Now that we’re done celebrating the 236th anniversary of our independence from England, it may be time to turn to present matters of dependency.
Over the past few months, we at American Resources have been highlighting the breadth of our mineral needs and potential by featuring metals and minerals for which the United States is largely import-dependent. Through our Metal of the Month series we have been showcasing the utilities of — as well as the challenges associated with — these critical materials.
Molybdenum differs from some of the other metals and minerals we have highlighted in that it is a material for which the United States, according to USGS data, is a net exporter – for now.
“Moly,” as industry wonks fondly call the material, is used primarily in the automotive, shipbuilding, construction, mining, and chemical industries as well as the energy sector to harden and strengthens steels and cast irons. Among others, its heat resistant properties also make it an important component in defense and aerospace applications, earning it a spot on the American Resources Risk Pyramid in our new report on Critical Minerals & National Security.
Recent industry reports show increasing demand for Molybdenum as usage of Molybdenum-bearing stainless and alloy steels has been on the rise in 2010 and 2011. The surge has been fueled largely by increasing need for such steels and other alloys in emerging economies like China, India, and Brazil.
While long-term market price predictions are uncertain, analysts see demand increasing for the next few years, making certain that Molybdenum will be a metal to keep a close eye on going forward.
Stay tuned for more Molybdenum-related updates on our blog, as well as on Twitter and Facebook throughout the month.