US Producer Bankruptcy Triggers Supply Chain Risks, China and Europe Compete to Develop New Tracks for Magnesium Alloys and Magnesium Batteries [SMM Survey]

Published: Sep 16, 2025 15:26
[SMM Survey: US Producer Bankruptcy Triggers Supply Chain Risks, China and Europe Compete to Develop New Magnesium Alloy and Magnesium Battery Tracks] Recently, US Magnesium, the only primary magnesium producer in the United States, filed for bankruptcy due to environmental disputes, which may increase the US's reliance on magnesium imports from China and Russia, raising concerns about national security and supply chains. Meanwhile, China's Yimeitai exported its first complete set of high-end magnesium alloy equipment to South Korea, achieving a reverse transfer of technology and highlighting China's leading advantage in the application of magnesium alloys. The European Union has launched the HighMag project, collaborating with multiple countries on R&D for magnesium battery technology to compete for dominance in next-generation ESS solutions. The global magnesium industry is facing multiple challenges involving environmental protection, supply chains, and technological innovation, further clarifying the competitive landscape among China, the US, and Europe in strategic resources and key technology areas.

Major US Magnesium Producer Files for Bankruptcy, National Security and Environmental Protection at Odds

The only primary magnesium metal producer in the US, U.S. Magnesium, announced on September 10, 2025, that it had filed for Chapter 11 bankruptcy protection. The bankruptcy filing stems from a long-standing environmental dispute with the state of Utah, which, based on an academic study, sought to terminate the company's operating lease in the Great Salt Lake area, alleging that halide emissions from its plant were one of the main culprits behind local winter smog pollution. If the company ceases operations, the US will have to rely more heavily on imports from China and Russia, as over 85% of global magnesium production currently comes from China, raising significant supply chain and national security concerns. The company stated that the bankruptcy filing is aimed at restructuring its business to maintain operations and fulfill its commitment to government environmental management.

 

Domestic Magnesium Alloy Equipment Enters South Korean Market for the First Time, Yimei Tai’s Comprehensive Solution Lands at Optimo

Yimei Tai's MG-800 magnesium alloy semi-solid injection molding complete set of equipment officially set sail for the Optimo customer site in South Korea. This delivery not only marks the overseas venture of a single piece of equipment but also represents the first comprehensive solution exported to South Korea, encompassing robots, conveyors, mold temperature machines, trimming machines, and hot forming machines. The equipment adopts innovative semi-solid injection molding technology, eliminating the need for traditional high-temperature melting processes, directly transforming magnesium alloy granules into finished products, offering safety, energy efficiency, and environmental protection advantages. It has also passed the stringent KCs certification in South Korea, meeting international standards. This breakthrough signifies that domestic high-end magnesium alloy equipment has successfully broken through international technological barriers, achieving a strategic transformation from "technology introduction" to "solution export." In the context of accelerating global lightweight trends, this technology can be widely applied in 3C electronics, automotive manufacturing, medical devices, outdoor equipment, and humanoid robots, providing the global manufacturing industry with a fast-forming solution comparable to injection molding, helping customers achieve green production and cost reduction while improving efficiency.

 

EU Launches HighMag Project to Develop Next-Generation Magnesium Battery ESS Solutions

The four-year European research program, HighMag, officially kicked off, funded by the EU's Horizon Europe program and supported by CINEA. It brings together 13 academic and industrial partners from multiple European countries, Switzerland, and Israel, aiming to address urgent challenges in the field of energy storage: developing sustainable alternatives to lithium-ion technology. At the core of the project is the R&D of rechargeable magnesium batteries (RMBs) – a fifth-generation battery technology that leverages the abundant natural reserves, lower costs, and higher safety of magnesium, positioning it as an ideal solution for next-generation mobility and other high-energy consumption applications.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn
For more information on how to access our research reports, please contact:service.en@smm.cn
Related News
Magnesium Market in H1 2026 Sees Symmetric Consolidation, as the Boom Fades and Weakness Persists: Where Is the Price Bottom? [SMM Analysis]
9 hours ago
Magnesium Market in H1 2026 Sees Symmetric Consolidation, as the Boom Fades and Weakness Persists: Where Is the Price Bottom? [SMM Analysis]
Read More
Magnesium Market in H1 2026 Sees Symmetric Consolidation, as the Boom Fades and Weakness Persists: Where Is the Price Bottom? [SMM Analysis]
Magnesium Market in H1 2026 Sees Symmetric Consolidation, as the Boom Fades and Weakness Persists: Where Is the Price Bottom? [SMM Analysis]
[SMM Magnesium Market Analysis: Magnesium Market Walked a Symmetric Consolidation Pattern in H1 2026, Weakening After the Fade of the Boom – Where Is the Bottom of Magnesium Prices?] Looking back at the Chinese magnesium market in H1 2026, affected by concentrated production halts at magnesium smelters earlier, the pattern of strong supply and weak demand quietly reversed. Tight spot supply and low inventory provided a good foundation for phased rises in the fundamentals of the magnesium ingot market. Coupled with news-driven disturbances such as surging demand for magnesium alloys, speculative demand suddenly emerged, and market procurement enthusiasm soared. In Q1, magnesium prices showed a stair-step increase. Overly high expectations boosted smelters' production enthusiasm, and magnesium smelter output rose continuously. By June 2026, China's primary magnesium production had reached 110,000 mt. The continuous increase in output added to the sales pressure on magnesium smelters. With both inventory and output rising, magnesium prices showed a stair-step decline in Q2. Overall, magnesium prices presented an inverted V-shaped trend in H1.
9 hours ago
Latrobe Magnesium's First Phase Plant in Australia 33% Complete, Aiming for 2026 Production Launch
9 hours ago
Latrobe Magnesium's First Phase Plant in Australia 33% Complete, Aiming for 2026 Production Launch
Read More
Latrobe Magnesium's First Phase Plant in Australia 33% Complete, Aiming for 2026 Production Launch
Latrobe Magnesium's First Phase Plant in Australia 33% Complete, Aiming for 2026 Production Launch
[SMM Magnesium Express]On July 1st, according to foreign media reports, the construction of the first phase demonstration plant of Latrobe Magnesium in Victoria, Australia has been completed by 33%, and installation and commissioning are being promoted to prepare for the first production of magnesium metal in the second half of 2026. At present, key facilities such as the reduction furnace platform, quicklime system, and public pipelines have been completed, and the main control panel and screw feeder have been installed and tested for power on. The company plans to conduct the second prototype furnace test in mid July, and the overall project is steadily progressing. With the gradual operation of demonstration plants, the local magnesium smelting capacity in Australia is expected to achieve breakthroughs, providing new supplements to the regional supply chain.
9 hours ago
Yian Tech's Biodegradable Magnesium Screw Shows Promise in Knee Ligament Reconstruction Trials
9 hours ago
Yian Tech's Biodegradable Magnesium Screw Shows Promise in Knee Ligament Reconstruction Trials
Read More
Yian Tech's Biodegradable Magnesium Screw Shows Promise in Knee Ligament Reconstruction Trials
Yian Tech's Biodegradable Magnesium Screw Shows Promise in Knee Ligament Reconstruction Trials
[SMM Magnesium Express]Recently, Yian Technology announced that the clinical trial of its biodegradable magnesium interface screw has made significant progress. This product is used for anterior cruciate ligament reconstruction of the knee joint. As of now, a total of 124 cases have been enrolled, accounting for 95.4% of the planned total sample size. Among them, 57 subjects have completed one-year follow-up after surgery, and the fixation effect is stable. The overall trial results are in line with expectations. After obtaining the clinical trial summary report, the company will submit a registration application to the National Medical Products Administration. After the product is launched, it is expected to fill the domestic application gap of biodegradable metal orthopedic implant consumables and promote the upgrading of orthopedic diagnosis and treatment plans.
9 hours ago