Refractories are key production components that are integral to the recovery of America’s manufacturing sector. In the short term, the $2.6 billion refractory industry will face significant challenges as its largest market, iron and steel production, slows. In the US, sales of refractories used in iron and steel production will be weakened by the decline in the production of fracking-related steel pipe, while on a global scale, refractory suppliers will experience more limited sales opportunities as China idles 100-150 million tons of steel capacity by 2020 — an amount larger than the entire US output. To combat these issues, refractory manufacturers are adopting new strategies.