Magnesium Hydroxide Market 2017-2027
Magnesium hydroxide is an inorganic alkaline compound manufactured by hydration of magnesia and is also found in nature in the forming mineral (brucite). It is used across environmental applications, such as flue gas desulphurization, wastewater treatment, and flame retardant & smoke suppressants. In the pharmaceutical industry, it is used as laxatives or antacids. Moreover, it is also used as a pulp bleaching, fuel additives, abrasives, leather, etc. Furthermore, other applications include the production of ceramics, salts, lubricating oil, and food additives.
The global magnesium hydroxide market is projected to reach US$ 1083.7 million by the end of 2027, in terms of revenue, growing at CAGR of 5.8% during the forecast period (2019 to 2027).
Growing usage of magnesium hydroxide in flame retardant in order to replace the halogenated flame retardants due to rising health concerns are predominantly fueling the market growth of magnesium hydroxide. According to the Coherent Market Insights, brominated flame retardant additives are banned in most of the markets such as Europe, Asia, and North America due to neurodevelopmental toxicity, thyroid effects, and other side-effects on human health and magnesium hydroxide are projected to see a rise in demand as an alternative additive in these regions.
Growing usage of magnesium hydroxide in flue gas desulphurization for extracting high-quality petroleum products is estimated to augment the market growth of magnesium hydroxide. Deployment of the SO3 removal system is necessary across power plants and other industries in order to remove sulfur content in fuel which can cause corrosion of machinery and impact the performance of machines. Therefore, rising demand need for the removal of sulfur content from the fuel is expected to propel the market growth of magnesium hydroxide.
Regionally, Asia-Pacific dominated the global magnesium hydroxide market in 2018, reporting 38.8% market share in terms of revenue, followed by Europe and North America, respectively.
Figure 1. Global Magnesium Hydroxide Market, Revenue Share (%), By Region, 2018
The availability of substitutes such as caustic soda as it is an ideal neutralizing agent is expected to hinder the market growth of magnesium hydroxide. Most of the neutralizing systems installed in the industry are intended to use caustic soda as it has a higher reaction rate. However, using magnesium hydroxide system has to be reconfigured and this can be expensive. The aforementioned factors are expected to restrict the market growth of magnesium hydroxide.
Excessive consumption of magnesium may cause diarrhea and other side effects such as vomiting and cramping. This factor is expected to restrict the consumption of magnesium hydroxide, in turn hindering the market growth of magnesium hydroxide. Moreover, a high level of magnesium hydroxide in the blood may weaken muscles, leads to irregular heart rate and difficulty in breathing & mood swings. Such side-effects associated with the magnesium hydroxide is expected to impact the market growth negatively.
The growing application of magnesia in the steel industry as a refractory brick which is impregnated with carbon to offer excellent properties of corrosion resistance to the environment are propelling the market growth of magnesium hydroxide. Moreover, sprayable and castables based on magnesia are broadly used as a basic refractory lining for steel transfer applications. Therefore rising demand for magnesium hydroxide from the steel industry as a refractory brick is expected to foster the market growth over the forecast timeframe.
Rising usage of magnesia powder as filling for electrical heating materials is propelling the market growth of magnesium hydroxide. Fused magnesia has an excellent combination of thermal conductivity and electrical resistance. As it forms a layer between the element and the outer sheath. Moreover, magnesia is also used as mineral insulation across cables application. Therefore, emerging aforementioned application of magnesia is expected to augment the market growth of magnesium hydroxide.
Figure 2. Global Magnesium Hydroxide Market – Opportunity Analysis
A growing number of partnerships among key players in order to strengthen the distribution and production of magnesium hydroxide is projected to augment the market growth over the forecast timeframe. For instance, in March 2019, Magnesium Producers NEDMAG and TIMAB MAGNESIUM have announced a strategic partnership for the development and commercialization of Magnesium Hydroxide in Marine Gas Scrubber Systems. Therefore, rising adoption such collaborative strategies among players is expected to accelerate the market growth of magnesium hydroxide.
Growing investment in the storage and production of magnesium hydroxide by the manufacturer is projected to foster market growth over the forecast timeframe. For instance, in June 2015, Nedmag Industries in Veendam, The Netherlands, will be expanding its magnesium hydroxide storage capacity. With the expansion of the magnesium hydroxide storage capacity, Nedmag forecast to meet the increasing demand for its magnesium hydroxide, especially in the pulp and paper industry.
Figure 3. Global Magnesium Hydroxide Market, Revenue Share (%), By Application, in 2018
On the basis of application, in 2018, environmental accounted the largest market share of 47.5% in terms of revenue, followed by flame retardant and pharmaceutical, respectively.
Figure 4. Global Magnesium Hydroxide Market – Value Chain Analysis
Key players active in the magnesium hydroxide are Nedmag Industries Mining & Manufacturing B.V., Nabaltec AG., Huber Engineering Materials, Kyowa Chemical Industry Co. Ltd., Konoshima Chemicals Co. Ltd., Tateho Chemical Industries Co., Ltd., Baymag Inc., Sakai Chemical Industries Co. Ltd., Lehmann & Voss & CO. KG., Martin Marietta Materials Inc., Xinyang Mineral Group, Premier Periclase Ltd., Israel Chemicals Ltd., and Premier Magnesia LLC.
Few Recent Developments
Nedmag Industries Mining & Manufacturing B.V.
- In June 2015, Company announced a strategic alliance with Imerys S.A. to co-develop magnesium hydroxide bleaching technology and products to serve pulp and paper market
- In February 2016, Company established its first fully own subsidiary, Nabaltec Asia Pacific K.K. in Tokyo, Japan to be engaged in marketing and sales of its entire product folio in the Asia market