Global Cobalt Market Growth, Share, Size, Trends and Forecast (2024 - 2030)

Recent Developments:

• In November 2023, Glencore signed an agreement with Teck Resources Limited for the acquisition of a 77% effective interest in the entirety of Teck’s steelmaking coal business, Elk Valley Resources. This acquisition amounted to USD 6.93 billion.

• In August 2024, the Pentagon announced a USD 20 million grant to construct a cobalt refinery in Ontario province, Canada. The U.S. government plans to diversify the cobalt supply chain from China to other countries.

The Global Cobalt Market has been segmented by Product, Application, End- User and Geography, product into three primary categories: cobalt sulfate, cobalt oxide, and cobalt metal. Cobalt sulfate is one of the most widely used forms of cobalt, primarily in the production of lithium-ion batteries for electric vehicles (EVs) and energy storage systems. As the demand for electric vehicles grows, cobalt sulfate has become increasingly important due to its role as a critical component in battery cathodes. It is also used in the production of pigments and as a catalyst in the petroleum refining process. The market for cobalt sulfate has surged, driven by the growing emphasis on clean energy technologies and the expansion of the EV market.

Cobalt oxide is another significant product in the cobalt market, often used in the production of rechargeable batteries, ceramics, and magnets. Cobalt oxide is essential for manufacturing high-performance batteries, particularly in the energy storage industry. It is also crucial in the creation of magnetic alloys, which are used in a wide range of industrial applications, including electronics and motors. As demand for advanced materials and high-capacity batteries rises, particularly in the automotive and renewable energy sectors, the need for cobalt oxide continues to grow. Cobalt oxide's role in enhancing battery efficiency and longevity further bolsters its market position.

Cobalt metal is the pure form of cobalt and is used in the manufacture of high-performance alloys, which are critical for aerospace, defense, and industrial applications. These alloys are known for their strength, heat resistance, and corrosion resistance, making cobalt metal essential for turbine blades, engines, and other high-stress components in aircraft and machinery. The demand for cobalt metal is driven by the aerospace and defense sectors, as well as the energy industry, where high-performance materials are essential for extreme operating conditions. Although cobalt metal represents a smaller segment compared to cobalt sulfate and oxide, it remains a critical product in sectors requiring durable, high-strength materials.

Global Cobalt Segment Analysis

In this report, the Global Cobalt Market has been segmented by Product, Application, End- User and Geography.

Global Cobalt Market, Segmentation by Product

The Global Cobalt Market has been segmented by Product into Cobalt Sulfate, Cobalt Oxide, and Cobalt Metal.

The Global Cobalt Market is segmented by product type, with key segments including cobalt metal, cobalt alloys, and cobalt compounds. Cobalt metal is widely used in the production of batteries, particularly lithium-ion batteries for electric vehicles (EVs), portable electronics, and renewable energy storage systems. Cobalt alloys, which are known for their strength and resistance to heat and corrosion, are commonly used in aerospace, medical implants, and industrial machinery. Cobalt compounds, such as cobalt sulfate and cobalt chloride, are primarily used in the manufacturing of catalysts, pigments, and battery precursors. The growing demand for EVs and clean energy technologies is driving the market for cobalt products, particularly in the form of high-purity cobalt compounds used in battery production.

In terms of application, the cobalt market is primarily driven by the battery sector, especially as the adoption of electric vehicles increases globally. Cobalt is a key component in lithium-ion batteries, where it is used to enhance energy density and extend battery life. Beyond batteries, cobalt also plays a significant role in the alloy and catalyst industries. Cobalt-based alloys are critical in aerospace and defense sectors due to their high strength and resistance to wear and corrosion. Furthermore, cobalt is used in catalysts for petroleum refining, ensuring efficient fuel production, as well as in the production of pigments used in ceramics, glass, and paints. The demand for cobalt is expected to continue growing, driven by advancements in technology and increasing industrial applications.

The end-user segmentation of the global cobalt market includes industries such as automotive, electronics, energy, aerospace, and medical. The automotive sector, with its increasing focus on electric vehicles, remains one of the largest consumers of cobalt, as it is integral to battery production. The electronics industry also represents a significant end-user market, with cobalt used in the production of high-performance batteries for mobile devices and laptops. In aerospace, cobalt alloys are used for their durability in high-temperature applications. The energy sector, particularly renewable energy, relies on cobalt for energy storage solutions, while the medical industry utilizes cobalt for prosthetics and surgical tools. As these industries continue to expand, particularly in emerging technologies, the demand for cobalt from diverse end-users is projected to rise.

Global Cobalt Market, Segmentation by Application

The Global Cobalt Market has been segmented by Application into Reusable Energy Storage System, Super Alloys, Wear- Resistant Alloys, Thermal Spray Coatings, Magnets, Orthopaedics, Binder Material and Life Sciences.

The Global Cobalt Market is segmented by application into various key areas, each driven by the growing demand for cobalt in advanced technologies and industrial processes. Reusable energy storage systems, particularly lithium-ion batteries, represent one of the largest applications for cobalt. As the global shift towards renewable energy and electric vehicles accelerates, cobalt is essential in the production of battery cathodes. These batteries are integral to the functioning of electric vehicles, renewable energy storage, and consumer electronics. The rising adoption of electric vehicles (EVs) and energy storage solutions is expected to continue driving substantial growth in this segment, making cobalt a crucial element for the transition to cleaner energy sources.

In addition to energy storage, super alloys and wear-resistant alloys are other significant applications for cobalt. Cobalt-based super alloys are used in high-performance environments, such as the aerospace, defense, and power generation industries. These alloys offer exceptional resistance to heat, corrosion, and wear, making them essential in turbine blades, engine components, and gas turbines. Wear-resistant alloys, which incorporate cobalt, are used in industries requiring durable materials, such as mining, manufacturing, and automotive. The demand for these alloys is expected to grow as industrial processes continue to evolve, demanding more resilient and efficient materials for high-stress applications.

Cobalt is also employed in specialized applications like thermal spray coatings, magnets, orthopaedics, binder materials, and life sciences. Thermal spray coatings using cobalt are used for surface protection against wear and corrosion in aerospace, automotive, and industrial applications. Cobalt-based magnets are essential in electronic devices, motors, and renewable energy generators, offering high performance in terms of magnetic strength and durability. In the medical field, cobalt plays a crucial role in orthopaedics, particularly in hip and knee implants, due to its biocompatibility and strength. Additionally, binder materials in diamond tools and life sciences applications, such as cancer treatments, contribute to cobalt's broad range of uses. These specialized applications demonstrate the versatility of cobalt in various high-tech and health-related industries, further expanding its market potential.

Global Cobalt Market, Segmentation by End- User

The Global Cobalt Market is segmented by End-User into Electronics, Automotive, Aerospace, and Medical.

The electronics industry is one of the major end-users driving the demand for cobalt in the global market. Cobalt is an essential component in the production of high-performance lithium-ion batteries, which are widely used in portable electronics such as smartphones, laptops, and tablets. These batteries benefit from cobalt’s ability to enhance energy density and improve battery life. As consumer demand for electronics with longer battery life and improved performance continues to grow, the demand for cobalt in this sector is expected to remain strong. Additionally, cobalt is used in the production of catalysts and magnets, which further boosts its relevance in the electronics market.

The automotive industry, particularly with the rise of electric vehicles (EVs), is another key end-user segment for cobalt. Cobalt is a critical component in lithium-ion batteries, which power electric vehicles, contributing to longer driving ranges and quicker charging times. As the global shift toward electric mobility accelerates, the automotive sector’s reliance on cobalt is intensifying. This trend is driven by stricter emissions regulations and growing consumer demand for EVs. In addition to EVs, cobalt is used in hybrid vehicles and high-performance batteries for commercial and public transport systems. As more automakers and governments prioritize sustainability, the automotive industry will remain a significant driver of cobalt demand.

In the aerospace industry, cobalt’s properties, such as high strength, heat resistance, and corrosion resistance, make it essential in the production of durable alloys. These cobalt-based alloys are used in the manufacturing of components for aircraft engines, turbines, and other high-performance systems that must withstand extreme temperatures and pressure. Cobalt’s role in aerospace materials is critical for ensuring the safety and efficiency of modern air travel. As the aerospace sector continues to innovate with new aircraft designs and technologies, the demand for cobalt-based materials will likely increase, driven by the need for lighter, stronger, and more efficient materials.

Global Cobalt Market, Segmentation by Geography

In this report, the Global Cobalt Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa and Latin America.

Global Cobalt Market Share (%), by Geographical Region, 2023

The Global Cobalt Market's geographical segmentation reveals diverse regional dynamics that influence demand and supply. In North America, the market is driven by the advanced manufacturing and automotive sectors, particularly in the United States and Canada. The demand for cobalt in electronics and renewable energy storage applications is significant, reflecting the region's technological advancements and environmental policies.

In Europe, the market is characterized by a strong emphasis on sustainability and innovation, particularly in the automotive and aerospace industries. Countries like Germany, France, and the United Kingdom are major consumers, focusing on high-performance alloys and electric vehicle batteries. The European Union's stringent regulations on environmental impact and recycling also play a crucial role in shaping market trends.

The Asia-Pacific region, particularly China, dominates the global cobalt market due to its extensive manufacturing base and increasing demand for consumer electronics, electric vehicles, and renewable energy technologies. China's control over cobalt refining and processing capacities further consolidates its influence in the market. Other significant markets in the region include Japan and South Korea, which are also key players in electronics and automotive industries.