The global magnesium market size is set to gain traction from the increasing demand for a safer alternative to lithium-ion batteries. Fortune Business Insights™ presented this information in a new report, titled, “Magnesium Market Size, Share & COVID-19 Impact Analysis, By Application (Aluminum Alloying, Die Casting, Desulfurization, Metal Reduction, and Others) and Regional Forecast, 2020-2027.” The report further states that the market size was USD 4,115.0 million in 2019 and is projected to reach USD 5,928.1 million by 2027, exhibiting a CAGR of 5.4% during the forecast period.
COVID-19 Pandemic: High Demand from Beverage Can Manufacturers to Boost Growth
The COVID-19 pandemic has caused an abrupt halt in supply chains, production facilities, and raw material mining across the globe. Hence, a wide range of industries are struggling to keep up with regular revenues to sustain in the market. But, the demand for magnesium is set to surge owing to its increasing application in the beverage can manufacturing industry. Our detailed research reports will provide the best insights into the market for battling the pandemic.
Drivers & Restraints-
Increasing Usage in Automotive Components to Accelerate Growth
Being one of the lightest metals with excellent strength, magnesium is capable of resisting high temperatures. It is used to manufacture automotive components by alloying with aluminium. The U.S. Automotive Material Partnership declared that 90 lbs of Mg can replace 150 lbs of aluminum, while 250 lbs of the same can replace 500 lbs of steel. It can reduce around 15% of the weight of vehicles. These factors are expected to propel the magnesium market growth in the near future. However, the metal has low corrosion resistance, which, in turn, may hamper growth.
Desulfurization Segment to Grow Steadily Fueled by Rising Government Investments
Based on the application, the desulfurization segment earned 13.2% in terms of the magnesium market share in 2019. This growth is attributable to the increasing investments by government agencies, especially in developing nations to enhance their pre-existing infrastructures.
Information Source: https://www.fortunebusinessinsights.com/magnesium-market-104713