Cobalt Concentrate Market was valued at USD 5.23 Billion in 2022 and is projected to reach USD 9.12 Billion by 2030, growing at a CAGR of 7.3% from 2024 to 2030.
The cobalt concentrate market has undergone significant transformations in recent years, influenced by various factors such as supply dynamics, geopolitical shifts, and evolving demand in the electric vehicle (EV) sector. This article delves into the current state of the market, providing a comprehensive analysis of the key trends and future outlook.
The Democratic Republic of Congo (DRC) remains the world's leading supplier of cobalt, accounting for approximately 76% of global production in 2023. This dominance is primarily due to the nation's rich copper-cobalt mines, where cobalt is typically extracted as a by-product at a ratio of 10:1 copper to cobalt. The high prices of copper have incentivized significant expansions in mining capacity, leading to increased cobalt output. For instance, China Molybdenum Co (CMOC) reported a 78% year-on-year increase in copper production in the first nine months of 2024, resulting in a 127% surge in cobalt output to 84,722 tonnes during the same period.
However, this concentration of supply has raised concerns about market stability and dependency. To mitigate these risks, the DRC is actively seeking to diversify its partnerships. In January 2025, the DRC government initiated efforts to attract mining investments from Saudi Arabia, aiming to reduce its reliance on Chinese companies, which currently dominate the sector. Over 80% of the Congo's mines involve Chinese partners, highlighting the economic risk of this dependency.
The cobalt market has been experiencing a significant supply surplus, leading to downward pressure on prices. In 2023 and 2024, prices for battery metals, including cobalt, plummeted due to a supply glut and lower-than-expected demand from the EV sector. Despite global sales growth in EVs, particularly in China, Western markets have lagged, and subsidies for EVs have been reduced, further dampening demand. Additionally, a shift towards smaller batteries in hybrid and plug-in hybrid vehicles, along with the adoption of lithium-iron-phosphate (LFP) batteries, has reduced the need for nickel, cobalt, and manganese.
Analysts predict that the cobalt market will remain in oversupply until at least 2027, with the global cobalt market forecasted to see an oversupply of 25,000 tonnes in 2024 and 21,000 tonnes in 2025. This persistent oversupply is expected to continue exerting pressure on cobalt prices unless supply aligns more closely with demand.
Geopolitical factors significantly impact the cobalt concentrate market. CMOC Group, a Chinese mining company, has gained control of over a third of the global cobalt supply, prompting concerns from U.S. officials about potential market manipulation and national security risks. CMOC's dominance stems from significant acquisitions in the DRC, leading to record cobalt production levels and suppressed cobalt prices due to increased supply. U.S. officials accuse CMOC of using predatory practices that deter investment in cobalt production by other companies.
In response, the U.S. is exploring measures to secure stable cobalt supplies, including potential national stockpiling, as part of broader efforts to counter China's influence over critical mineral resources used in sectors such as electric vehicles and defense. This situation highlights China's growing global economic influence and the strategic support from state-backed entities that facilitate the expansion of Chinese companies like CMOC.
The cobalt industry faces several challenges, including market oversupply, price volatility, and geopolitical tensions. In 2024, the battery metals industry faced significant challenges as prices for lithium, nickel, and cobalt plummeted due to a supply glut and lower-than-expected demand from the EV sector. Despite global sales growth in EVs, particularly in China, Western markets have lagged, and subsidies for EVs have been cut, further dampening demand. Additionally, a shift towards smaller batteries in hybrid and plug-in hybrid vehicles, along with the adoption of LFP batteries, has reduced the need for nickel, cobalt, and manganese.
Moreover, the dominance of Chinese companies in the cobalt market has raised concerns about market manipulation and national security risks. CMOC Group, a Chinese mining company, has gained control of over a third of the global cobalt supply, leading to record cobalt production levels and suppressed cobalt prices due to increased supply. U.S. officials accuse CMOC of using predatory practices that deter investment in cobalt production by other companies.
Looking ahead, the cobalt concentrate market is expected to face continued challenges due to oversupply and evolving demand dynamics. The global cobalt market is forecasted to see an oversupply of 25,000 tonnes in 2024 and 21,000 tonnes in 2025, according to Fastmarkets researchers. This persistent oversupply is expected to continue exerting pressure on cobalt prices unless supply aligns more closely with demand.
However, the anticipated growth in the electric vehicle sector could provide some support to cobalt demand. Global plug-in electric vehicle (PEV) sales in 2024 are expected to grow 30% from an estimated 13 million units in 2023, according to S&P Global Commodity Insights. This growth could potentially bolster demand for cobalt-containing batteries, although waning PEV subsidies may impact sales growth.
In conclusion, the cobalt concentrate market is navigating a complex landscape marked by supply surpluses, price pressures, and geopolitical influences. Stakeholders must remain vigilant and adaptable to these evolving dynamics to effectively navigate the challenges and opportunities that lie ahead.
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ERG
Glencore
Chemaf
Sherritt
Vale
Nornickel
Managem
Karora Resources
Clean TeQ
eCobalt
Fortune Minerals
CMOC Group Limited
JINCHUAN GROUP CO.
LTD
Zhejiang Huayou Cobalt Co.
Ltd
Metallurgical Corporation Of China Ltd
By the year 2030, the scale for growth in the market research industry is reported to be above 120 billion which further indicates its projected compound annual growth rate (CAGR), of more than 5.8% from 2023 to 2030. There have also been disruptions in the industry due to advancements in machine learning, artificial intelligence and data analytics There is predictive analysis and real time information about consumers which such technologies provide to the companies enabling them to make better and precise decisions. The Asia-Pacific region is expected to be a key driver of growth, accounting for more than 35% of total revenue growth. In addition, new innovative techniques such as mobile surveys, social listening, and online panels, which emphasize speed, precision, and customization, are also transforming this particular sector.
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Growing demand for below applications around the world has had a direct impact on the growth of the Global Cobalt Concentrate Market
Alloy
Electronics
Chemical Industry
Others
Based on Types the Market is categorized into Below types that held the largest Cobalt Concentrate market share In 2023.
Magmatic Type
Hydrothermal Type
Sedimentary Type
Weathering Crust Type
Global (United States, Global and Mexico)
Europe (Germany, UK, France, Italy, Russia, Turkey, etc.)
Asia-Pacific (China, Japan, Korea, India, Australia, Indonesia, Thailand, Philippines, Malaysia and Vietnam)
South America (Brazil, Argentina, Columbia, etc.)
Middle East and Africa (Saudi Arabia, UAE, Egypt, Nigeria and South Africa)
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1. Introduction of the Global Cobalt Concentrate Market
Overview of the Market
Scope of Report
Assumptions
2. Executive Summary
3. Research Methodology of Verified Market Reports
Data Mining
Validation
Primary Interviews
List of Data Sources
4. Global Cobalt Concentrate Market Outlook
Overview
Market Dynamics
Drivers
Restraints
Opportunities
Porters Five Force Model
Value Chain Analysis
5. Global Cobalt Concentrate Market, By Type
6. Global Cobalt Concentrate Market, By Application
7. Global Cobalt Concentrate Market, By Geography
Global
Europe
Asia Pacific
Rest of the World
8. Global Cobalt Concentrate Market Competitive Landscape
Overview
Company Market Ranking
Key Development Strategies
9. Company Profiles
10. Appendix
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