With demand for bauxite set to grow, global reliance on imports from Guinea could cause supply chain risks due to fluctuations in the country’s output. Smruthi Nadig from MINE reports.
According to GlobalData’s Global Bauxite Mining to 2030 report, the need for bauxite is mainly influenced by the production of aluminium, which is expected to rise because of growing usage in the transportation, construction and packaging sectors.
“Bauxite, through its derivative aluminium, is used in manufacturing electric vehicles and various other technologies and industries,” explains Siripurapu Gayathri, senior analyst at GlobalData.
“Bauxite is essential for advancing towards a more sustainable, low-carbon energy system, including solar panels, wind turbines and battery technologies. As the world progresses towards a low-carbon future, the demand for bauxite and aluminium [will] likely increase, highlighting its essential role in the global energy transition.”
The World Bank predicts that aluminium demand will increase by more than 100% in a 2°C climate scenario.
According to the World Bank, aluminium plays a crucial role in the energy transition, supporting many low-carbon technologies such as batteries, carbon storage for low-carbon hydrogen, electrolysers for renewable hydrogen, hydroelectric plants, transmission wires and wind turbines.
Additionally, it is indispensable for solar photovoltaic (PV) technologies. As things stand now, there would be no solar power without aluminium, which currently makes up more than 85% of most solar PV components.
The World Bank predicts that aluminium demand will increase by more than 100% in a 2°C climate scenario. Certain projections suggest that the demand for solar PV systems in 2050 will exceed one-third of the current levels.