Magnesium is not as strong as aluminum, however, it is about 33% lighter by volume. That gives it a better strength-to-weight ratio than aluminum. If you make two parts equally strong, one from aluminum, and one from magnesium, the magnesium part will have to be larger to offset the lower strength of the material.
As for manufacturing process. In casting, the metal is melted into a liquid, and then poured into a mold. This makes nice consistent parts, and is a relatively inexpensive process. With forging, the metal is not melted. Solid blanks are placed in a mold, and a huge press forces the metal into the desired shape. This process produces much stronger parts than casting because the grain structure of the metal becomes all aligned. Because you have to buy a huge press, and the forms must be much stronger, this is a much more expensive process than casting.
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