U.S. MINERALS INDUSTRY RELIANCE ON IMPORTED MINERAL MATERIALS: EFFECTS OF CHINESE MINERALS CONSUMPTION

Nonfuel minerals and mineral materials required by U.S. industry are mined and processed at thousands of localities in the United States. In the United States, while most low unit-value mineral commodities, such as crushed stone and construction sand and gravel, continue to be used almost entirely near the mines and processing facilities, some high-value nonfuel mineral commodities, such as copper, rare earths, and vanadium, are increasingly imported. The use of recycled metals in place of some types of ore for feedstocks has contributed to lower U.S. net import reliance for some commodities. Production and consumption of minerals and mineral materials in China and other developing countries have had both positive and negative effects on the U.S. minerals industry. Rising prices of mineral commodities increase U.S. mineral commodity producers' profits and may stimulate increased production but result in higher costs for downstream manufacturers and other consumers. Analysis of production, consumption, and trade trends for selected U.S. metals and industrial minerals industries provides key insights on future implications of China's emergence as a major industrial nation.

	Percentage net import reliance for the United States				China consumption (thousand metric tons)		U.S. consumption (thousand metric tons)
Mineral Commodity	1980	2000	2004e		2002	2003	2002	2003
Aluminum	E	33	41		4,120	5,190	6,320	6,130
Bauxite and alumina (Al equivalents)	94	100	100		4,990	5,830	2,860	3,240
Barite	44	84	79		1,390	1,430	1,920	2,070
Copper	16	37	43		2,740	3,070	2,370	2,290
Iron ore (Fe content)	25	10	8		149,000	182,000	36,100	33,600
Manganese (Mn content)	98	100	100		1,900	2,340	696	618
Nickel	76	56	49		84	133	227	211
Rare earths (REO content)	11	71	100		25	28	11	9
Titanium mineral concentrates (TiO2 content)	80e	79	65		590	650	1,400	1,410
Vanadium (V content)	35	100	100		21	23	3	3
Zinc (all forms)	60	60	56		1,680	1,980	1,420	1,340
Source: USGS. E, net exporter. e, estimated.