Iron, aluminium and copper may be the most widely used metals, in terms of volume, but there is a host of "minor" metals with a myriad of different uses. From antimony, used for fire retardants, to zinc, used in galvanised steel, some of these metals are not widely known beyond chemistry classes and specialised industry.

Yet some of these metals, like rare earths mentioned in Chapter 9, have increased in significance and have assumed strategic importance in the global effort towards transition to net zero emissions. As the world moves to consume more of its energy in the form of electricity, which increasingly comes from renewable sources, metals which are necessary for the generation, distribution and consumption of this electricity are more sought after than before. A small example of how important these metals are deemed is given in Exhibit 1.

Nickel

Nickel is well known for its anti-corrosive properties and shiny outlook and it is commonly used for the production of stainless steel, together with ferrochrome, and for plating several cheaper substrate materials in order to give them a polished, attractive look. Known to miners since the 18th c. as Kupfernickel (Old Nick's copper), nickeline (nickel arsenide), a poisonous nickel ore, was mistaken for copper ore. For years, nickel has been present in the very familiar nickel-cadmium (Ni-Cd) rechargeable batteries which are used to power a wide range of electronic appliances.

It is more recently that nickel has been classified as a 'strategic metal', given its importance in the formation of the cathode in Li-ion batteries. We take a look at this and other uses for nickel later on.

Physical characteristics

• nickeliferous limonite, a nickel-rich iron ore composed of iron oxides - hydroxides, which we also encountered when discussing iron, and is found in Indonesia, Australia and Brazil;

• garnierite, a green nickel ore containing nickel-magnesium (Ni-Mg) silicates, mostly found in Russia, New Caledonia and the Dominican Republic;

• pentlandite, an iron-nickel (Fe-Ni) sulphide which is found in magmatic deposits in Australia, Canada, Namibia, Philippines and, notably, Russia in the giant Norilsk nickel deposit in Siberia, alongside chalcopyrite, which was mentioned in the chapter on copper.

Despite the apparent abundance of nickel ores, the actual nickel metal content is rather low, ca. 1%. This is why the ore is turned into concentrates which are traded in a manner similar to copper concentrates.

Nickel has several important physical characteristics, including:

• corrosion resistance;

• high ductility;

• alloying with several other metals;

• magnetic at room temperature;

• ability to be deposited by electroplating;

• catalytic properties;

• full recyclability

Supply determinants

Global nickel resources are estimated to be ca. 300-350m tons, with about 60% in laterites and 40% in sulphide deposits.[2] Reserves, on the other hand, are ca. 100m tons. The location of the various nickel ores, shown in Exhibit 2, provides hints as to the key reserve holders and producers of the metal, which are shown in Exhibit 3. Indonesia, Australia and Brazil are the top three reserve holders and together they have nearly 60% of global reserves. Indonesia is also the top producer of nickel, approximately a third of the world total, mostly in the form of concentrates. It is followed, at some distance, by the Philippines, Russia and New Caledonia. Exhibit 4 shows the 10-year development of global production and reserves. Exhibit 5 shows nickel mines.

Processing varies according to the type of ore, but it usually involves crushing and then concentration, in a manner similar to copper. For sulphidic ores, the next stage uses either leaching (hydrometallurgy) or flash smelting (pyrometallurgy). The latter uses coking coal to reach the high temperature required to melt nickel (1453ºC), which is higher than copper (1085ºC). Lateritic ores are kiln dried to remove moisture and then smelted in electric furnaces with extra cooling blocks to withstand the high temperatures required. The final stage is electrolytic refining which yields cathodes of 99.9% pure nickel which can be used in high-end applications.

Demand determinants

Around two thirds of nickel is sold as ferronickel to be used for the production of stainless steel. There are several types of stainless steel, of which the two most common types are 304 (also known as 18/8 and containing 9% Ni) and 316 (11% Ni and 2% Mo to increase corrosion resistance). The rest of nickel is sold as refined metal, whether in cathode, powder or briquette form. This is then used for many different applications, such as:

• nickel plating using several different, cheaper, substrates, ranging from plastics to other metals and with numerous architectural and building applications in the construction industry, especially when stainless steel is used;

• superalloys like Inconel 600, a Ni-Cr-Fe alloy which is used in jet engines (blades and other parts), components used in chemical, thermal and petrochemical processing, power generation, biofuel production, and waste processing;

• base metal alloys like cupronickel, a Cu-Ni alloy (typically 90-10 or 70-30 Cu-Ni and additional metals in smaller quantities) with high resistance to corrosion from sea water, which is used in offshore platforms and wind turbines, ship hulls and propellers, seawater pipes for desalination plants, underwater fencing, medical equipment and cryogenics - see Exhibit 6 for the various uses of nickel for initial form and Exhibit 7 for end uses.

Trade and pricing

Nickel is traded in a number of different forms, ranging from ore and concentrates, to unwrought nickel, nickel mattes and oxides and several semis, including plates, sheets, strip, bars, rods, tubes and pipes. Exhibits 9 and 10 show the top exporters and importers of ore and concentrates. Philippines is by far the biggest such exporter with over 80% of global exports, while China is in a similar situation with over 70% of global imports.

Exhibits 11 and 12 show the top exporters and importers of all nickel items in value terms. This presents an interesting picture with countries like the USA, Germany, Norway and the UK appearing on both sides. This is similar to what we have seen with aluminium and copper in earlier chapters; countries import raw materials, such as nickel matte and oxides, and turn them into semis and finished products. Let's look at two exporters: Canada and Indonesia, the latter being the world's largest producer. In 2024, Canada exported $3.2bn worth of nickel products, of which $1.7bn of unwrought nickel and $1bn of nickel mattes. Indonesia, on the other hand, exported $8bn in total, with practically all of it ($7bn) being mattes.

Taking now an example of a country appearing as both an importer and exporter, let's look at the USA. The country imported in 2024 $3.6bn worth of nickel products, $1.5bn of which is unwrought nickel and the rest semis. The USA also exported $4.4bn worth of nickel products, $1.5bn of which are finished nickel products, another $1.4bn in bars and rods and the rest are other semis and scrap. This confirms the earlier observation about importing raw materials and unwrought copper and turning them into finished products and other semis.

We take a final look on trade in Exhibits 13 and 14, where the top exporters and importers of ferronickel are shown; this is the material used in the manufacturing of austenitic stainless steel. Ferronickel is one of the four main ferroalloys traded internationally; the other three are ferro-silico-manganese, ferro-silicon and ferro-manganese. In 2024, approximately 10 million tons were traded, with Indonesia generating over 90% of exports and China over 90% of imports.

Nickel is also traded on SHFE in China and MCX in India, but they are mostly intended for local traders. As a result, the LME is considered as the price setter for the international nickel market, and is also used as a benchmark for refined nickel prices in domestic markets, as well as for differential pricing of nickel concentrates. On the latter topic, it is worth revisiting the discussion in Chapter 12 on pricing copper concentrates, as this reflects the common pricing practices for most non-ferrous base metals, including of course nickel.

Lithium

At the top left of the periodic table, right below hydrogen, sits lithium (Li), the first in the group of alkali metals, which also include sodium (Na), potassium (K), and the rarer rubidium Rb), caesium (Cs) and francium (Fr). This group is named from the way the elements react vigorously with water to produce acid-attacking compounds called alkalis. None of them is found in a pure form in nature, but Li, Na and K are common in many minerals.

Physical characteristics

It can be produced with two methods: acidic and alkaline. In the acidic method, spodumene is reacted with sulphuric acid to extract lithium sulphate. Sodium carbonate is then added to the solution which produces lithium carbonate. Subsequently, with the addition of hydrochloric acid (HCl), lithium chloride is produced, which is then used as feedstock in electrolytic tanks to produce lithium metal.

In the alkaline method, spodumene is roasted with calcium hydroxide to produce lithium hydroxide, which is more desirable for certain types of batteries. e.g. NCA and NCM811, whereas NCM622 and NCM523 may use either carbonate or hydroxide. Hydroxide is also used to produce LFP batteries using the hydrothermal method.

Supply determinants

Lithium is found in mineral compounds such as lepidolite, which dissolve well in water. It is also found in granitic pegmatites, such as spodumene and petalite. Exhibit 17 shows samples of the three key lithium ores. Exhibit 18 shows lithium brine lakes, where the mineral (typically lepidolite or petalite) is exposed to leaching, from where lithium is recovered. 

Until the 1990s, the main reserve holder and producer of lithium was the USA. Since the turn of the century, however, the quest to discover more lithium for battery applications led to the expansion of reserves in S. America and Australia. The world's largest reserve holder is currently Chile, followed by Australia and Argentina. At the time of writing, Bolivia seemed to hold great promise, but no commercially viable reserves have been booked yet. China has also developed its own reserves and absorbs a lot more lithium in its various forms, as it is currently the leader in battery manufacturing, both for domestic needs and for global exports. The great challenge for supply is how fast it can expand in order to catch up with the forecast increase in demand expected in the next 20 years, which is what makes lithium a critical metal for the energy transition.

Lithium extraction for minerals is the most conventional way of acquiring the metal. However, an alternative method is causing excitement in this industry: direct lithium extraction (or DLE) from brine. According to Goldman Sachs, this technology may nearly double production yields, with the added bonus of offering sustainability benefits and ESG credentials, inlcuding lower land and water usage.

A final note on supply is a mention of some of the key suppliers of lithium:

• Albermale (US)

• SQM (Chile)

• Ganfeng Lithium (China)

• Tianqi Lithium (China)

• Mineral Resources (Australia)

Demand determinants

As discussed earlier, batteries is the key application for lithium. Lithium carbonate (also known as lithium salt) and lithium hydroxide are both used for Li-ion batteries - see Exhibit 8 for examples and the earlier discussion on the use of carbonate versus hydroxide for the various type of NMC batteries and LFP. Lithium-cobalt oxide (LCO) batteries are also used, but they remain restricted to lower power applications, such as laptops, smartphones and tablets. Finally, another alternative are lithium-manganese oxide (LMO) batteries.

There are other applications where lithium is used though:

• carbonate is used for anti-depressant medicines, heat-resistant glass and ceramics or artificial teeth;

• fluoride (LiF) is used for scientific equipment, such as telescopes, to stop the mirror disc warping at extreme temperatures;

• stearate (C18H35LiO2) is used for grease;

• Al-Li alloy is used for aircraft and bicycle frames;

• Mg-Li alloy is used for armour plating

Trade and pricing

As one would expect, lithium is traded quite actively, both in the form of carbonates (Exhibit 18) and hydroxides (Exhibit 19). Chile is the top exporter of carbonates with over 980% of global exports, with China, S. Korea and Japan the main importers. As for hydroxides, China is the main exporter with almost 60% of the total, while S. Korea and Japan are the two main importers.

Cobalt

Just as 18th c. German miners named nickel after Kupfernickel, their medieval ancestors mistook cobalt ores for precious metals. As they tried to purify, them arsenic gas was released which made them sick, so they named it kobold - the 'goblin'. Cobalt (Co) is another transition metal, sitting between iron (Fe) and nickel (Ni) on the periodic table. It has a multitude of uses, but historically cobalt compounds have been used to get the dye cobalt blue, which was used as a dye. It has been detected in Egyptian statuettes and Persian necklace beads as early as the 3rd millennium BC, in glass in the Pompeii ruins and the blue porcelain of the Ming dynasty.

Physical characteristics

Supply determinants

Just like lithium, cobalt is a relatively small metal with production in the thousands rather than million tons. It occurs in a number of primary ores, such as erythrite, skutterudite and cobaltite, all of which contain arsenic. These three are shown in Exhibit 27, alongside cobalt blue which is not a cobalt ore - it is actually made by sintering cobalt oxide with aluminium oxide. In fact, practically no cobalt ore is mined for cobalt; instead it is essentially a by-product of the mining of other metals, such as nickel, copper, iron, silver, manganese and zinc. As can be seen in Exhibit 28, most cobalt is a by-product of copper and nickel mining and, therefore, has a rather low supply elasticity. However, the intense demand for this metal may entice miners to look further and harder for this critical material.

In the copper-cobalt ores in Central Africa and Russia, cobalt occurs in sulphides, oxides and carbonates. In Canada, Russia and Australia, cobalt appears in copper-nickel-iron sulphides. In Morocco cobalt is mined from the three cobalt arsenides shown in Exhibit 27. When mined with copper, the ore is treated to produce a copper-cobalt concentrate, then with flotation this is turned into a cobalt-rich concentrate with ca. 15% Co. Cobalt is then recovered either with pyro- or hydrometallurgical methods, including electrowinning, similar to copper.

The key characteristic of cobalt's supply is the dominance of DR Congo, which produces ca. 70% of global supply and holds nearly half the world's reserves. Exhibit 29 shows production and reserves in 2024, with DR Congo (DRC) producing 220k tons. In Exhibit 30 it can be seen that production started increasing since 2018 and reserves have also expanded, reflecting the increased demand for battery applications, especially for EVs.

The DRC has had a similar share of the market for cobalt since the 1920s, but this was not a problem when cobalt was used in small quantities scattered across many end uses. In recent years, the supply chain of cobalt has attracted international interest, as it has become a key battery component for EVs and electricity storage. Most of the mines are located in the south part of the country, around Kolwezi (see Exhibit 25). The three main companies involved in production are: the state-owned Gecamines; the Chinese CMOC; and Glencore through Mutanda Mining. There are other companies, such as Wambao Mining, CNMC, ChenTung Mining and Trafigura, but they tend to attract far less interest than the three main ones.

In addition to who controls the supply of cobalt, there are also ESG aspects which have attracted the interest of several investigative journalists. A small, but sizeable, amount of production comes from artisanal and small scale mining (ASM), estimated to be around 10-12% of total DRC production. ASM is done in rather dangerous conditions, with very little regard for health and safety, without proper equipment, in mines which look more like rabbit warrens rather than properly excavated underground operations.

Demand determinants

As mentioned above, cobalt has been used since antiquity for pigments; it is what gives the blue colour to porcelain and glass. Before WWI, the key consumers were the glass and ceramic industries. Although cobalt is still used for pigments today, it all the industrial uses which make it such a sought-after commodity. Of these uses, batteries for EVs accounts for a third of total demand, with another 30% for other battery applications (e.g. electricity storage systems or ESS). Exhibit 7 shows how cobalt is used in NCA and NMC batteries, while Exhibit 33 shows that by 2040 cobalt demand could almost triple to over 450k tons, from the 2023 level of 180k. Exhibit 34 shows the exponential growth in electric LDVs (private EVs), with the fleet exceeding 40 million vehicles in 2023, while Exhibit 35 shows the similar growth in annual sales for the same EVs. The only threat to the continued need for cobalt is the adoption of alternative battery technologies, such as LFP, which has started making its appearance in several EVs in the Chinese market, as well as the Tesla 3.

Except battery applications, the remainder cobalt is used in industrial metals, chemicals and superalloys. Some of these other uses are:

• to improve high-temperature strength and corrosion resistance of steel alloys, such as those used for jet engine blades and artificial joints;

• to make magnetic alloys for permanent magnets, such as AlNiCo.

In the form of Cobalt-60 isotope it is used:

• • to irradiate food;

  • in cancer treatment, as a tracer and for radiotherapy;

  • in place of X-rays or radium in the inspection of materials to reveal internal structure flaws, or foreign objects.

Trade and pricing

There are three main products in the UN commodity trade database which contain cobalt: mattes (8105), oxides and hydroxides (2822), and ores and concentrates (2605). Of these, only the first two have flows worth reporting, but only data on mattes are relatively more reliable. Quantities are larger compared to lithium but still relatively small. The value of trade for mattes is ca. $5bn and that for oxides another ca. $5bn. The data given in the two exhibits below are in thousand tons. Exhibit 36 shows data for mattes exports, while Exhibit 37 shows imports. What is immediately evident from the two exhibits is that trade is dominated by two countries: DRC on the exporting side and China on the importing one. This is hardly surprising, given the dominance of DRC in production and the leading role of China in cobalt refining and battery manufacturing.

Zinc

At the top right corner of the transition metals group in the periodic table of elements lies zinc (Zn). With 65g for every ton of the earth's crust (65 ppm), it is the 23rd most abundant element, a little more abundant than copper. It was known to ancient Greeks who named it "ψευδάργυρος" (false silver), but they did not have any means to extract it in meaningful quantities; it was formally identified as a new element in the 18th c. Zinc has many uses, from galvanising steel, to alloys and in the form of compound in the rubber, chemical and many more industries. In addition, zinc is found in some foods, such as oysters, red meat, and whole grains. It is an essential nutrient for humans and animals. It is involved in a number of important bodily functions, including the growth and development of cells, the immune system, and the production of enzymes.

Physical characteristics

• In pyrometallurgy:

  • the zinc oxide concentrate is mixed with lead oxide concentrate, sintered (as for iron ore) and mixed with coking coke (the fuel);

  • the mixture is fed into a shaft furnace into which hot air is blasted through tuyeres, like an iron ore blast furnace, but this time the products are zinc-bearing gas which rises to the top and lead collected at the bottom (see left panel of Exhibit 35);

  • the gas stream is directed to a lead-splash condenser, a chamber in which an intense shower of lead droplets is thrown up by rotors revolving in a pool of molten lead;

  • the zinc vapour is absorbed into the lead, and, by withdrawing the lead continuously and cooling it, the saturation point of zinc in lead is reached and molten zinc separates as a distinct layer on the surface; the zinc overflow is removed and the partially cooled lead is returned to carry out further shock-chilling.[3]

Demand characteristics

A mentioned earlier, zinc has a multitude of uses, but the one single most important use is galvanisation, a process which attaches zinc to the surface of steel products in order to provide corrosion protection. This protection is not permanent, as in the case of stainless steel, but it can be long-lasting and, more importantly, more cost-effective. The most common process for coating steel with zinc is called hot-dip galvanisation. This can be done by first immersing steel in acid (pickling), then dipping it in a bath of molten zinc at a temperature of 450ºC. Layers of iron-zinc alloy are formed on the surface, with an outer skin of zinc. This process can be seen at the top right of Exhibit 43.

Hot-dipping can also be a batch process by dipping a continuous strip of steel coil in pure molten zinc with small amounts of aluminium, which gives the resulting coat more flexibility (see the bottom right of Exhibit 43). A typical application of zinc-coated steel strip is for car bodies. An alternative coating method is to use a continuous plating line to deposit an electro-coat of zinc with 12% nickel content, which provides higher corrosion resistance and improved spot-welding capability. Electroplated galvanised sheet is also used for car bodies, where a higher quality is required in order to, for example, provide a longer anti-corrosion guarantee. Galvanisation accounts for 60% of zinc's use.

Zinc forms alloys with copper (Cu) in all proportions, but only those alloys containing up to about 45 percent zinc, and ranging in colour from red through yellow to gold as the amount of zinc increases, are in commercial use as brass. The brasses have high strengths, good corrosion resistance, and good electrical conductivity. They have wide domestic and industrial applications.

Zinc also has chemical uses, in the form of oxides. A major use is as an accelerator in the vulcanisation of rubber. It is also used in paints, acting to toughen the film, prevent yellowing, and resist mould growth. Zinc oxide is also known to have semiconducting properties; related to this is the specific property of light sensitivity, or photoconductivity, which has been applied to photocopying processes. Miscellaneous uses include incorporation in ceramics and enamels and in lubricants.

Zinc is becoming increasingly important in the renewables industry. Solar parks require galvanised steel to ensure resistance to corrosion and, therefore, longevity. Similarly, zinc coating is used in wind turbine installations. Zinc-ion batteries are also offered as a safer alternative to li-ion ones, although this has yet to take off.

Last, but not least, zinc is used for nutrition supplements and, as a high-purity oxide, for the preparation of pharmaceutical compounds, such as ointments, lotions and cosmetics.

Trade and pricing

As China is both the world's largest zinc producer and steel producer, it follows logically that it keeps most of its zinc for domestic consumption. The commodity is still very actively traded, mainly as ore and concentrate, and as oxides. Exhibits 45 and 46 show the former, where Peru and Australia are the biggest exporters, with China and S. Korea the biggest importers.

Exhibits 47 and 48 show the much smaller chemical trade in zinc oxides, where a few countries, such as USA, Mexico and Belgium appear on both sides of the trade, a case of intra-industry trade.

We take a final look at the overall trade in zinc items, whether ingots, sheets, other semis or finished goods. The total trade is in the region of $20 billion, with leading exporters as well as importers mostly located in Europe.

Zinc has been on the key metals traded on the LME for decades and Exhibit 51 shows price movements over the last decade. Zinc prices broadly followed steel prices, which came down abruptly after the 2008-9 financial crisis, recovered but remained mostly flat between 2013-2016, and increased again until 2018 with lower oil prices and higher economic growth. After the slump until the end of 2020, prices picked up again with the rebound of the Chinese economy after the Covid pandemic, reaching a peak of $4,500/ton. Doubts about how sustained this rebound would be started taking their toll on zinc prices again in the second half of 2022. In 2023, prices stabilised around the $2,500 level, but in 2024 that level moved to ca. $3,000 and this has continued to 2025 so far.

Lead

Lead's symbol on the periodic table is Pb, an abbreviation of plumbum, its Latin name, which is also the etymology of the word plumber. It is known that Romans used lead in pipes in their sanitation systems, but also in tablets, coins and cooking utensils. Unfortunately they also became susceptible to lead poisoning...

Physical characteristics

What is quite unique for lead is the fact that ca. 60% of the finished metal supply comes from recycling. For example, in 2024, total metal supply was 13m tons. Of this 4.3m came directly from mines and the remainder 8.7m (67%) from recycling. When produced from an ore, lead production follows the same process as the one we saw earlier for the pyrometallurgical production of zinc and also shown on the left panel of Exhibit 43. The process involves concentration, sintering and feeding into blast furnace with the addition of coking coal and oxygen.

Demand determinants

Lead has been around for over 5,000 years and has been used in water pipes, building materials and pigments for glazing ceramics. If there is one word that can summarise demand for lead though, it is "batteries". With the advent of the motor car at the beginning of the 20th c., the demand for lead-acid batteries for starting-lighting-ignition (SLI) has grown in parallel to the car industry. In more recent years, non-SLI battery applications have also grown. They include motive sources of power for industrial forklifts, airport ground equipment, mining equipment, and a variety of non-road utility vehicles, as well as stationary sources of power in uninterruptible electric power systems for hospitals, computer and telecommunications networks, and load-levelling equipment for electric utility companies.

As a result, the various types of batteries account for the vast majority of lead consumption, as can be seen in Exhibit 45. Besides batteries, though, lead has quite a few diverse uses:

• sheets of lead are used in buildings, especially for roof waterproofing and also noise reduction;

• its resistance to corrosion also makes it good for cable sheathing (covering);

• lead can be extruded, so it is used in making solder, together with tin;

• lead alloys are used for bearings;

Trade and pricing

Although a smaller trade, lead still manages to turnover just over $9 billion in lead metal and its products. On the exporter side, India and Australia are the two key countries, followed by a mix of European and Asian ones - see Exhibit 57. On the importer side, the US has been the leader, followed by a similar mix of Asian and European countries, some of which appear on the exporter side as well - see Exhibit 58. The most notable of those countries is India, which appears on both sides, but appears to be an overall net importer.

As with other metals, there is an active trade in ores and concentrates of lead, amounting to a total of ca. 2.5m tons. In Exhibit 59, we can see that Peru, Australia and Russia are close at the top, while China and S. Korea dominate on the importer side, as can be seen in Exhibit 60.

We finish the story of lead with a look at its price development in Exhibit 61. From 2015 onwards, prices fluctuated between $1,600-2,600/ton, mostly influenced by the demand for batteries, which in turn are driven by the demand for cars which is influenced by GDP growth, disposable income and oil prices. Eating into lead's market share are Li-ion batteries, which are increasingly used for EVs and electricity storage. It will be interesting to see how the growth of the EV fleet, at the expense of the ICE fleet, will affect the demand and price for lead.

Tin

Evidence of the use of tin has been found in bronze implements which are ca. 5,000 years old. The hardening effect of tin on copper was known to Phoenicians who travelled beyond the "Pillars of Hercules" (Gibraltar) to seek the metal in the Scilly Isles and Cornwall. Tin mining in Cornwall dates back to 300-200 BC. Romans called it stannum, from where the element's abbreviation, Sn, originates. Greeks called it κασσίτερος, from which the mineral cassiterite is named.

Physical characteristics

Supply determinants

Tin reserves are even more limited than cobalt's, a total of just over 4 million tons. However, unlike cobalt, these reserves are spread across several countries in Asia, Australia, S. America and Russia, as can be seen in Exhibit 63. As for production, this is led by China, Burma and Indonesia which together produce more than half of global output. Again, this is not a surprise as tin is largely used in manufacturing and China easily absorbs this output. Exhibit 64 shows the development of production and reserves over the last decade and shows the notable reduction in output in 2020, as a result of the slowdown of steel output and the world economy due to the Covid pandemic.

Concentrates have a tin content as high as 70-75%, so they are taken to a furnace for smelting. At the end of smelting, the impure tin is tapped off and cast into large slabs of impure tin which go for further refining. Refining is usually of two types: fire and electrolytic. Fire refining produces 99.85% pure tin, suitable for general commercial use. Electrolytic refining is used to produce a very high grade of tin, up to 99.999% purity. The process used is similar to that for copper refining, using an acidic solution of tin and starter thin sheets of pure tin used as cathodes.

Demand determinants

As we saw earlier, tin has been used in alloys with copper (bronze). It has also been used extensively in alloys with lead (pewter) for the manufacturing of numerous household items. One of the most common uses was, and still is, the coating, either by hot-dipping or electroplating, of cold-rolled steel sheet and strip to produce tinplate. This corrosion-resistant material, similar to galvanised steel, is used to manufacture cans. Tin is a non-toxic material, so tinplate is ideal for keeping food in storage for a long time, with no deterioration, suitable for long-term storage and consumption at home and on the go.

Today, tinplate still plays an important role in the end uses of tin, but almost half of tin consumption goes in solders: lead-tin solder to join metal workpieces and, increasingly, tin-copper solder (copper wire plated with tin) for all uses and particularly electronic circuitry. Tin is still used for the manufacturing of bronze, where copper is mostly used; also with lead for bearings which slide against a steel shaft.

Tin is also used in batteries: because the metal is resistant to corrosion by water and several acids and alkalis, it is used to protect the graphite anode from the corrosive effect of lithium which is an alkali metal. This extends the life span of the battery and improves its performance. Tin is, therefore, well-placed to be part of the green energy transition.

Tin compounds are used in chemicals. Organotin compounds, or stannanes, have molecules with at least one tin atom bonded to a carbon atom. The majority of organotin compounds is in the manufacturing of stabilised polyvinyl chloride (PVC). This makes PVC suitable for water pipes and food applications. Inorganic tin oxides are used in the glassware industry for glazing and strengthening glass. Other inorganic tin compounds are used as catalysts in a number of industrial processes. For example, in the manufacture of polyurethane foam which is used in seat cushions and other upholstery work. Exhibit 66 shows the shares of end uses of tin, while Exhibit 67 shows examples of how tin is used in various components found in a typical car.

Trade and pricing

The value of trade in tin is about the same as that in lead, when taking into account the metal and its products. S. Korea and Australia are the leading exporters, with US the leading importer, followed by several other industrialised and emerging economies - see Exhibits 68 and 69 for more details.

When it comes to ores and concentrates, the volume of trade is a lot more limited than that of lead, around the 250,000 tons mark. Although trade data are a bit tricky to compile because of late reporting by some countries, the key exporter was Myanmar and the flow was one-way: to China. There are a few smaller exporters and importers, which are depicted in Exhibits 70 and 71.

We finish the story of tin with a look at its price development in Exhibit 72. Tin prices fluctuated along the same lines as other base metals; a price collapse after the financial crisis, followed by a rebound. From 2015 onwards, prices fluctuated between $15,000-45,000/ton (10x the price of lead), influenced by GDP growth, disposable income and demand for manufactured goods. The price path shows similarities with zinc, cobalt and lithium, with a big spike towards the end of 2021, followed by a sharp drop in 2022, when neither the anticipated growth of EVs nor the supply shortage of tin materialised. However, the potential for tin as a component in Li-ion batteries still offers considerable promise for future demand for this metal which has pushed the price to $35,000 in 2025.

Conclusion

Each one of the base metals we have discussed in this chapter is smaller than copper, the smallest of the metals we discussed in the three previous chapters. Despite the smaller volumes and trade flows though, they are all crucial to our everyday lives and at least half of them (nickel, lithium, cobalt) have been characterised as critical metals for the energy transition. It is worth taking a note of their role in the world economy and commodity economics and trade and with this chapter we conclude the supply and demand fundamentals for metals and minerals, before turning our attention to their derivative markets.

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