Refractories Products to See Growth as Iron and Steel Production Increases
The global refractory products market is expected to reach close to 48.79 Mt in terms of production by 2019, according to a recent research study released by Technavio.
“China dominates the refractory products market and is the largest manufacturer and supplier of refractory raw materials such as magnesia, bauxite, graphite, brown-fused alumina, and silicon carbide in this region,” said Brahadeesh Chandrasekaran, lead analyst. “High infrastructure development and growing demand for consumer goods such as automobiles in China have increased the need for iron and steel production. Such developments fuel the need for refractories, as these are used in the production process of iron and steel.”
The top three segments of the global refractory products market include iron and steel, non-metallic materials, and other metals. Demand for global refractory products market by the iron and steel industry reached close to 28 Mt in 2014. Refractory materials are used in air and process gas heaters, reformers, and shaft furnaces in the iron and steel industry. Vendors are striving to provide customized refractory materials to enhance the heat resistance of various systems of the industry. The steel industry will likely experience an increasing demand over the forecast period, as its production units will generate continual demand for refractory materials.
Technavio researchers expect positive growth from developed economies such as Europe, especially, due to the recovery of the European countries from the Eurozone crisis. In developing economies, the steel industry is anticipated to grow owing to high demand from India and some MENA and Asia-Pacific countries.
Demand for global refractory products from the non-metallic materials industry was nearly 6.68 Mt in 2014. This segment includes refractory materials such as ceramics, lime, and glass, which are extensively used in the automotive and construction industries. Growing disposable income worldwide has resulted in the subsequent growth of the automotive, residential, and commercial construction industries. As these industries are major end-users of refractory materials, their growth will translate into an increasing in the demand for refractory products during the forecast period.
The other metals industry witnessed a demand of 3.46 Mt for global refractory products in 2014. Other metals such as aluminum and copper also require refractory materials on a large scale for their production units. Refractories are used in high-temperature processing units to produce these metals. The surge in demand for aluminum and copper in the construction, automotive, power generation, shipping, and mining industries for manufacturing heavy-duty equipment are predicted to subsequently boost the demand for refractories used in their production processes.
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