Commodities Demand will Continue to Grow

Global population growth, especially in emerging economies, will continue to increase demand for commodities.

National Mining Association (NMA)

Global population growth, particularly urbanization and industrialization in emerging economies, has created strong demand for commodities from metals and mining. Our modern world depends on mining for:

  • Power generation
  • Defense
  • Manufacturing
  • Infrastructure for developed and developing nations
  • Medicine
  • Communications
  • Safety

“The largest mining show on and under earth”, MINExpo INTERNATIONAL 2016, September 26-28, 2016, in Las Vegas, brings everyone in the mining industry together to advance the equipment and technology used to meet global demand for mined raw materials.

Here’s a breakdown of the latest industry trends ahead of the upcoming MINExpo:

  • The U.S. estimated mineral reserve base is valued at $6.2 trillion. The S. Geological Survey (USGS) and the U.S. Department of Commerce estimated USA exported $9.1 billion and imported $6.1 billion in mined raw materials in 2015. Domestic mined raw materials production was valued at $78.3 billion.
  • The USGS estimated the total value of domestic mined metal production in 2015 was $26.6 billion. Principal contributors were copper, gold, iron ore, molybdenum concentrates and zinc.
  • Copper is found in construction (electrical cables, wiring, plumbing), telecommunications, electronics, transportation equipment, medicine, hybrid vehicles, household items and others. S. mined production of copper in 2015 was valued at $7.6 billion.
  • One of the world’s desirable commodities, gold also offers a variety of uses in such diverse sectors as aerospace, automotive, and medical technology, among others.
  • Total global gold mine supply reached a record 91.8 million ounces in 2015. MINExpo’s host state Nevada, one of the world’s top producers as worldwide gold mine supply, is projected at 94.4 million ounces this year.
  • From the construction of the world’s tallest skyscrapers to the ultra-thin design of electronics, molybdenum is crucial to the strength and durability of many industries since moly is used in almost every industrial process.
  • With its unique properties of strength, malleability, reflectivity and conductivity, silver plays a major role in technologies we use every day. The Silver Institute forecasts that industrial demand, the largest component of silver consumption, will increase this year. Its properties make it important to the development of next generation technologies such as flexible solar panels, sensors and electronics.
  • Growing economies around the world will require more energy for transportation electricity and manufacturing and industrial processes. According to the International Energy Agency’s (IEA) 2015 World Energy Outlook forecast, the global energy demand is expected to increase by one-third by 2040 with the net growth coming from developing countries. To meet the demand, all energy sources will be needed including coal and uranium.