Private buyers interested in raw materials now have three additional physical assets to choose from. Alongside antimony, bismuth has recently joined the lineup-a metal that received little attention for a long time but is now gaining economic importance. The third metal will be introduced in an upcoming article.
Bismuth is indispensable for a wide range of industrial applications yet faces growing supply risks.
Bismuth: A Versatile All-Rounder
Bismuth is primarily produced as a byproduct during the processing of other metals such as lead, copper, or tin. Its key applications include pharmaceuticals, for example in treatments for gastrointestinal disorders, pigments for cosmetics, and low-melting alloys. These alloys are used in sprinkler systems, fuel tanks, steam boilers, and safety valves, or to seal decommissioned oil wells.
In addition, bismuth has become a sought-after substitute for toxic lead, for instance, as a soldering material in the electronics industry. The metal also plays an important role in semiconductor applications and thermoelectric materials. Bismuth telluride (Bi₂Te₃) is the most widely used thermoelectric compound and is used in temperature sensors or for generating electricity from waste heat.
High Market Concentration and New Restrictions
The global bismuth market is small and highly concentrated. According to the U.S. Geological Survey, China accounts for around 80 per cent of global refining capacity, making it the dominant producer. Global annual production totalled approximately 13,000 metric tonnes in 2024. For many years, supply and demand were well balanced, and the market environment remained calm with little volatility. Since February 2025, however, exports of bismuth from China have been subject to restrictions, significantly slowing trade flows due to lengthy approval procedures.
This growing dependence is also reflected in political assessments: under the EU's Critical Raw Materials Act, bismuth is classified as a strategic raw material. The United States, the United Kingdom, Canada, Australia, and South Korea also list the metal among their critical raw materials.
- structural demand: lead-free solders, thermoelectric materials
- price levels remain well above the historical average
- political and industrial initiatives to build strategic stockpiles of bismuth and other technology metals
- highly concentrated production and resulting import dependence
Digitalisation and Energy Transition as Growth Drivers
In the medium to long term, demand for bismuth is expected to continue rising. Digitalisation and the expansion of renewable energy are considered key growth drivers. In photovoltaics, bismuth is used as a solder material in solar modules, while thermoelectric applications could gain importance as the focus on energy efficiency increases.
Bismuth Now Available as a Physical Asset at TRADIUM
Frank Meier, Senior Manager Technology Metals at TRADIUM, on bismuth as a physical asset: “Bismuth shows how quickly a seemingly quiet market can gain strategic relevance. Highly concentrated production in China, combined with new export restrictions imposed by Beijing, is now meeting structurally growing demand. On top of that, prices have been at historically high levels since early 2025. This has moved the metal from the sidelines into the spotlight. For buyers of physical assets, the key takeaway is this: after shocks like these, prices rarely return fully to previous levels but tend to settle at a new, higher plateau.”
By adding bismuth to its portfolio of physical assets, TRADIUM offers private buyers access to a metal whose strategic relevance is steadily increasing. You can learn which third new physical asset TRADIUM is offering in a separate article, which also provides an assessment of the market environment, applications, and its role in diversification.
