Green Energy May Spur US-Made Electrolytic Manganese Demand

By Shihoko Goto — Exclusive to Manganese Investing News

Advancements and innovations in green energy technologies could lead to a surge in demand for electrolytic manganese metal. With 98 percent of the global manganese output coming from China, demand for electrolytic manganese may in turn lead to a renaissance in the metal's production in North America.

Manganese is available in several different forms, the most common of which are ferro-manganese and silicon-manganese. Not to be confused with its ferroalloy counterparts, electrolytic manganese metal (EMM) is the purest form of manganese available.

Electrolytic manganese's traditional demand comes from the steel industry where it is used as an alloying agent for steel and aluminum. However, electrolytic manganese is also proving to be a vital component for new high-tech applications, primarily in the green energy sector. EMM is used in the cathodes of lithium-ion batteries for electric vehicles, and EMM's more refined form, electrolytic manganese dioxide (EMD), in anodes. Car manufacturers in the US are already using EMM and EMD in their electric vehicle technologies, making the US the leading global consumer of EMD.

The US has no domestic supply of electrolytic manganese, and as such it relies wholly on exports from China to meet the current demand coming from the high-tech industry. However, prices for electrolytic manganese are high. China charges a 20 percent export duty, and US companies must pay a further 14 percent import charge, bumping the price for US consumers to roughly US$1.84 per pound.

The lack of domestic electrolytic manganese supply, the fact that it has no substitute, along with high prices and growing demand from the green energy sector, puts the United States' high-tech manufacturers under threat of being lost to foreign competitors.