Improved demand benefits niobium

The prospects for a rise in demand for niobium for the rest of the 1990s are far more positive than in the first years of the decade, says researcher Roskill of London in its new report Niobium: market update, analysis and outlook.

World production of niobium minerals fell from its 1991 peak of 15,870 tonnes niobium to 13,919 tonnes in 1993, as world recession slowed demand for iron and steel (the main market for niobium). Demand for automobiles and construction (the main end-uses for niobium-containing steels) fell in the major niobium-export markets, the U.S., Japan and Western Europe.

However, the iron and steel industries in the U.S. and Western Europe experienced a recovery in demand during 1994 which is set to continue rising by up to 5% in 1995. Although the Japanese economy is taking longer to recover, growth in steel demand is forecast at 2% in 1995, and growth in demand is also expected in developing countries.

With the recovery of the automobile market in North America and Western Europe, 1994 has marked a turning point in demand for steel. Strong growth is predicted in automobile production in Asia and Europe for the rest of the 1990s.

The growing trend for using high-strength, low-alloy steels, which account for at least 60% of world ferroniobium consumption, has stimulated niobium demand.

For more information, contact Roskill Information Services Ltd., 2 Clapham Road, London SW9 0JA, U.K.

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