Cobalt Market Research Report By Application (Electric Vehicle Batteries, Industrial Batteries, Superalloys, Electrolytes, Magnetic Materials), By End Use Industry (Electronics, Aerospace, Electric Vehicles, Energy Storage, Defense), By Chemical Form (Cobalt Compounds, Cobalt Sulfate, Cobalt Hydroxide, Cobalt Oxide), By Source of Extraction (Primary Mining, Recycling, By-product from Nickel Extraction) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Forecast to 2035

Global Cobalt Market Overview

The Cobalt Market Size was estimated at 11.24 (USD Billion) in 2023. The Cobalt Market Industry is expected to grow from 12.2(USD Billion) in 2024 to 30 (USD Billion) by 2035. The Cobalt Market CAGR (growth rate) is expected to be around 8.53% during the forecast period (2025 - 2035)

Key Cobalt Market Trends Highlighted

Rising demand from a variety of sectors, particularly batteries and electric vehicles, is currently driving several notable trends in the Cobalt Market. The escalating production of electric vehicles and the transition to sustainable energy sources are the primary market drivers, as cobalt is a critical component of lithium-ion battery production. There is a correlation between the increasing popularity of electric vehicles and the government's efforts to reduce carbon emissions and promote environmentally friendly technologies. Furthermore, as a result of concerns regarding child labor practices in cobalt mining regions, particularly in the Democratic Republic of Congo, where a significant portion of the cobalt supply is sourced, there is a greater emphasis on ethical sourcing and supply chain transparency.As markets investigate alternative methods and recycling methods to mitigate supply chain risks and guarantee sustainable practices, opportunities in the Cobalt Market are also expanding. Battery chemistry innovations, such as the reduction of cobalt content in batteries, offer companies the chance to maintain performance standards while adapting to evolving market preferences. In addition, governments are actively encouraging the expansion of local mining operations and refining capabilities to decrease reliance on imports, thereby improving the security of the regional supply. An increase in collaborations between companies and research institutions to enhance cobalt extraction and processing methods has been observed in recent trends.In addition, the investigation of alternative materials for cobalt in battery applications is gaining momentum, indicating a proactive strategy to mitigate supply constraints. The Cobalt Market's future is being influenced by a collective endeavor to balance supply, demand, and ethical considerations, as evidenced by the overall market landscape.

 

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Cobalt Market Drivers

• Increasing Demand for Electric Vehicles

The Cobalt Market Industry is significantly driven by the growing demand for electric vehicles (EVs). As per data, the sales of electric vehicles have surged, with a staggering increase of 43% in 2020 alone, totaling over 3 million units sold worldwide. Organizations such as the International Energy Agency (IEA) forecast that by 2030, the electric vehicle stock could reach 145 million, further amplifying the need for cobalt, which is a key component in lithium-ion batteries.With the push for greener transportation and stringent emission regulations across various countries, including government initiatives in Europe and Asia aimed at reducing carbon emissions, the demand for cobalt in battery production is expected to rise exponentially. This trend will foster the growth of the Cobalt Market Industry as manufacturers ramp up cobalt sourcing to meet the anticipated demand from the electric vehicle sector.

Technological Advancements in Battery Technologies

Ongoing advancements in battery technologies are another major driver for the Cobalt Market Industry. The development of new battery types, such as solid-state batteries, promises higher energy density and safety for various applications, thus increasing the cobalt content in some designs. According to the U.S. Department of Energy, investments in battery research and innovation could lead to a 50% increase in energy efficiency by 2030, which is expected to enhance cobalt use in batteries significantly.Various companies are pursuing Research and Development projects focusing on cobalt-efficient technologies to improve battery longevity and application versatility, indicating that technological evolution directly impacts cobalt demand.

Growth in Renewable Energy Storage Solutions

The transition towards renewable energy sources is creating robust growth opportunities for the Cobalt Market Industry. The push for energy storage solutions, especially for solar and wind energy, is leading to increased adoption of battery storage systems. According to the International Renewable Energy Agency (IRENA), energy storage capacity is expected to double by 2030, resulting in a robust demand for cobalt used in utility-scale battery applications.With high-profile investments from various governments and companies aiming to buffer renewable energy supply, cobalt's role in enhancing battery performance becomes crucial, thereby driving the market significantly.

Cobalt Market Segment Insights

Cobalt Market Application Insights 

The Cobalt Market demonstrates significant growth within its Application segment, projected to reach a valuation of 12.2 USD Billion in 2024 and 30.0 USD Billion by 2035. This segment includes critical applications such as Electric Vehicle Batteries, Industrial Batteries, Superalloys, Electrolytes, and Magnetic Materials. Among these, Electric Vehicle Batteries hold a majority share, with a valuation of 5.0 USD Billion in 2024, increasing to 12.0 USD Billion in 2035. The demand for Electric Vehicle Batteries is driven by the shift towards sustainable transportation solutions, where cobalt plays a vital role in enhancing battery performance.Industrial Batteries are also significant, valued at 3.2 USD Billion in 2024 and growing to 7.5 USD Billion in 2035, fueled by the rising need for efficient energy storage systems in various industries. Superalloys, valued at 2.0 USD Billion in 2024 and projected to reach 5.0 USD Billion by 2035, are essential in aerospace and power generation sectors due to their ability to withstand extreme temperatures. In contrast, Electrolytes, with a valuation of 1.5 USD Billion in 2024 increasing to 3.5 USD Billion by 2035, are crucial for the functioning of batteries, particularly in enhancing conductivity and efficiency.Magnetic Materials, although representing a smaller segment at 0.5 USD Billion in 2024 and expected to grow to 2.0 USD Billion by 2035, contribute to various electronic devices, showcasing cobalt’s versatility in multiple applications. Overall, the Cobalt Market data reveals strong growth trends driven by increasing demand for these applications, supported by advancements in technology, sustainability practices, and the overarching need for energy efficiency across different sectors. The Cobalt Market statistics highlight the integral role cobalt will continue to play in various innovative applications, aligning with current energy and technology trends.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Cobalt Market End Use Industry Insights 

The Cobalt Market, particularly in the End Use Industry segment, is witnessing significant expansion. By 2024, the overall market is valued at USD 12.2 billion and is projected to grow robustly as developments in various sectors enhance demand. The electronics industry plays a crucial role, as cobalt is essential for manufacturing batteries and other components. Electric vehicles stand out as a dominant force, driven by the increasing shift towards sustainable transportation and stringent environmental regulations. Energy storage applications also represent a vital market driving force, given the growing emphasis on renewable energy solutions.The aerospace sector underscores cobalt’s significance through high-performance alloys that enhance durability and resilience. Meanwhile, the defense sector relies on cobalt for advanced technologies and materials, ensuring operational efficiency and effectiveness. The substantial market growth can be attributed to innovation, increasing adoption of electric vehicles, and advancements in energy storage systems, making the Cobalt Market segmentation critical for understanding shifting demand dynamics. Cobalt's versatility ensures it remains a vital component across these industries, aligning with technological trends and providing opportunities for further advancements.

Cobalt Market Chemical Form Insights 

The Chemical Form segment of the Cobalt Market plays a crucial role in determining the market dynamics, with a projected overall market value reaching 12.2 billion USD by 2024. This segment further encompasses various forms, including Cobalt Compounds, Cobalt Sulfate, Cobalt Hydroxide, and Cobalt Oxide, each contributing uniquely to the sector. Cobalt Sulfate is particularly significant due to its widespread application in the production of lithium-ion batteries, which are essential for the growing electric vehicle industry. Cobalt Hydroxide also holds considerable importance for its usage in battery manufacturing, closely linked to the surge in electric mobility and renewable energy storage.The Cobalt Compounds offer versatility across various industries, while Cobalt Oxide is widely utilized in electronic components, facilitating innovative advancements. Growth factors for this segment stem from the increasing demand for electric vehicles, renewable energy solutions, and advancements in battery technologies. However, challenges include fluctuating raw material prices and environmental concerns over cobalt mining practices, which necessitate sustainable sourcing and processing solutions. Overall, the Chemical Form segment showcases strong market growth driven by evolving technological needs and expanding applications across multiple sectors globally.

Cobalt Market Source of Extraction Insights 

The Cobalt Market has been experiencing notable growth, driven significantly by various sources of extraction that cater to an increasing demand for cobalt in numerous applications. As of 2024, the market has been valued at approximately 12.2 billion USD. Within this segment, Primary Mining is crucial, as it involves extracting cobalt directly from the Earth, predominantly from copper and nickel ores, playing a vital role in meeting energy storage and electric vehicle needs. Recycling has gained importance due to its ability to recover cobalt from used products, thus promoting sustainability and reducing the environmental impact of mining activities.By-product from Nickel Extraction also contributes to the market, as cobalt can be harvested alongside nickel, making efficient use of resources in mining operations. The diversification of extraction methods presents growth opportunities in the Cobalt Market, fostering innovations in processing technologies that align with sustainability goals. These market dynamics align with trends towards a circular economy, enhancing market growth potential and addressing challenges related to raw material scarcity.

Cobalt Market Regional Insights 

The Cobalt Market showcases a robust valuation composition across its regional segments, with North America leading at 3.0 USD Billion in 2024 and expected to grow to 8.0 USD Billion by 2035, marking a significant expansion influenced by the demand for electric vehicle batteries and energy storage solutions. Europe's market stands at 2.5 USD Billion in 2024 and is projected to reach 6.0 USD Billion, driven by stringent regulations favoring sustainable energy sources. The Asia-Pacific (APAC) region dominates the market with a valuation of 5.0 USD Billion in 2024 and an expected increase to 12.0 USD Billion, primarily due to its status as a manufacturing powerhouse and the rising adoption of cobalt-intensive technologies.Meanwhile, South America holds a smaller share at 1.5 USD Billion in 2024, anticipated to grow to 3.5 USD Billion, benefitting from emerging mining initiatives. The Middle East and Africa (MEA) segment is the least dominant, currently valued at 0.2 USD Billion and projected to reach 0.5 USD Billion, reflecting developing infrastructure challenges and demand dynamics. Overall, the Cobalt Market segmentation underscores the economic vitality and strategic importance of cobalt as an essential resource in modern technology and energy applications.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Cobalt Market Key Players and Competitive Insights

A diverse set of players marks the competitive landscape of the Cobalt Market, each striving to leverage the burgeoning demand for cobalt driven by various industries such as electric vehicles, renewable energy, and consumer electronics. Cobalt is increasingly recognized for its critical role in battery technology, particularly lithium-ion batteries, which has galvanized numerous companies to enhance their production and supply chain capabilities. The market dynamics are influenced not only by traditional mining companies but also by emerging firms focused on sustainability and ethical sourcing of cobalt. The integration of cutting-edge technologies and innovative business models has led to heightened competition as companies seek to secure their positions in an environment that is increasingly sensitive to geopolitical factors and environmental standards.China Molybdenum has established a significant footprint in the Cobalt Market, showing robust operational strength and a comprehensive portfolio that encompasses mining, production, and distribution processes. This company has utilized its resources effectively to maximize cobalt yield from its various mining operations, bolstering its market share. China Molybdenum benefits from a strategic position in terms of accessibility to raw materials and an established supply chain that enables efficiency in operations. Its commitment to sustainable practices further strengthens its competitive edge, appealing to environmentally-conscious consumers and businesses. The company’s strong R&D capabilities ensure continual innovation, allowing it to remain ahead of market trends while optimizing production processes to enhance profitability.Jinchuan Group plays a pivotal role in the Cobalt Market as one of the leading producers of cobalt products, including cobalt metal and cobalt sulfate. The company has developed a strong reputation for producing high-quality products that meet international standards, which bolsters its market presence globally. An integral part of Jinchuan Group's strategy is its investment in expanding production capacity through modernized facilities and efficient processing techniques, which enhance its operational capabilities. The company's strength lies in its resilient supply chain and its ability to adapt to fluctuating market demands. Moreover, Jinchuan Group has been active in pursuing mergers and acquisitions to consolidate its market position and further diversify its product offerings, thereby enhancing its competitiveness in the cobalt sector on a scale. This strategic approach not only reinforces its market presence but also positions the company favorably against emerging competition.

Key Companies in the Cobalt Market Include

• China Molybdenum
• Jinchuan Group
• HighPurity Cobalt
• PT Timah
• First Cobalt
• Norilsk Nickel
• Lundin Mining
• Shalina Resources
• Glencore
• Fengfan
• Umicore
• Eurasian Resources Group
• DRC Mining
• Southern Copper

Cobalt Market Industry Developments

The Cobalt Market has seen significant developments in recent months, notably as demand for cobalt intensifies due to the ongoing expansion of the electric vehicle (EV) sector. Companies such as China Molybdenum and Jinchuan Group are actively enhancing their production capacities to meet this demand. In October 2023, Glencore announced plans to increase its cobalt output from its operations in the Democratic Republic of Congo to capitalize on the rising prices and demand. Merger and acquisition activity has been notable, with First Cobalt and Lundin Mining exploring partnerships to strengthen their positions in the North American market, particularly as they look to develop more sustainable sourcing solutions. Additionally, Norilsk Nickel has been focusing on sustainability initiatives that are reshaping its operational strategies. The Cobalt Market has fluctuated significantly over the last two years, particularly in mid-2022 when prices hit record highs due to supply chain disruptions. As of late 2023, the market remains vigilant to geopolitical influences and supply chain dependencies that could impact cobalt procurement from key producing regions like the DRC. The market valuation for major players is expected to remain robust, given the rising interest in green technologies and renewable energy sourcing.

Cobalt Market Segmentation Insights 

Cobalt Market Application Outlook

• Electric Vehicle Batteries
• Industrial Batteries
• Superalloys
• Electrolytes
• Magnetic Materials

Cobalt Market End Use Industry Outlook

• Electronics
• Aerospace
• Electric Vehicles
• Energy Storage
• Defense

Cobalt Market Chemical Form Outlook

• Cobalt Compounds
• Cobalt Sulfate
• Cobalt Hydroxide
• Cobalt Oxide

Cobalt Market Source of Extraction Outlook

• Primary Mining
• Recycling
• By-product from Nickel Extraction

Cobalt Market Regional Outlook

• North America
• Europe
• South America
• Asia Pacific
• Middle East and Africa

Report Attribute/Metric	Details
Market Size 2023	11.24(USD Billion)
Market Size 2024	12.2(USD Billion)
Market Size 2035	30.0(USD Billion)
Compound Annual Growth Rate (CAGR)	8.53% (2025 - 2035)
Report Coverage	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
Base Year	2024
Market Forecast Period	2025 - 2035
Historical Data	2019 - 2024
Market Forecast Units	USD Billion
Key Companies Profiled	China Molybdenum, Jinchuan Group, HighPurity Cobalt, PT Timah, First Cobalt, Norilsk Nickel, Lundin Mining, Shalina Resources, Glencore, Fengfan, Umicore, Eurasian Resources Group, DRC Mining, Southern Copper
Segments Covered	Application, End Use Industry, Chemical Form, Source of Extraction, Regional
Key Market Opportunities	Electric vehicle battery demand, Renewable energy storage solutions, Growing aerospace applications, Advanced electronics industries, Recycled cobalt market potential
Key Market Dynamics	Supply chain disruptions, Increasing demand for electric vehicles, Price volatility, Environmental regulations, Geopolitical tensions
Countries Covered	North America, Europe, APAC, South America, MEA