respectively. These countries account for over 79% of the world`s bauxite reserves. Healthy demand and supply at all points of the value chain is important for stable prices of Alumina. Currently, however fears of supply disruptions and a possible spike in prices are a rife in the market, as Brazil the world`s fourth largest bauxite market voiced plans to ban upstream tailings dams and completely decommission them by the year 2023. Bauxite Mining companies in Brazil that operate `upstream` tailings dams include Mineracao Rio do Norte (MRN), Mineracao Paragominas, Alcoa and Companhia Brasileira de Aluminio (CBA). The regulatory tightening is the fallout of the failure of an upstream dam at Vale`s Corrego do Feijao mine resulting the death of over 160 miners.

Other major trends influencing growth in the market include rapid urbanization in developing countries and the resulting use of ATH in plastics, paint and coatings, and construction; legislation of stringent fire safety regulations and building codes that support proliferation of fire suppression systems; expanding use in water treatment as regulatory authorities tighten the screws on industrial effluent treatment and discharge; growing healthcare burden and robust drug production of aluminium-based pharmaceutical compounds; high per capita consumption of plastic products. China and Europe represent large markets worldwide with a combined share of 43.3% of the global market. China also ranks as the fastest growing market with a CAGR of 7.3% over the analysis period supported by the strong outlook for the Chinese chemical industry. Opportunities for specialty chemicals especially remain highly lucrative given the country`s rising sophistication of industrial output. The evolving clout of the domestic chemical industry can be put into perspective by the fact that China will power over 50% of global chemical industry`s growth.