Success in Magnesite Market Closely Tied to Steel Production
The steel industry is the main end user of refractory magnesia for refractory brick linings.
The global magnesite market is expected to expand at a CAGR of nearly 6% from 2018-2022, according to the latest market research report from Technavio. Progress in the automotive industry is a key factor driving growth for the magnesite market. Magnesium has been extensively used in the automotive industry since the 1920s. Its lightweight features enable its application in the production of cars and other commercial vehicles, offering high fuel efficiency, increased performance, and sustainability.
Growing demand for refractories in the steel industry is another crucial driver for growth in the global magnesite market. Magnesite, an effective refractory material, can withstand extreme heat and thus is of major significance in a multitude of industrial processes. The steel industry is the main end user of refractory magnesia for refractory brick linings. Globally, the iron and steel industry accounts for two-thirds of all refractories material use.
“The rapid industrialization and urbanization in developed and developing nations present major growth opportunities for iron and steel manufacturers,” said a senior analyst. “Steel has wide applicability across the building and construction, automotive, aviation, and oil and gas industries across the globe. Steel casting is a method where liquefied steel is poured into the mold, made of sand or ceramic plater, to create the desired shape. Thus, the rapid increase in the steel casting market is expected to increase the demand for refractories during the forecast period, thus driving the growth of the magnesite market.”
The refractories segment held the largest share of the magnesite market in 2017 (nearly 70%) and is expected to dominate the global market throughout the forecast period. The Asia-Pacific region led the market in 2017 with a market share of nearly 65%.
Additional details are available at www.technavio.com.