Ferrari and BMW are expanding the use of aluminum wiring across their vehicle lineups, joining a growing number of global automakers seeking to reduce production costs and vehicle weight as soaring copper prices and supply concerns reshape manufacturing strategies.
The move reflects a broader transition that has gathered momentum across the automotive industry, particularly among electric vehicle manufacturers. Analysts say aluminum is increasingly being viewed as a practical alternative to copper, whose prices have climbed sharply amid tightening global supplies and rising demand from renewable energy projects, artificial intelligence infrastructure and data centers.
According to estimates from JPMorgan, aluminum substitution is expected to affect roughly 2% of global copper demand this year, with the proportion likely to increase significantly over the remainder of the decade if current market trends persist.
Ferrari said it introduced aluminum power cables on its 296 hybrid sports car last year before extending the technology to additional models, including the Luce, the Italian manufacturer’s first fully electric vehicle launched last month.
Company communications executive Dario Esposito said Ferrari’s decision was driven primarily by engineering performance rather than material costs, noting that aluminum wiring can reduce the total weight of a vehicle’s electrical system by as much as 20%.
“We are not choosing aluminum because it’s cheaper. We choose the material that has better performance,” Esposito said.
Although Ferrari emphasized performance benefits, aluminum currently trades at roughly one-quarter the price of copper. Aluminum is selling for about $3,100 per metric ton compared with copper prices that remain above $13,000 per ton after reaching record highs earlier this year.
BMW has been incorporating aluminum conductors into its vehicles for more than a decade. The German automaker first introduced the technology on its 1 Series in 2011 before gradually expanding its use across hybrid and fully electric models.
The company said its latest eDrive electric vehicle platform, introduced last year, now employs aluminum cables extensively in both high-voltage and low-voltage electrical systems.
Other manufacturers are following a similar path.
Industry sources said Stellantis has recently begun replacing copper wiring with aluminum in some applications, although the automaker declined to comment publicly.
Chinese manufacturers have also embraced the transition. EV parts supplier JONVER said aluminum wiring products now account for about 30% of its sales, up from roughly 20% in 2023, reflecting growing demand from domestic electric vehicle producers.
Engineering consultancy Caresoft Global said several Chinese EV makers, including AVATR, XPeng and Xiaomi, have increasingly adopted aluminum wiring after benchmarking design solutions pioneered by Tesla in vehicles such as the Model Y and Cybertruck.
Tesla and the Chinese manufacturers did not respond to requests for comment.
The trend extends beyond automobiles.
Norwegian aluminum producer Hydro said sales of aluminum tubing used as a substitute for copper in heating and air-conditioning systems have steadily increased, while French cable manufacturer Nexans expects substitution to accelerate whenever copper prices remain substantially higher than aluminum.
Nexans said manufacturers typically begin considering aluminum alternatives when copper trades at approximately 3.5 times the price of aluminum. Current market conditions place copper at more than four times aluminum’s price.
Despite its cost advantages, aluminum presents engineering challenges.
Because aluminum conducts electricity less efficiently than copper, manufacturers must use larger quantities of the material to achieve equivalent electrical performance. Producing aluminum is also highly energy intensive, creating environmental considerations even as it reduces vehicle weight.
Nevertheless, the advantages have become increasingly attractive for electric vehicle manufacturers.
Reducing weight allows EVs to travel farther on a single battery charge, while lower material costs are particularly valuable in China’s fiercely competitive electric vehicle market, where aggressive price competition has squeezed manufacturers’ profit margins.
Hydro estimates that roughly 85% of electrical busbars connecting EV battery packs to vehicle systems are still manufactured from copper, suggesting substantial room remains for further aluminum adoption.
Chinese policymakers have also encouraged the transition. A government policy document issued in March 2025 promoted wider use of aluminum as part of efforts to reduce dependence on increasingly expensive copper supplies.
Consultancy Zhuochuang estimates that between one-quarter and nearly one-third of copper currently used in the automotive, power generation and home appliance industries could eventually be replaced by aluminum by 2030.
JPMorgan projects a more conservative scenario, forecasting aluminum could replace approximately 6% of annual global copper demand by the end of the decade.
While copper is expected to remain indispensable for applications requiring maximum electrical efficiency, the economics of aluminum are becoming increasingly difficult for manufacturers to ignore.
As electric vehicle production expands and global demand for copper continues to rise across multiple industries, automakers appear increasingly willing to redesign electrical systems around a lighter and considerably less expensive alternative.
