Korea Zinc Expands Role Amid China’s Export Controls

Korea Zinc is reinforcing its position in the global critical minerals supply chain following China's expanded export restrictions on tungsten, tellurium, bismuth, molybdenum, and indium. As the sole domestic producer of three of these minerals, Korea Zinc plays a key role in South Korea’s supply stability and accounts for 29% of U.S. indium imports.

China’s restrictions, imposed on February 4, have heightened concerns about supply security. South Korea heavily relies on China for tungsten and molybdenum, but the impact on indium, bismuth, and tellurium is expected to be minimal due to Korea Zinc’s production capacity. The company recovers indium from zinc concentrates and secondary raw materials, producing approximately 150 tons annually, covering 11% of global demand.

Indium is primarily used in indium-tin-oxide (ITO) for displays and touchscreens, as well as in thin-film solar cells and 5G optical networks. Demand is growing due to AI advancements, with sales of indium phosphide-based substrates rising 67% in 2024.

A Korea Zinc spokesperson stated that under the leadership of Chairman Yun B. Choi and CTO Lee Je-Joong, the company is focused on increasing rare metal recovery through technological investments, ensuring stable supply chains amid trade uncertainties.