by The Cobalt Oxalate Market is estimated to be valued at US$ 792 Mn or US$ 792 million in 2023 and is expected to exhibit a CAGR of 5.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Cobalt oxalate is a cobalt compound usually produced from cobalt metal, which finds applications in lithium-ion batteries as a cathode material. It helps improve the energy density and life cycle of batteries. With the rising adoption of electric vehicles and increasing penetration of consumer electronics, the demand for lithium-ion batteries is growing significantly. As cobalt oxalate is a key component in lithium-ion battery cathodes, its market is also expected to witness strong growth over the coming years.
Market Dynamics:
Two key drivers contributing to the growth of the cobalt oxalate market are rapid electric vehicle adoption and increasing sales of consumer electronics. The growing environmental concerns and stringent emission norms are fueling the sales of electric vehicles globally. Various governments are offering subsidies and tax rebates to promote clean mobility. This is positively impacting the demand for lithium-ion batteries and thereby cobalt oxalate. On the other hand, the rising disposable incomes in developing nations have increased the penetration of smartphones, laptops, power tools, and other consumer electronic devices that use lithium-ion batteries. As consumers upgrade their devices frequently, the need for high-performance and durable batteries is increasing consistently. This is anticipated to drive the consumption of cobalt oxalate over the forecast period. Additionally, continuous research and development activities to enhance battery technologies using cobalt oxalate as a key component are also projected to support the market growth.
Segment Analysis
Cobalt oxalate market is dominated by the battery materials segment. Approximately 60% of the global cobalt oxalate demand originates from the battery materials segment. Cobalt is a key component in lithium-ion batteries which are widely used in electronic vehicles, consumer gadgets and grid energy storage systems. With increasing focus on clean and renewable energy, demand for batteries is growing exponentially which in turn is driving the consumption of cobalt oxalate in battery materials.
PEST Analysis
Political: Government policies and regulations supporting EV adoption and renewable energy targets in major economies are positively impacting the demand for cobalt oxalate. Economic: Projected high GDP growth in Asia Pacific and Europe along with increasing disposable income will increase consumption of electric vehicles and consumer electronics boosting cobalt oxalate consumption. Social: Rising environmental concerns and demand for greener transportation is enhancing the use of lithium-ion batteries in EVs favoring cobalt oxalate market growth. Technological: Advances in lithium-ion battery chemistry and nanotechnology to enhance battery storage capacity and charging time is a key growth opportunity for cobalt oxalate producers.
Key Takeaways
The global Cobalt Oxalate Market Share is expected to witness high growth, exhibiting CAGR of 5.6% over the forecast period, due to increasing adoption of electric vehicles globally. Asia Pacific is expected to dominate the global cobalt oxalate market during the forecast period. Countries like China, Japan, South Korea are among the leading EV markets in the region as well as prominent battery materials producers, which is driving the demand for cobalt oxalate in the region. Key players operating in the cobalt oxalate market are Umicore N.V., Freeport-McMoRan Inc., Glencore plc, Huayou Cobalt Co., Ltd., Sherritt International Corporation, Jinchuan Group International Resources Co. Ltd., Sumitomo Metal Mining Co., Ltd., Norilsk Nickel, ERAMET SA, Umicore Cobalt & Specialty Materials. These players are focusing on capacity expansion and forward integration across the battery materials supply chain to capture increasing demand.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile
