Molybdenum is a rare metal found naturally in the Earth’s crust. It is silvery-gray metal known for its strength and corrosion resistance. Molybdenum is extensively used in construction activities owing to its hardness and high resistance to heat and chemical attacks. It is used as an alloying agent to strengthen steel and cast iron. Stainless steel containing molybdenum is stronger, tougher and more corrosion resistant than regular steel. It is also used as an alloying element in superalloys and tool steels due to its high melting point. Additionally, molybdenum compounds are widely used as catalysts and pigments as well. The global construction industry has been witnessing steady growth over the past few years driven by urbanization and rising infrastructure investments. This has augmented the demand for molybdenum and molybdenum products thereby driving the market growth.
The global Molybdenum Market is estimated to be valued at US$ 316.0 Billion in 2023 and is expected to exhibit a CAGR of 4.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Key Trends:
One of the prominent market trends is the increasing use of molybdenum in green technology applications. Molybdenum acts as an excellent substitute metal for precious metals in fuel cell catalysts. Fuel cells consume less fuel and emit less pollutants making them environment-friendly. Government policies promoting clean energy technologies have propelled the adoption of fuel cell technology worldwide. This is expected to boost the demand for molybdenum in the coming years. Another key trend gaining traction is the growing usage of molybdenum in the oil & gas industry. Molybdenum alloys offer superior resistance against corrosion under high pressure and temperature conditions experienced in drilling and production operations. The resilient engineering properties of molybdenum enable it to withstand harsh oilfield environments. Thus, increasing oil & gas exploration and production activities particularly in offshore locations are estimated to ultimately lift the consumption of molybdenum metal and alloys.
Threat of new entrants: The molybdenum market has moderate threat of new entrants as it requires large capital investments and established supply networks.
Bargaining power of buyers: Buyers have moderate bargaining power due to availability of several suppliers and substitutes in the market.
Bargaining power of suppliers: Suppliers have high bargaining power due to limited number of suppliers and reliance of buyers on them.
Threat of new substitutes: Threat of new substitutes is low as molybdenum has established applications and no direct substitute is available.
Competitive rivalry: The competition in the market is high due to presence of major established players.
The Global Molybdenum Market Size is expected to witness high growth over the forecast period.
The Asia Pacific region currently dominates the market and is expected to maintain its dominance during the forecast period due to rapid industrialization and growth of end use industries in the region.
Key players: Key players operating in the molybdenum market are Rio Tinto, China Molybdenum, Freeport-McMoRan Inc., Codelco, Groupo Mexico, and Thompson Creek Metals Company Inc.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it