April 18, 2024

The Growth of the Argentite Market Ore Mining Industry is driven by Increasing Demand from Electronics Sector

Argentite is soft and easily fusible and is used in silver plating and production of chlorine and caustic soda. The growing electronics industry has increased the demand for silver which is a very good conductor of electricity. Argentite is one of the major primary sources for extraction of silver. Electronics such as transistors, printed circuit boards, switches, connectors etc widely use silver for its electrical conductivity. As the usage of electronic devices is increasing globally due to rapidly growing telecommunication and automation sectors, the demand for silver is also surging significantly.

The global Argentite Market is estimated to be valued at US$ 780 million in 2023 and is expected to exhibit a CAGR of 12% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

The increasing extraction and processing of Argentite ore will help meet the rising silver requirements of the electronics and electrical industries. Argentite deposits are mainly found in South America, especially in Chile, Peru and Bolivia which are also the major producers and exporters of Argentite in the world. Key advantage of Argentite includes its high silver content of around 75–90% which makes it suitable for direct smelting to recover the metal. With the growing silver needs of photovoltaic panels, electric vehicles and charging infrastructure as alternative energy production increases globally, Argentite mining is projected to rise substantially over the coming years.

Market key trends:

One of the key trends in the Argentite market is increasing supply from emerging mining regions. Countries like Mexico, Serbia and Turkey are investing heavily in exploration and extraction of Argentite reserves to cater to the escalating worldwide demand. For instance, discoveries of new high-grade Argentite deposits in southeast Turkey are drawing interest from miners. Companies are acquiring mining licenses and setting up processing facilities in these nations to ensure steady and affordable supply of silver extracted from Argentite in the long run. Rising mining activities in non-traditional regions will help diversify supply and mitigate risks from geopolitical issues or natural calamities affecting major producing areas.

Porter’s Analysis
Threat of new entrants: The Argentite market has moderate threat of new entrants given the requirements for mining activities and processing facilities.
Bargaining power of buyers: Individual buyers have low bargaining power compared to bulk buyers in the Argentite market due to centralized demand from industrial segments.
Bargaining power of suppliers: Suppliers of Argentite have moderate bargaining power due to availability of alternatives and dependence on few mining regions globally for majority of supply.
Threat of new substitutes: Substitute minerals like silver provide threat to Argentite market, albeit their usage is limited by cost and properties.
Competitive rivalry: The Argentite market witnesses high competition between major players to cater to increasing industrial demand.

Key Takeaways
The global Argentite market is expected to witness high growth during the forecast period of 2024 to 2031.

Regional analysis: The Asia Pacific region dominates the global Argentite market with China being the major producer and consumer. Growth in industrial activities in countries like India is further expected to drive the regional demand. Key players operating in the Argentite market are Shandong Xinhai Mining Technology & Equipment, Dandong XinYuan, and Jinduicheng Molybdenum.

Key players operating in the Argentite market are Shandong Xinhai Mining Technology & Equipment, Dandong XinYuan, and Jinduicheng Molybdenum. These players are focusing on capacity expansion as well as partnerships with industrial consumers to gain market share during the forecast period.

Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it