The global cobalt sulfate market is poised for significant expansion as electric vehicle (EV) manufacturers, battery producers, and energy storage solution providers increase demand for high-performance materials. According to a recent report by Fact.MR, the market is valued at USD 3.7 billion in 2025 and is projected to reach USD 7.2 billion by 2035, recording an absolute increase of USD 3.5 billion during the assessment period. This reflects a robust CAGR of 6.8% between 2025 and 2035.
Cobalt sulfate, a critical component in lithium-ion battery production, plays a central role in the global shift toward electrification and renewable energy. As governments implement stricter emission norms and promote clean mobility, demand for cobalt sulfate is accelerating across automotive, electronics, and industrial energy sectors.
Market Drivers: EV Expansion, Battery Manufacturing, and Recycling Initiatives
Growing Electric Vehicle Production and Battery Demand
The rapid rise in electric vehicle (EV) manufacturing is the primary driver of cobalt sulfate demand. Automakers are increasingly adopting nickel-cobalt-manganese (NCM) and nickel-cobalt-aluminum (NCA) battery chemistries to achieve higher energy density and performance. Cobalt sulfate, being the precursor material in these batteries, is witnessing a sharp demand increase from major battery producers in China, South Korea, and Europe.
Technological Innovation and Sustainable Sourcing
Battery manufacturers are investing in advanced refining and recycling technologies to ensure a stable cobalt supply and minimize environmental impact. Innovations in hydrometallurgical refining, solvent extraction, and closed-loop recycling are improving efficiency and sustainability. Furthermore, increased traceability and responsible sourcing initiatives—supported by global programs such as the Responsible Cobalt Initiative (RCI)—are promoting ethical supply chains.
Energy Storage Systems and Industrial Uses
Beyond EVs, cobalt sulfate is gaining traction in grid-scale energy storage systems (ESS), which are essential for renewable integration and load balancing. The chemical’s electrochemical stability and conductivity also make it suitable for catalysts, pigments, and plating applications, diversifying its industrial demand base.
Competitive Landscape
The cobalt sulfate market is characterized by strategic expansion, vertical integration, and collaborations across the battery and mining industries.
Key Players in the Cobalt Sulfate Market:
- Huayou Cobalt
- GEM Co
- Zhejiang Huayou
- Jinchuan
- Umicore
- Glencore
- Freeport
- Sumitomo Metal Mining
- Sherritt
- ERG
- Norilsk Nickel
- Greatpower
- CNGR
- Chemaf
- First Cobalt
Leading players are focusing on expanding refining capacity, securing long-term supply agreements with automakers, and enhancing recycling infrastructure. Strategic partnerships with EV manufacturers and cathode producers are becoming essential to maintain supply stability amid tightening raw material availability.
Recent Developments
- August 2025 – Glencore announced a multi-year supply agreement with a leading EV manufacturer to deliver sustainably sourced cobalt sulfate, supporting the company’s transition to ethical and traceable raw material sourcing.
- March 2025 – Umicore and CNGR launched a joint venture to produce high-purity cobalt sulfate in Europe, enhancing the regional battery supply chain resilience.
- November 2024 – Huayou Cobalt expanded its refining facility in Indonesia to meet growing demand for cobalt sulfate from local and international cathode producers.
Regional Insights
Asia-Pacific – Global Leader in Cobalt Refining and Battery Manufacturing
China dominates global cobalt sulfate production, driven by the presence of key refiners and cathode material manufacturers. Growing EV sales and government incentives across Japan, South Korea, and India are further boosting demand.
Europe – Strengthening Local Battery Supply Chain
European nations are investing in gigafactories and sustainable raw material sourcing to reduce dependency on imports. The region’s focus on ethical cobalt supply and recycling aligns with the EU’s Green Deal and battery regulation framework.
North America – Expanding EV Infrastructure
The U.S. and Canada are witnessing increased investments in EV battery manufacturing and mining operations. Government-backed initiatives to develop domestic cobalt refining capabilities are expected to drive market growth.
Future Outlook: Sustainable and Circular Cobalt Ecosystem
The next decade will see cobalt sulfate evolving through:
- Battery Recycling Growth: Rising adoption of closed-loop recycling to recover cobalt and reduce supply risk.
- Sustainable Extraction: Implementation of eco-friendly and traceable sourcing practices.
- Technological Advancements: Development of high-purity cobalt sulfate for next-gen solid-state batteries.
- Regional Expansion: Increased localization of production in Europe and North America to enhance supply security.
By 2035, the cobalt sulfate market will be pivotal to global electrification, underpinned by sustainability, technological innovation, and resilient supply chains.
