February 23, 2023

Battery-Grade Manganese Refining Market Assessment

Stratas Advisors


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Production of battery-grade manganese currently represents a very small fraction of global manganese mine supply, with the bulk of production going to steel and ferroalloys end-uses. Nickel-cobalt-manganese (NCM) battery chemistries require high-purity manganese sulfate monohydrate (HPMSM), produced either directly from high-grade manganese ores or from the crystallization of high-purity electrolytic manganese monohydrate (HPEMM) obtained from the leaching and purification of manganese ore. HPMSM is the preferred manganese precursor for the production of cathode materials, but HPEMM may also be used directly for the production of cathode precursors in some battery applications. Notably, high-grade manganese sulfate is also used by other industries, especially in the fertilizer sector, although it typically contains a lower purity than that used in the battery industry – making battery-grade HPMSM a highly specialty product.
China currently produces around 84% of global HPMSM supply, distributed across less than 20 facilities, with Japan producing another 11%. With only a few greenfield projects in the pipeline, China is projected to retain its dominance in the global battery-grade HPMSM market, although non-Chinese supply sees a stronger CAGR over the forecast period. By 2030, China’s share of total supply falls by 8 percentage points, with Southern Africa gaining the strongest position among global markets. South Africa also remains dominant in terms of HPEMM supply despite a market share loss of 5.1 percentage points, and Chinese HPEMM supply also witnesses a net share loss of 9 percentage points from 2022 to 2030 as projects come online towards the second half of the decade.



This report is part of a series covering all segments of the EV and cleantech supply chain, and contains strategic insights on growth projections and production trends across major markets and 35+ players, outlining key investments which help shape estimates on annual supply through 2030.

Key takeaways:

  • Global supply of battery-grade high-purity manganese sulfate monohydrate (HPMSM) grows at a CAGR of 20% over 2022-2030, while investment in battery-grade high-purity electrolytic manganese monohydrate (HPEMM) as an end-product remains bearish

  • Chinese supply is expected to dominate global supply of HPMSM through 2030, though growth in Southern Africa, Australia, Europe, and Canada result in a net market share loss of 8 percentage points for China

  • The top four players, operating exclusively in China, increase their market share to over 57% by 2030 as expansions outpace the growth of greenfield projects elsewhere

  • The penetration of smaller and new participants remains very limited due to the complexity and high costs of battery-grade manganese processing; however, provided that all projects are implemented, new entrants could account for some 13% of total global supply by 2030


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Subscribers can access the full report from Stratas Advisors' CleanTech and Battery Supply Chain service.

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