Global Refractories Market - 2020-2027
The global refractories market size was worth US$ XX billion in 2019 and is estimated to reach US$ XX billion by 2027, growing at a CAGR of XX % during the forecast period (2020-2027).
Refractories are used in modern manufacturing processes made from ceramic materials to withstand the very high temperatures refractories are made from several inorganic, nonmetallic, porous and heterogeneous materials such as silicon, aluminum, magnesium, calcium, zirconium, non-oxide like nitrides, borides, carbides, silicates and graphite. Refractories can sustain extremely high temperature due to its heat resistant properties. Refractoriness used in several industries including automotives, steel & iron plants, manufacturing plants, metal industries and among others.
The global refractories market growth is driven rising demand and production of the steel & iron with surge in the infrastructure development investments around the globe. Further high demand of the refractories in the construction, automotive, electronics, aerospace and among industries as it can withstand high temperature
Growing demandof the steel & iron with surge in the infrastructure development investments around the globe
Refractories are widely used in the production of the steel and iron industries due to its properties such as high stability of composed oxides, provide improved castability, optimum desulphurisation and deoxidation of steel, high heat resistant hence can withstand high temperature for producing steel. Steel demand has shown immence growth in the automotive and construction industries. As per the World Steel Organization in 2019, globally the crude steel production reached to around 1,869.9 million tonnes (Mt) increased by 3.4% compared to 2018. It created massive demand for the refracries market used in the production of steel and iron.
Growing construction, chemical, automotive, electronics, aerospace and other industriesFurther growing sale of automotive vehicles also propells the refractories market growth. Accoring to the International Organization of Motor Vehicle Manufacturers (OICA), the light commercial vehicle production reached to around 518,442 number of units and passenge vehicle reached 3,672,749 number of units around the globe. It created massive demand of refractires used in the manufacturing of the automobiles.
Launch of new low carbon emission refractories by the leading players and surge in expansion of production capacity
Several leading industries are launching and expanding the low carbon emission based refractories for the steel and automotive production may create huge opportunity for the growth of this market. For instance 12th October 2020, RHI Magnesita has launched Ankral Low Carbon brick refractories with a 14% reduced carbon dioxide (CO2) refractory brick. Ankral Low carbon bricks extracted from dead burned magnesia (DBM) source refractory bricks.
Growing concern regarding the emission of volatile organic compounds (VOCs) and side-effects on the health and environment
United Nations Envirmental Protection Agency have set National Emissions Standards for Hazardous Air Pollutants (NESHAP) emitted by the refractories products. The rule includes protects air quality and promotes the public health by reducing emissions of several hazardous air pollutants, including formaldehyde, hydrogen fluoride (HF), hydrochloric acid (HCl), ethylene glycol, methanol, polycyclic organic matter (POM) and phenol. The rule regulates emissions control from the manufacturing processes of both the clay and non-clay refractories.
COVID-19 Impact Analysis
The global refractories market declined during the COVID-19 pandemic, as several manufacturing industries were in the lockdown state in several countries. However the demand has slightly increased in the month of July 2020 as several countries began its production of steel, automobile, aerospace, chemical and consumer electronics industries as these industries requires refractories in huge amount.
Several leading players have cancelled or postponed the fututre deals, merger, acquisition and partnership activities due to downfall of demand which lead to bankruptcy. According to Society of Indian Automobile Manufacturers (SIAM), commercial vehicles sales decreased by 88% in India and passenger vehicle sales declined by 51% in India in March 2020 which subsequently hampered the growth of refractories market.
The global refractories market is segmented based on type, alkalinity, manufacturing process, end-user and region.
Rising steel production due to surge in the global construction industry demand have propelled the silica bricks segmental growth
On the basis of type, the global refractories market is segmented into clay and non-clay (silica brick, chromites refractories, high alumina refractories, magnetite refractories, zirconium refractories, graphite refractories, borides refractories, calcium refractories and others). Among this, silica brick refractories has the highest share owing to its usage in production of crude steel due to its high heat resistant properties which can withstand high temperature upto around 1100 degre celcius. Further increasing steel production due to increasing construction industry around the globe. For instance in 2017 global the steel industry has sold around US$2.5 trillion worth of products related to the steel. It created massive demand for the silica bricks for steel production.
Further, clay, chromites refractories, high alumina refractories, magnetite refractories, zirconium refractories, graphite refractories, borides refractories, calcium refractories are also growing at faster pace with surge in the demand by the end-user industries such as automotive, chemical, construction and among others.
Several leading manufacturer expanding the production capacity to fulfil the requirement by the end-user industries. For instance on 21st Sept 2020, Dalmia Group's subsidiery Dalmia OCL refractory manufacturing arm has opened manufacturing facility of Magnesia Carbon refractory bricks with 1.08 lakh tonne brownfield capacity in Rajgangpur, Odisha, India to fulfil the local requirement of the refractories.
Acidic & Neutral Refractories segment accounted for the largest share
On the basis of alkalinity, the global refractories market is segmented into acidic & neutral refractories and basic refractories. Among this acidic & neutral refractories has the highest share in 2020, this is primarily due to increasing demand for the refractories and rising demand in the metallurgical, glassmaking and ceramic industries for processing the materials at high temperatures with surge in the industrializations.
Similarly, Basic Refractories are also growing at faster pace owing to surge its properties such as excellent chemical resistance to basic slags and fluxes, high temperatures sustainibility as well as a high melting point upto around 2800 *C.
Based on form, global refractories market is divided into shaped and unshaped. Among this shaped segment has the highest market owing to rising demand by the construction industry with surge in the government investments all over the world.
Similarly, unshaped segment is also growing at fastest speed owing to rising demand by the several manufacturing industries of the automotive and electronic sectors.
fused cast segment is expected to hold the largest market share
By manufacturing process, the refractories market is segmented into fused cast, sintering process, hand molded, dry press process, formed and unformed. Among this fused cast has highest share in 2019, this is primarily due to its properties like great corrosion resistance to melts such as glass and molten metal oxides, compact structure and closed pores using an electric arc furnace to melt the refractory raw into sand-forming molds.
Rising utilization of refractories for engineering and construction sector with surge in the steel production
By end-user, the market is segmented into automotive, aerospace, power generation, cement industries, glass industries, and non-ferrous metals. Among this, steel and iron has the highest share in 2019, this is primarily due to rising production of the steel due to rising demand by the construction industry.
According to the Weforum Organization, the construction industry accounted for 6% of the global GDP with total annual revenues of reached to around US$10 trillion in 2016 adding value of around US$ 3.6 trillion annually. Further Engineering & Construction sector is the largest consumer of raw materials and around 50% of global steel production which requires more than 3 billion tonnes of raw materials in 2016.
Asia-Pacific region holds the largest market share of global refractories market
Asia-Pacific region is dominating the global Refractories market and accounted for the largest market share in 2019, due to growing building and constructions, increasing government policies to help growth of industry, fund schemes, presence of several manufacturing industries, MSME & skill development programs in this region followed by North America and Europe.
Asia-Pacific region is largest manufacturer of the automotive vehicles and has highest share due to rising population demand. According to International Energy Agency in 2018, around 45% of all electric cars globally are being sold and produced in in China which totalled to around 2.3 million around the globe. It created massive demand for the refractories used in the manufacturing of the automotive components in this industry.
Similarly, North America is the fastest growing region for the growth of the Refractories market, this is primarily due to rising construction sector development and investments by the leading companies. According to the Census Government Organization in the United States, private sector construction spending reached to around US$ 1,061.4 billion annually which propels the demand for the refractories market in this industry.
The refractories market is moderately competitive with the presence of local as well as global companies. Some of the key players which are contributing to the growth of the market include Refratechnik Holdings GmbH, Shinagawa refractories Co. Ltd, Krosaki Harima Corporation, Seven Refractories, RHI Magnesita, Vesuvius PLC, Imerys, Chosun Refractories, Saint-Gobain, Morgan Advanced Materials, CoorsTek Incorporated, HarbisonWalker International, Resco Products, IFGL Refractories Ltd, Magnezit Group, Mineral Technologies Inc and among others.
Morgan Advanced Materials
Overview: Morgan Advanced Materials, founded in 1856 with headquartered in Windsor, Berkshire, United States. Morgan Advanced Materials is a one of the global leaders in the designing of assemblies, components, and systems using advanced proprietary materials which can deliver significantly enhanced performance of the products.
The company thrives to innovate the products across a diverse range of sectors such as technical ceramics, thermal ceramics, molten metal systems, linear transfer systems, thermal engineering, fire protection, braze alloys, electrical carbon, specialty graphite and mechanical carbon. The Company has more than 9,000 employees across 50 countries, equipped with tools and practical experience necessary to become the next generation of business leaders.
Product Portfolio: The Company has a diverse product portfolio includes fire protection, brazed assemblies, electronics, energy, healthcare, industrial, petrochemical, security & defense, transportation, molten metal systems, braze alloys, thermal ceramics, technical ceramics, electrical transfer, engineered ceramics, high temperature insulation, seals & bearings, specialty graphite, and electrical carbon
Key Developments: On 27th Jan 2016, Morgan Advanced Materials developed Fully Stabilized Zirconia Products which can deliver optimum performance up to 2,000ºC. It posses high resistance to the acids, alkalis, and caustic chemicals used in chemical processing applications.
Merger and Acquisitions: In June 2020, Morgan Advanced Materials completed the acquisition of Carbo San Luis which supported the company to grow its network in Argentina, Chile and Peru.
The global refractories market report would provide an access to an approx. 80 market data table, 82 figures and 230 pages.
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