In 2024, molybdenum market is in modest deficit. Supply side was in general stable with no new incremental mine capacity in China and limited mine expansion offset by reduced production of aging large mines. Demand side remained robust with increasing molybdenum consumption from superalloy and wind power materials. Steel mills chose to produce molybdenum-containing steel for higher added value to enhance their market competitiveness, driving significant growth of molybdenum consumption in China to a record high.

Global molybdenum resources are mainly distributed in China, the United States, Peru, and Chile. According to USGS data statistics, the four major countries rich in resources control about 92% of global molybdenum resources. China is the largest molybdenum producer in the world, accounting for 44% of global production in 2023. At the same time, because about 79% of molybdenum consumption is concentrated in the steel industry, and more than half of the world’s steel production capacity comes from China, China is also the largest molybdenum consumer, accounting for 45% of global consumption in 2023.