The growth of steel demand, which accounts for over 85 percent of vanadium’s use, has help raise the price. Nowhere near the $40 per pound price seen in 2008, vanadium has room to grow. Also, the use of vanadium in new battery technology gives a new dimension to the market and may increase the demand for the metal significantly.
The nation of China now requires almost 50 percent of the global supply of vanadium. The country’s demand grew by 13 percent between 2003 and 2009, while world production of vanadium increased by 7 percent between 2003 and 2008.
Four nations have locked their hands on the wheel of vanadium production, becoming the driving force in both the supply and demand of steel.
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