by Magnesium oxide or magnesia is a white hygroscopic solid mineral that occurs naturally as periclase and is a source of magnesium. It has high thermal conduction properties and is widely used as a refractory material in various industrial applications including steel, non-ferrous metals and cement production. Magnesium oxide offers advantages such as high melting point, low thermal conductivity, chemical inertness and resistance to slag & corrosion. Due to these properties, it is used as a refractory lining material as well as flux in steel and aluminum production. The global magnesium oxide market has wide applications in the production of refractories, agriculture, chemical intermediates, construction, animal feed and many other industries.
The global Magnesium Oxide Market is estimated to be valued at US$ 6.8 Bn in 2023 and is expected to exhibit a CAGR of 6.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the magnesium oxide market is the increasing use of dead burned magnesium oxide (DBM) in the refractory industry. DBM offers better resistance to thermal shocks and slag corrosion compared to caustic calcined magnesium oxide (CCM). The availability of DBM in different grades according to chemical composition and physical properties is also driving its adoption. Another important trend is the augmenting demand from cement and steel mills in developing regions of Asia Pacific and Latin America. Rapid industrialization and infrastructure growth in these regions have increased the requirement of refractory materials including magnesium oxide. Ongoing capacity additions in ferrous and non-ferrous metals production along with upcoming cement projects are projected to boost magnesium oxide consumption over the forecast period.
Porter’s Analysis
Threat of new entrants: Low capital requirements and established industry players make it difficult for new players to enter.
Bargaining power of buyers: Large buyers can negotiate lower prices due to bulk purchase volumes.
Bargaining power of suppliers: Few major suppliers exist globally and supply constraints affect prices.
Threat of new substitutes: No close substitutes exist for key applications such as refractories and animal feed.
Competitive rivalry: Intense competition exists among established players to gain market share through cost leadership and product differentiation.
Key Takeaways
The global magnesium oxide market is estimated to be valued at US$ 6.8 Bn in 2023 and is expected to exhibit a CAGR of 6.4% over the forecast period 2023 to 2030.
The global Magnesium Oxide market is expected to witness high growth. Regional analysis related content comprises Regional analysis related content North America currently dominates the global magnesium oxide market , followed by Asia Pacific. Countries like China, India and Japan are expected to witness fastest growth in the forecast period owing to strong presence of end use industries.
Key players operating in the Magnesium Oxide are Martin Marietta Materials Inc., Grecian Magnesite S.A., Premier Magnesia, LLC, Ube Industries Ltd., Robert Half International AG, Magnezit Group Europe GmbH, Magnesita Refractories SA, Kumas Manyezit Sanayi A.S., SMZ, a.s. Jelšava, Xinyang Mineral Group, Premier Periclase Ltd., and Israel Chemicals Ltd. Major players are focusing on capacity expansion and mergers & acquisitions to consolidate their position. For instance, in 2021, Premier Magnesia, LLC announced capacity expansion plans for its magnesium oxide production facility in Pennsylvania, USA.
