Supply shortage of molybdenum expected in CY’22 – Chinese producer

China’s SinoMoly, a subsidiary of Jinduicheng Molybdenum, expects molybdenum demand to grow in CY’22. However, there will be a shortage of raw materials for concentrates. Supply crunch will be due to deterioration of copper and molybdenum ore, severe weather conditions, shortage of manpower provided in mining, and environmental restrictions in China. Chinese steel companies purchased an average of 9,500 t per month of molybdenum alloy in CY’21, up 8% from CY’20.