MOLYBDENUM (Data in metric tons of molybdenum content, unless noted) Domestic Production and Use: In 1995, molybdenum, valued at about $280 million (based on average oxide price), was produced by 10 mines. A mine in Colorado mined molybdenum ore, whereas nine mines in Arizona, California, Montana, New Mexico, and Utah recovered molybdenum as a byproduct. Two plants converted molybdenite (MoS2) concentrate to molybdic oxide, from which intermediate products, such as ferromolybdenum, metal powder, and various chemicals, were produced. Iron and steel producers accounted for about 75% of the molybdenum consumed. Major end-use applications were as follows: machinery, 35%; electrical, 15%; transportation, 15%; chemicals, 10%; oil and gas industry, 10%; and other, 15%. Salient Statistics--United States: 1991 1992 1993 1994 1995e/ Production, mine 53,000 50,000 37,000 47,000 59,000 Imports for consumption 2,600 3,200 6,500 6,500 10,000 Exports, all primary forms 36,000 36,000 30,000 37,000 40,000 Consumption: Reported 17,000 17,000 18,000 19,000 26,000 Apparent 19,000 21,000 16,000 25,000 29,000 Price, average value, dollars per kilogram1/ 5.27 4.85 5.13 4.60 5.00 Stocks, mine and plant concentrates, product producers and end-use consumers 17,000 22,000 20,000 12,000 12,000 Employment, mine and plant, molybdenum production 1,000 750 680 700 700 Net import reliance2/ as a percent of apparent consumption E E E E E Recycling: Secondary molybdenum in the form of metal or superalloys was recovered, but the amount was small. About 1,000 metric tons of molybdenum was reclaimed from spent catalysts. Although some molybdenum was recycled as a minor constituent of scrap alloy steels and iron, the use of such scrap did not generally depend on its molybdenum content. Import Sources (1991-94): Chile, 20%; China, 27%; Canada, 15%; United Kingdom, 14% and other, 24%. Tariff Item Number Most favored nation (MFN) Non-MFN3/ 12/31/95 12/31/95 Molybdenum ore and concentrates, roasted 2613.10.0000 13.1›/kg + 1.9% ad val. $1.10/kg + 15% ad val. Molybdenum ore and concentrates, other 2613.90.0000 19.4›/kg 77.2›/kg. Molybdenum chemicals: Molybdenum oxides and hydroxides 2825.70.0000 3.2% ad val. 20.5% ad val. Molybdates of ammonium 2841.70.1000 4.3% ad val. 29% ad val. Molybdates, all others 2841.70.5000 3.7% ad val. 25% ad val. Molybdenum pigments: Molybdenum orange 3206.20.0020 3.7% ad val. 25% ad val. Miscellaneous chemical products: Mix of two or more inorganic compounds of molybdenum 3823.90.3400 2.8% ad val. 18% ad val. Ferroalloys: Ferromolybdenum 7202.70.0000 4.5% ad val. 31.5% ad val. Molybdenum metals: Powders 8102.10.0000 12.9›/kg + 1.8% ad val. $1.10/kg + 15% ad val. Unwrought 8102.91.1000 13.9›/kg + 1.9% ad val. $1.10/kg + 15% ad val. Waste and scrap 8102.91.5000 Free Free. Wrought 8102.92.0000 6.6% ad val. 60% ad val. Wire 8102.93.0000 6.2% ad val. 60% ad val. Other 8102.99.0000 5.1% ad val. 45% ad val. Prepared by John W. Blossom, (703) 648-4964. MOLYBDENUM Depletion Allowance: 22% (Domestic), 14% (Foreign). Government Stockpile: None. Events, Trends, and Issues: U.S. mine output of molybdenum in 1995 increased 26% compared with that of 1993. Reported consumption of molybdenum increased about 36%; exports and U.S. producer inventories were the same as those of 1994. It is estimated that in 1996 domestic mine production of molybdenum will be 60,000 metric tons and that U.S. reported consumption will be 30,000 metric tons. The domestic price for technical-grade molybdic oxide averaged $5.00 per kilogram of contained molybdenum during 1995. Mine capacity utilization was 60%. World Mine Production, Reserves, and Reserve Base: Mine production Reserves4/ Reserve base4/ 1994 1995e/ (thousand metric tons) United States 47,000 59,000 2,700 5,400 Armenia 500 500 20 30 Bulgaria 100 100 (5/) 10 Canada 10,000 11,000 450 910 Chile 16,000 16,000 1,100 2,500 China 18,000 18,000 500 1,000 Iran 1,000 1,000 50 140 Kazakstan 500 500 130 200 Mexico 2,600 2,600 90 230 Mongolia 1,500 1,500 30 50 Peru 3,000 3,000 140 230 Russia 4,500 4,500 240 360 Uzbekistan 700 700 60 150 Other countries -- -- -- 590 World total (may be rounded) 104,000 118,000 5,500 12,000 World Resources: Identified resources amount to about 5.6 million metric tons of molybdenum in the United States and more than 12 million metric tons in the world. Molybdenum occurs both as the principal metal sulfide in large low-grade porphyry molybdenum deposits and as a subsidiary metal sulfide in low-grade porphyry copper deposits. Resources of molybdenum are adequate to supply world needs for the foreseeable future. Substitutes: There is little substitution for molybdenum in its major application as an alloying element in steels, cast irons, and nonferrous metals. In fact, because of the availability and versatility of the metal, industry has sought to develop new materials that benefit from the alloying properties of molybdenum. Potential substitutes for molybdenum include chromium, vanadium, columbium, and boron in alloy steels; tungsten in tool steels; graphite, tungsten, and tantalum for refractory materials in high-temperature electric furnaces; and chrome-orange, cadmium-red, and organic-orange pigments for molybdenum orange. e/Estimated. E Net exporter. 1/Major producer price per kilogram of molybdenum contained in technical-grade molybdic oxide. 2/Defined as imports - exports + adjustments for Government and industry stock changes. 3/See Appendix B. 4/See Appendix C for definitions. 5/Less than 1/2 unit. Mineral Commodity Summaries, January 1996