Metals and Manufacturing – Page 13

China’s Dominance in Rare Earths Threatens European Electric-Car Industry – by Frank Fang (Epoch Times – December 16, 2018)

December 17, 2018

https://www.theepochtimes.com/

Rare-earth metals are critical to the modern economy as they are a key material for making batteries that power electric vehicles; are added to touchscreens and circuit boards in smartphones; and are used in laser systems that guide missiles and bombs.

While European Union countries are among the world’s biggest electric-vehicle markets, the bloc as a whole has only a few rare-earth metal deposits. Other than deposits in several countries such as Greenland, Norway, and Finland, the EU relies on imports to support industrial demand. Cobalt, one of the key minerals in manufacturing lithium-ion batteries that power electric cars and smartphones, is currently only mined in Finland, among all EU countries.

The Geological Survey of Sweden (SGU), a Swedish government agency, issued an updated report on the Scandinavian country’s rare-earth deposits Dec. 7, detailing the country’s geological potential for mining the metals. But the potential mining boom in Sweden could be dashed because of China’s dominance in the market, said a Swedish analyst.

Germany secures access to world’s second-largest lithium deposit – by Cecilia Jamasmie (Mining.com – December 12, 2018)

December 13, 2018

http://www.mining.com/

Germany and Bolivia today sealed a partnership for the industrial use of lithium, a key component in the batteries that power electric cars and cell phones. ACI Systems will work with state-owned Bolivian Lithium Deposits (YLB) on installing four lithium plants in the Salar de Uyuni salt flats, which hold the world’s second-largest lithium deposit.

The joint venture also plans to build a factory for electric vehicle batteries in the country. While more than 80% of the lithium extracted will be exported to Germany, the company is said to be in talks with other European companies.

The partners expect to produce up to 40,000 tonnes of lithium hydroxide per year, beginning in 2022, over a period of 70 years. President Evo Morales sees a prosperous future for the impoverished nation, pinning his hopes on the rapid rise in the global price of the so-called white petroleum.

EU’s Sefcovic: Real risk that ‘raw materials become the new oil’ – by Frédéric Simon (EURACTIV.com – November 20, 2018)

November 22, 2018

https://www.euractiv.com/

Europeans have to be “very vigilant” that today’s dependency on imported oil and gas is not replaced by dependency on lithium, cobalt, copper and other raw materials that industries need for the green transition, Maroš Šefčovič told EURACTIV.

“I really think that, when it comes to the issue of dependency, we could end up in a situation where raw materials become the new oil,” the European Commission vice-president warned in an exclusive interview.

Maroš Šefčovič is vice-president of the European Commission in charge of the energy union. He spoke to EURACTIV’s energy and environment editor, Frédéric Simon, at the end of EU Raw Materials Week 2018.

Raw materials ‘megatrends’ point to looming supply risks in Europe – by Frédéric Simon (EURACTIV.com – November 19, 2018)

November 22, 2018

https://www.euractiv.com/

Markets for raw materials have recovered from the 2008 financial crash, fuelled by the continued digital transformation of the economy and the rapid deployment of green technologies. Is the world on track for a repeat of the resource boom seen in the early 21st century?

The global fight for natural resources was nearing an all-time high when the European Commission first laid out an EU strategy for raw materials, back in 2008. “A strong and unforeseen surge in demand” driven essentially by double-digit growth in China, had led to a tripling of metal prices between 2002 and 2008, the Commission said at the time.

China, the world’s de facto sole supplier of rare earth metals, took advantage of its monopolistic position to impose restrictions on exports, prompting Japan to start stockpiling in fear of a supply crunch.

In EV era, Brookfield and Caisse place $13-billion bet on conventional car battery maker – by Gabriel Friedman (Financial Post – November 14, 2018)

November 14, 2018

https://business.financialpost.com/

Electric vehicles will make up 15 per cent of all auto sales in a decade — that still leaves 85 per cent of the market to traditional cars

The rapid growth of the electric vehicle industry may be drawing headlines, but when it comes to drawing major investments, the internal combustion engine remains on solid footing.

In a deal that highlights the breadth of the traditional automotive industry, two Canadian investment funds on Tuesday announced a US$13.2-billion deal to purchase the leading global manufacturer of lead-acid batteries.

Toronto-based asset manager Brookfield Business Partners and pension manager Caisse de dêpôt et Placement du Québec (CDPQ) along with other investors will jointly acquire 100 per cent of Ireland-based Johnson Controls’ automotive business — which shipped 154 million automotive lead-acid batteries in 2017.

Electric car demand fueling rise in child labor in DR Congo: campaigners – by Nellie Peyton (Reuters U.S. – November 2, 2018)

November 5, 2018

https://www.reuters.com/

DAKAR (Thomson Reuters Foundation) – Demand for electric vehicles is fueling a rise in child labor in cobalt mines in the Democratic Republic of Congo, experts said this week, urging companies to take action as the industry expands.

Cobalt is a key component in batteries for electric cars, phones and laptops, and Congo provides more than half of global supply. Tens of thousands of children as young as six dig for the toxic substance in artisanal mines in the country’s southeast, without protective clothing, rights groups say.

As companies move to secure their supply of cobalt, they should also make a push to improve transparency and labor rights, said U.S.-based advocacy group Enough Project.

Metal More Common in Moon Rocks Could Transform Planes and Cars – by David Stringer (Bloomberg News – October 25, 2018)

October 25, 2018

https://www.bloomberg.com/

There’s an unexpected benefit from the boom in battery metals mining — it’s going to boost production of scandium, an obscure element whose long-held promise to transform manufacturing of planes and cars has been stalled by a lack of supply.

The silver-white metal, found in higher concentrations in moon rocks than on Earth, can be added to aluminum to make alloys that are lighter, stronger and more malleable. These can dramatically reduce the weight of parts for aircraft, cars or ships and help deliver savings on fuel costs.

“It’s the single most potent strengthening element you can add to aluminum,” said John Carr, vice president for business development and scandium marketing at Clean TeQ Holdings Ltd., an Australian developer of a mine that’ll produce the metal alongside cobalt and nickel for the battery sector. “Why scandium is so interesting is that if you add very, very small amounts of it — it has amazing impacts.”

Tariffs eroding profits and driving up costs, metal manufacturers tell lawmakers – by Eric Atkins (Globe and Mail – October 23, 2018)

October 24, 2018

https://www.theglobeandmail.com/

Metal manufacturers and fabricators aired their complaints about trade barriers in Ottawa on Tuesday, telling members of Parliament that U.S. tariffs on steel and aluminum coupled with Canada’s countermeasures are eroding profits and driving up costs. This is giving foreign rivals an edge, the business people said, appearing before the standing committee on international trade.

Chris Wharin of Bohne Spring Industries Ltd., a Toronto-based maker of springs, wire and metal work for automotive and other uses, said that to keep its customers, the company cannot pass on some of the higher import and manufacturing costs incurred since Canada placed retaliatory tariffs of 10 per cent and 25 per cent on metal products from the United States.

“This is having a crippling effect on our cash flow and profits,” he said, adding the company relies on U.S. suppliers for much its steel and is unable to find domestic replacements.

The dirt on clean electric cars – by Niclas Rolander, Jesper Starn and Elisabeth Behrmann (Toronto Star/Bloomberg – October 21, 2018)

October 22, 2018

https://www.thestar.com/

Beneath the hoods of millions of the clean electric cars rolling onto the world’s roads in the next few years will be a dirty battery.

Every major carmaker has plans for electric vehicles to cut greenhouse gas emissions, yet their manufacturers are, by and large, making lithium-ion batteries in places with some of the most polluting grids in the world.

By 2021, capacity will exist to build batteries for more than 10 million cars running on 60 kilowatt-hour packs, according to data of Bloomberg NEF. Most supply will come from places like China, Thailand, Germany and Poland that rely on non-renewable sources like coal for electricity.

Chinese electric car makers, nurtured by state, now look for way out of glut – by David Stanway (Reuters U.S. – October 16, 2018)

October 18, 2018

https://www.reuters.com/

HANGZHOU, China (Reuters) – Humming away in an industrial estate in the eastern Chinese resort city of Hangzhou, electric vehicle designer Automagic is one of hundreds of companies looking to ride the country’s wave of investment in clean transportation.

The company wants to find a niche in a crowded sector that already includes renewable equipment manufacturers, battery makers and property developers like the Evergrande Group, as well as established auto giants. But not all of these electric vehicle hopefuls will make it to the finish line.

“This (large number of firms) is inevitable, because whenever there is an emerging technology or emerging industry, there must be a hundred schools of thought and a hundred flowers blooming,” said Zhou Xuan, Automagic’s general manager, referring to Chinese leader Mao Zedong’s ill-fated 1956 “Hundred Flowers” campaign aimed at encouraging new ideas.

Even if carbon taxes are implemented, are electric cars really the best way to go? – by Eric Reguly (Globe and Mail – October 15, 2018)

October 15, 2018

https://www.theglobeandmail.com/

A transportation revolution is in the making and bets worth hundreds of billions of dollars are being placed. Who might the winner be? Will it be the Tesla-style electric car, the Toyota-style hybrid or the hydrogen car?

Will personal transportation of the Uber ilk, possibly in self-driving form, replace public transportation as we know it? Might the gasoline engine surprise us all and endure for another 20 years, or even a century?

It’s impossible to know, but we do know the game changed more than a little this week when the United Nations published a frightening report that said the planet is warming at a far faster rate than the climate-change scientists had suspected.

From the deforestation of the Peruvian Amazon to a ‘lake of toxic sludge’ in China: How building a smartphone devastates planet Earth – by Patrick Byrne and Karen Hudson-Edwards) Daily Mail/The Conversation – August 29, 2018)

August 31, 2018

http://www.dailymail.co.uk/

Dr Patrick Byrne is a researcher at Liverpool John Moores University, and Karen Hudson-Edwards is a scientist at the University of Exeter.

Nearly five billion people worldwide will use a smartphone by 2020. Each device is made up of numerous precious metals and many of the key technological features wouldn’t be possible without them.

Some, like gold, will be familiar. Others, such as terbium, are less well-known. Mining these metals is a vital activity that underpins the modern global economy.

But the environmental cost can be enormous and is probably far greater than you realise. Let’s walk through some of the key metals in smartphones, what they do, and the environmental cost of getting them out of the ground.

UPDATE 2-Electric car bets boosting nickel demand, Nornickel says – by Polina Ivanova (Reuters – August 13, 2018)

August 14, 2018

https://www.reuters.com/

MOSCOW, Aug 13 (Reuters) – Expectations of a boom in demand for electric vehicles are leading investors and battery makers to stockpile nickel and helping to fuel a spike in global prices of the metal, Russian mining company Norilsk Nickel said on Monday.

Nornickel, the world’s second-largest nickel producer, said demand for the metal from the battery sector leapt 38 percent in the first half of this year versus the same period last year.

Along with demand from the stainless steel sector, this helped boost prices to $15,750 per tonne in June, their highest in over four years, the company said, with the battery sector accounting for 5 percent of total global nickel demand.

Auto industry’s use of lithium-ion batteries to grow seven-fold by 2025 – by Cecilia Jamasmie (Mining.com – August 13, 2018)

August 13, 2018

http://www.mining.com/

The use of lithium-ion batteries by automakers is expected grow seven-fold by 2025, helped mainly by their dropping costs as well as by subsidies and incentives in many countries, particularly in China, to encourage sales of electric vehicles (EVs)

According to Will Adams, Metal Bulletin’s Head of Research for the battery materials, base metals and precious metals markets, demand for lithium-ion batteries will soar to 650 GWh by 2025, from only 70 GWh last year.

The need to store electricity, generated by renewable energy sources such as wind and solar, will also help demand to grow, he said on a report published Monday.

Ford Calls Rising Steel, Aluminum Prices ‘Significant Headwind’ – by Keith Naughton (Bloomberg News – August 8, 2018)

August 10, 2018

https://www.bloomberg.com/

Rising steel and aluminum prices, driven up by President Donald Trump’s tariffs on those commodities, are a substantial drag on Ford Motor Co.’s business, though a top executive said the company doesn’t plan to pass higher costs on to consumers.

“The escalation of steel and aluminum prices is really significant,” Jim Farley, Ford’s president of global markets, said after a factory ceremony near Detroit to commemorate building the 10 millionth Mustang muscle car. “It’s a significant headwind for us. It’s something that puts pressure on our own costs.”

Ford began the year by warning that rising costs for raw materials like steel and aluminum, coupled with unfavorable exchange rates, would add $1.6 billion to its costs this year.