Refractories Market Size and Share Analysis by Product (Clay Refractory, Non-clay Refractory), Alkalinity (Basic, Acidic & Neutral), Form (Bricks & shapes, Monolithic), End-User (Iron and Steel, Energy and Chemicals, Nonferrous Metals, Cement, Glass) – Global Industry Growth Forecast to 2030

Market Overview

The global refractories market revenue stood at $27.8 billion in 2021, and it is projected to reach $42.2 billion by 2030, growing at a compound annual growth rate (CAGR) of 4.7% between 2021 and 2030. The industry is mainly driven by the large-scale infrastructure development, growing glass industry, and increasing use of non-ferrous materials.

Refractories are used as an essential material on inner furnace linings in large industries as they are resistant to heat (maintain strength and shape at high temperatures), pressure, and chemical assault. They can tolerate temperatures ranging from 500 to 3,326°F, whereas steel's melting point is around 2,802°F. The melting temperature of refractory materials in their pure condition ranges from 3,300 °F to 6,000°F.

Iron and Steel Industry Is Highest Revenue Generator in Market

The iron and steel industry accounted for the largest share in the global refractories market, of around 65%, in 2021. This is because this is the world's largest user of refractory materials, accounting for almost two-thirds of the total consumption. There are a variety of vessels, such as the blast furnace and electric arc furnace, as well as the more-maintenance-intensive components, such as launders, tapholes, and submerged entrance nozzles, used in the primary and secondary steelmaking processes in large units. Hence, as the demand for steel in the building, automotive, and other sectors grow, so does the need for refractories.

Bricks and Shapes Are Most-Widely Used Refractories

The bricks and shapes category had the larger market share, of around 60%, due to the high demand for refractory products from the metal and non-metal industries. Bricks are needed to build the insulation layer within the ovens and kilns, and they are replaced on a regular basis to suit the customer's insulation requirements. This is the key cause for the bricks and shapes category’s bigger proportion of the refractories market.

The monolithic and unshaped category is also likely to grow significantly over the forecast period, owing to the increasing need for form linings inside kilns, where the placement of shaped refractories becomes difficult due to space restrictions.

Rampant Infrastructure Development Is Driving Market

The construction industry is rapidly growing, especially in developing nations, such as India and China, despite the temporary setback caused by the COVID-19 pandemic. For instance, as per a report released by the National Bureau of Statistics of China, the construction output value in the country was CNY 9.6 trillion in 2010, which increased to CNY 26.39 trillion in 2020.

With the growing infrastructure development, the requirement for iron and steel is booming in various sectors, such as railways, roadways, and residential construction. Hence, the increasing construction activities would, in turn, fuel the demand for refractories.

Major Opportunity Area

The recycling of refractory materials is one of the major opportunities in the market. Used refractory materials can be recycled to create secondary raw resources. Numerous factors have influenced the change toward refractory recycling, one of which is the rising prices and diminishing supply of good-quality raw materials.

Moreover, companies have been under increasing pressure to become more environmentally conscious, by decreasing their carbon footprint. Moreover, government initiatives on tax reduction are being proposed to encourage businesses to recycle more waste. The early part of 2009 saw a drop in refractory sales due to the economic downturn. Thus, manufacturers are attempting to lower their prices in order to maintain their market position, by recycling these materials.

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APAC Held Largest Revenue Share

Due to the existence of numerous end-use industries, such as iron and steel, cement, and glass, the APAC refractories market size was approximately $17 billion in 2021, and it is predicted to have the largest share in the global market during the forecast period as well. According to the World Steel Association, APAC accounts for more than 70% of the worldwide steel output, with China alone responsible for roughly 50%.

The People’s Republic produced 1,053 million tons of crude steel and 1,325 million tons of steel products in 2020, recording a year-on-year increase of around 5% and 8%, respectively. Similarly, India produced around 100 million tons of steel. The industry is mainly driven by the domestic availability of raw materials, primarily iron ore, and cost-effective labor.

These are the most-important factors for the dominance of APAC on the global market. Additionally, the growing non-ferrous metal industries in the region are fueling the demand for refractory products.

To Increase Market Share, Companies Involved in Partnerships and Acquisitions

Major players in the refractories industry have been involved in partnerships and acquisitions to remain competitive. For instance:

• In May 2021, ArcelorMittal Refractories, a part of the ArcelorMittal Group, signed a partnership agreement with Krosaki Harima Corporation operating within the Nippon Steel Group. The partnership is aimed at maximizing production and widening the refractory product portfolio of ArcelorMittal Refractories, with Krosaki Harima supplying the manufacturing technology, and offering Europe-based steel mills customer services for related products.
• In March 2021, Refratechnik Group and Höganäs Borgestad Group entered into a strategic agreement for the supply of refractory products.
• In June 2020, Morgan Advanced Materials acquired Carbo San Luis after 22 years of partnership.

Key Players in Global Refractories Market Are:

• Alsey Refractories Co.
• Corning Incorporated
• Harbinson Walker International
• Krosaki Harima Corporation
• Morgan Advanced Materials
• Puyang Refractories Group Co. Ltd.
• RHI Magnesita GmbH
• Ruitai Materials Technology Co. Ltd.
• Saint-Gobain
• Shinagawa Refractories Co. Ltd.

Market Size Breakdown by Segment

The research offers the global market size of the refractories for the period 2017–2030.

Based on Product

• Clay Refractory
• Non-clay Refractory

Based on Alkalinity

• Basic
• Acidic & Neutral

Based on Form

• Bricks & shapes
• Monolithic

Based on End-User

• Iron and Steel
• Energy and Chemicals
• Nonferrous Metals
• Cement
• Glass
• Others

Geographical Analysis

• North America
  • U.S.
  • Canada
• Europe
  • U.K.
  • Germany
  • France
  • Spain
  • Italy
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea
• Latin America
  • Brazil
  • Mexico
• Middle East and Africa
  • Saudi Arabia
  • South Africa