Growth in Batteries Further Spurs Investments in Lead Smelting

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Researched by Industrial Info Resources (Sugar Land, Texas)--Lead smelting is a vital material used in everyday items like pipes, solders, and gasoline and is a crucial part of the Metals and Minerals Industry. It's also essential for various industrial uses, such as ceiling coverings, hospital equipment for radiotherapy and safety features in airplanes.

The growth of the automotive industry, particularly lead-acid batteries, as well as the construction sector, contribute significantly to the demand for refined lead. Approximately 60% of all lead-acid batteries are used in cars, as estimated by the International Lead Association.

According to The International Lead and Zinc Study Group (ILZSG), there is an anticipated increase in both demand and production of lead globally, especially in the automotive sector. Global demand is forecasted to jump 1.7% this year to 12.53 million metric tons.

Industrial Info is tracking 66 lead smelter projects globally, worth US$3.31 billion. Subscribers to Industrial Info's Global Market Intelligence (GMI) Metals & Minerals Project Database can click here for a list of detailed project reports.

China accounts for about 76% of the investment, with US$2.51 billion in spending. These are mainly grassroot and expansion projects. The U.S., India and Mexico account for about 18% of the total investment (US$601 million).

Looking at the key market players, Western Mining Group Company Limited (Qinghai Province, China) is spending US$305.6 million to upgrade and expand an existing primary lead smelter in Golmud, Qinghai to increase lead capacity up to 200,000 tons per year. This is followed by Hebei Xinsheng Environmental Protection Technology Company Limited (Hebei Province) investing about US$210 million.

About 30% of the total lead smelting investments are in the planning phase, about 41% are in the engineering phase and 29% are under construction.

The major funding is geared toward secondary lead smelter projects (grassroot and expansions); 69% of the projects are geared towards secondary smelting, which is the recycling of lead from used batteries. This is being driven by the rising need to minimize environmental impacts and risks caused by lead smelting.

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).