The global magnesium derivatives market size surpassed at US$ 37 Bn in 2019 and expected to reach around US$ 61 billion by 2027 with a CAGR of 5%, in terms of value, from 2020 to 2027.
Magnesium derivatives are extensively used in agriculture, pharmaceutical, chemical, and construction applications due to their unique combination of characteristics. For instance, magnesium oxide is primarily used as an excellent source of magnesium in fertilizers to decrease the magnesium deficiency of soil. This enhances the yield and nutritional value of the soil. Magnesium hydroxide is also used in the manufacture of flame retardants, as it is economical and environment-friendly.
Magnesium carbonate, another magnesium derivative, is prominently used in the production of magnesium carbonate. Magnesium carbonate and magnesium carbonate-based minerals, such as hydromagnesite are used as materials in the manufacture of flame retardants. The rise in demand for low impurity steel is boosting the demand for high performance refractory linings. Magnesium carbonate is a key raw material for magnesium oxide, and in turn, refractory linings. It significantly influences performance characteristics of refractories. This is estimated to boost the consumption of magnesium derivatives, thereby driving the magnesium derivatives market in the near future.
Key Drivers of Global Magnesium Derivatives Market
- Magnesium derivatives such as magnesium hydroxide, magnesium sulfate, and magnesium chloride carry smoke suppressant and flame retardant properties. Magnesium derivatives are employed to reduce flammability in a wide range of materials.
- Rise in THE number of fire incidents and increase in fire safety regulations & guidelines across the world are boosting the usage of flame retardants. Major industries are also taking proactive steps to avoid fire incidents. This is expected to drive the demand for flame retardants, thereby propelling the global magnesium derivatives market during the forecast period.
- Increase in the demand for food, decrease in cultivation area, rise in the demand for sulfur-free fertilizers, and growth in magnesium deficiency of soil owing to the usage of ammonia-based fertilizers are some of the key factors driving the demand for magnesium oxide in the fertilizers industry. This, in turn, is augmenting the global magnesium derivatives market.
Rising Demand for Dead Burnt Magnesite to Offer Lucrative Opportunities
- Dead burnt magnesia (DBM)/refractory magnesia is primarily used as a key component in refractory materials such as bricks, refractory mortars, gunning material, and cement. It is used to manufacture magnesium oxide, which is employed in several applications, including refractory and steel industries. DBM is resistant to corrosion, chemicals, and high heat. The steel & iron industry is a key consumer of DBM.
- The consumption of DBM has been increasing due to the rise in the demand for steel refractory materials across the world. According to the World Steel Association, global steel production increased by 5.2% in 2019. Rise in the consumption of steel leads to an increase in the consumption of steel refractory bricks.
- China is a key manufacturer and consumer of steel across the globe. It is a prominent producer of magnesite in the world, followed by Turkey and Russia. The country accounts for 51% share of MgO exports in the world.
- Favorable economic conditions, growth in investments in infrastructure, and rise in industrialization in developing economies are key factors boosting the demand for dead burnt magnesite. This is anticipated to provide lucrative opportunities to the magnesium derivatives market.
Fluctuation in Raw Material Prices to Hamper Magnesium Derivatives Market
- Raw materials such as magnesite, dolomite, brucite, and olivine minerals are employed in the manufacture of magnesium derivatives as well as magnesium. Manufacturers of magnesium derivatives are dependent on suppliers to meet their requirements for raw materials.
- Historically, the prices of magnesium derivatives have increased and decreased due to factors related to raw materials such as availability and supply. The prices of raw materials depend upon the production and supply of and demand for magnesium across the globe.
- Regulations imposed on mining also hamper the production of magnesium derivatives. Increase in duties on imports and exports is another factor responsible for fluctuation in the prices of raw materials.
- Volatility in availability and fluctuating prices of raw materials can significantly hamper the global magnesium derivatives market. It can reduce the production and consumption of magnesium derivatives. It can also negatively affect the adoption of magnesium derivative-based applications.
Asia Pacific Dominates Global Magnesium Derivatives Market
- Asia Pacific held 51% share of the global magnesium derivatives market in 2019. China is one of the major consumers of magnesia and magnesite in the region.
- The magnesium derivatives market in Asia Pacific is witnessing significant growth, due to an increase in the demand for high-strength steel in various end-user industries in developing economies such as China, India, and ASEAN. The market in India is projected to expand at a prominent CAGR during the forecast period, due to the growth of the country’s economy, rise in urban population, and advancements in the construction industry.
- Trade deficit and instability in the prices of raw materials are anticipated to restrain the markets in in North America and Europe
- Increase in construction activities in Colombia and GCC and rise in the demand for MgO in animal feed and fertilizer industries in Latin America are expected to boost the global magnesium derivatives market during the forecast period.
Varying Market Share of Individual Magnesium Derivatives
- YINGKOU MAGNESITE CHEMICAL IND GROUP CO., LTD is a leading player in the magnesium oxide as well as magnesite industry based in China. RHI Magnesite, Grecian Magnesite, Ube Industries Limited, and Martin Marietta Magnesia Specialties are the key players operating in the magnesium oxide segment. Other players include Nedmag B.V., Kyowa Chemical Industry Co, and MAGNESIA GmbH.
- K+S Group is a leading company operating in the magnesium chloride segment of the market. It accounted for 22.4% share in 2018. Compass Minerals, Intrepid Potash, Inc., Israel Chemical Company, and Karnalyte Resources Inc. together held 24.7% share of the market in 2018. Other key players operating in the magnesium chloride segment include Nedmag B.V., Prochem, Inc., and Rainbow Expochem Company.
- The magnesium hydroxide segment is dominated by Japan- as well as China-based manufacturers. Konoshima Chemicals, Co Ltd and Kyowa Chemicals Industry Co Ltd are some of the players based in Japan that are engaged in the manufacture of magnesium hydroxide. Martin Marietta Magnesia Specialties, Xinyang Minerals Group, and YINGKOU MAGNESITE CHEMICAL IND GROUP CO., LTD, together, held 16.7% share of the magnesium hydroxide industry in 2018. Other key players include Nedmag B.V., Huber Engineered Materials, and MAGNESIA GmbH.
Research Scope
By Product and its Application
- Magnesium Oxide
- Industrial
- Water & Wastewater Treatment
- Agriculture
- Building & Construction
- Chemical Intermediates
- Others
- Magnesium Carbonate
- Flame Feedstock (MgO)
- Filler in Rubber Industry
- Pharmaceuticals & Cosmetic Products
- Others
- Magnesium Hydroxide
- Flame Retardants
- Water and Wastewater
- Chemicals
- Others
- Magnesium Chloride
- Deicing and Dust Suppression
- Sorel Cement
- Nutritional Supplements
- Others
- Magnesium Sulfate
- Agriculture
- Animal Feed
- Pharmaceuticals
- Chemical Synthesis
- Others
- Magnesium Hydrotalcite
- Resin Processing
- Medicine
- Wastewater Treatment
- Others
By Region
- North America
- Europe
- Germany
- France
- U.K.
- Italy
- Spain
- Rest of Europe
- Asia Pacific
- China
- Japan
- India
- ASEAN
- Rest of Asia Pacific
- Latin America
- Brazil
- Mexico
- Rest of Latin America
- Middle East & Africa
- GCC
- South Africa
- Rest of Middle East & Africa
Scope of the Report
The latest study collated and published by Vision Research Reports analyzes the historical and present-day scenario of the global magnesium derivatives market to accurately gauge its potential future development. The study presents detailed information about the important growth factors, restraints, and key trends that are creating the landscape for the future growth of the magnesium derivatives market to identify the opportunistic avenues of the business potential for stakeholders. The report also provides insightful information about how the magnesium derivatives market will progress during the forecast period of 2020-2030.
The report offers intricate dynamics about the different aspects of the magnesium derivatives market that aids companies operating in the market in making strategic development decisions. VRR’s study also elaborates on significant changes that are highly anticipated to configure the growth of the magnesium derivatives market during the forecast period. It also includes a key indicator assessment to highlight the growth prospects of the magnesium derivatives market, and estimate statistics related to the market progress in terms of value (US$ Mn) and volume (tons).
The report includes company profiles of key players that are currently dominating the magnesium derivatives market, wherein various developments, expansions, and winning strategies practiced and executed by leading players have been presented in detail.
Key Questions Answered
The report provides detailed information about the magnesium derivatives market on the basis of comprehensive research on various factors that are playing a key role in accelerating the growth potential of the market. Information mentioned in the report answers path-breaking questions for companies that are currently functioning in the market and are looking for innovative ways to create a unique benchmark in the magnesium derivatives industry, so as to help them make successful strategies and take target-driven decisions.
- Which type of magnesium carbonate minerals is likely to generate the highest revenue by 2030?
- Among all of magnesium derivatives, which derivative will hold major share of the market?
- Which derivative is expected to grow at the fastest pace during the forecast period?
- How much revenue is the magnesium derivatives market expected to generate by the end of the forecast period?
- How are key market players successfully earning revenue out of the advantages of magnesium derivatives?
- Which companies operate across the globe?
- What are the indicators expected to drive the magnesium derivatives market?
- Which regions are likely to provide profitable scope of opportunities for magnesium derivatives market competitors?
Research Methodology
The research methodology adopted by analysts for combining the magnesium derivatives market report is based on detailed primary as well as secondary research. With the help of in-depth insights of the industry-affiliated information that is obtained and legitimated by market-admissible resources, analysts have offered riveting observations and authentic forecasts of the magnesium derivatives market.
During the primary research phase, analysts interviewed industry stakeholders, investors, brand managers, vice presidents, and sales and marketing managers. On the basis of data obtained through the interviews of genuine resources, analysts have emphasized the changing scenario of the magnesium derivatives market.
For secondary research, analysts scrutinized numerous annual report publications, white papers, industry association publications, and company websites to obtain the necessary understanding of the magnesium derivatives market.
