Reported 5 months ago
China's state stockpiler, the National Food and Strategic Reserves Administration, intends to purchase up to 15,000 metric tons of cobalt metal from local Chinese producers in the coming months, a record quantity for a single purchase. This plan aims to offset some of the surplus in the cobalt market this year, with the metal being crucial for various industries like defense, aerospace, and communication. Chinese producers are looking for a price around $12 per pound, similar to current cobalt prices. This move is expected to mitigate pressure on cobalt prices but may not significantly impact the oversupplied market due to substantial production from the Democratic Republic of Congo.
Source: YAHOO