The molybdenum market comprises molybdenum metal, molybdenum ores and other molybdenum-containing materials that have various industrial applications. Molybdenum is an excellent material for increasing corrosion resistance and enhancing mechanical properties in steel. It is also used as a lubricant in grease and as a catalyst material. Molybdenum-containing chemicals are fundamental to numerous industrial processes including petrochemical and metal finishing applications.

The global molybdenum market is estimated to be valued at US$ 364.04 Mn in 2024 and is expected to exhibit a CAGR of 4.8%  over the forecast period 2024 to 2030.

Key Takeaways

Key players operating in the molybdenum market are Baxter International Inc., GlaxoSmithKline plc, Novartis AG, Perrigo Company plc, Caleb Pharmaceuticals, Inc., Myungmoon Pharma Co. LTD., Alchem International, Phytex Australia, Centroflora-Cms, Alkaloids of Australia, and Fine Chemicals Corporation. Molybdenum has wide applications as an alloying element in the stainless steel industry. The growing demand from the construction and infrastructure sector is expected to drive the global molybdenum market. Additionally, development of molybdenum-based catalysts and expansion of end-use industries such as oil & gas and chemical processing in Asia Pacific is expected to boost the demand for molybdenum over the forecast period.

Market Drivers
Molybdenum plays a crucial role in increasing corrosion resistance and strength of stainless steel. Growth in the global stainless steel industry is driving the demand for molybdenum. Molybdenum is used in manufacturing corrosion resistant pipes, vessels and equipment for the oil & gas industry. Increasing demand from the oil & gas sector is a key growth driver for the Global Molybdenum Market Size. With rising investment in process industries and infrastructure projects globally, the market size of molybdenum is expected to experience steady growth over the next few years.

Impact of geopolitical situation on Molybdenum Market Growth

The current geopolitical dynamics are impacting the growth of the global Molybdenum market. Rising political tensions between major trading partners like the US and China could disrupt supply chains and exports. This will hamper the availability of Molybdenum which is a crucial input material across many industries like steel, chemicals, and aerospace. The ongoing Russia-Ukraine conflict is also a major concern since Russia is one of the largest producers and exporters of Molybdenum globally. Any sanctions or trade restrictions on Russia will squeeze supply. The companies in the Molybdenum market will need to closely monitor the geopolitical developments and have alternate sourcing strategies ready. They may try to diversify supplies away from politically volatile regions and forge new strategic partnerships. Adopting circular business models to recover and reuse Molybdenum from scrap can help regain some control over volatility in virgin supplies.

Molybdenum Market Concentration in key Geographical Regions

In terms of value, the Molybdenum market is highly concentrated in China, followed by the United States and Chile. China alone accounts for almost half of the global Molybdenum reserves and has consistently grown its mining and processing capacities over the years. It is currently the largest producer as well as consumer of Molybdenum globally. The United States relies significantly on imports to meet its domestic Molybdenum needs mainly from Chile and China. Chile is endowed with the second largest Molybdenum reserves worldwide and has well-established mining industries for the said metal. These three nations will continue dominating the geographical landscape of the Molybdenum market owing to abundant resources and robust industrial infrastructure.

Fastest Growing Region in the Molybdenum Market

The Asia Pacific region, excluding China and India, is expected to grow the fastest in the global Molybdenum market during the forecast period. This is attributed to rapid industrialization and infrastructure growth across Southeast Asian countries. Vietnam, Indonesia, and the Philippines in particular are witnessing massive investments and expansion in key end-use industries like construction, machinery, automotive, oil & gas, and renewable energy where Molybdenum has widespread applications. ASEAN’s commitment towards sustainable development goals also provides impetus to adopt emerging technologies leveraging Molybdenum. Thus, growing manufacturing bases, rising standards of living and green initiatives will drive the consumption of Molybdenum significantly in the Asia Pacific region over the next eight years.

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