others, particularly in China, fuels growth of this market. According to the World Steel
Association, China is the largest producer of steel, by producing 803.8 million metric tons in
2015 and it was increased to 808.4 million metric tons in 2016.
However, molybdenum fumes and dust produced during metalworking or mining may be toxic
if ingested, which is expected to hinder growth of the global molybdenum market.
Market Trends
Among end-use industries, the automotive segment is expected to witness a significant growth
in the near future. Molybdenum alloy is used in various automotive parts such as vehicle’s
flywheel, clutch, and other parts, owing to its excellent strength to weight ratio, which makes
molybdenum a vital material in automotive vehicles. Growing automotive industry results in
increasing demand for molybdenum, thereby fueling the molybdenum market growth.
According to the India Brand Equity Foundation (IBEF), the automobile market was valued at
US$ 74 billion in 2015 and is expected to increase up to US$ 300 billion by 2026.
Among applications, the fertilizer segment is expected to show a significant growth in the
global molybdenum market over the forecast period. Various manufacturers are focusing on
launching new products and plant expansion to expand their product portfolio and to cater to
increasing consumer demand, which in turn is driving growth of this segment. For instance, in
April 2018, Artal Agrinutrients launched Artal Rice, which is a liquid mixture of molybdenum,
boron, and zinc to improve yield and to increase number and size of grains.
Market Outlook
North America holds a significant position in the global molybdenum market growth, owing to
growing oil and gas industry in the region. Shale gas revolution has paved path to increasing
exploration and production activities in this region. According to the U.S. Energy Information
Administration, the total shale production in the U.S. in 2014 was 13.4 trillion cubic feet, which
raised up to 15.2 trillion cubic feet in 2015. Increasing offshore E&P activities in shallow and
deep water contributed to the growth of oil and gas chemicals in this region.
Furthermore, increasing mining production of molybdenum results in growth of the
molybdenum market. According to the United States Geological Survey (USGS), in the U.S.,
mine production in 2016 was 35,800 metric tons, which increased up to 44,600 metric tons in
2017.
Asia Pacific is expected to be the fastest growing region in the global molybdenum market over
the forecast period. This is owing to increasing demand for stainless steel in various end-use