Water Treatment Chemical Supply Chain Profile Manganese Ore


Manganese Supply Chain - Executive Summary

Manganese Ore

Rw Material

Mn02
(solid)

Source of Raw Material:

Naturally occurring ore

Derivative Water Treatment Chemicals:
Potassium Permanganate

% of Total Domestic Consumption
Attributed to Water Sector:

Less than 1%

Understanding Chemical Supply Chains

10 Product Family:
Manganese

CAS No.: 7439-96-5

2 Shelf Life:
60+ Months

— RISK OF SUPPLY DISRUPTION (Assessed in 2022)

RISK RATING: Low

2-Low Mod erat

RISK DRIVERS

Iron and steel manufacturing is
the primary (90%) domestic
use of manganese. Fluctua-
tions in this industry may drive
domestic demand, which is
entirely dependent on imports.
Imports are primarily from a
small number of countries, but
worldwide resources are abun-
dant.

RISK PARAMETERS

Criticality: High. Essential for production of
potassium permanganate.

Likelihood: Low. No identified manganese
supply disruptions between 2000 and
2022.

Vulnerability: Moderate-High. The U.S. is
entirely reliant on imports of manganese
for all applications. There are abundant
worldwide resources, which may provide
some resilience to supply disruptions.

PRODUCTION PROCESS

Water Treatment Applications

Mining

Manganese

Water treatment chemical production

Other Applications

Input

End Use

Iron and steel manufacturing
Battery production
Fertilizer

Chemical manufacturing

DOMESTIC PRODUCTION AND CONSUMPTION, AND INTERNATIONAL TRADE

Domestic Production Locations (2019):

1 mining location in South Carolina: pro-
duction of ultra-low-grade manganese.

(^) International Trade (2019)

Primary Trading Partner (Imports): Gabon
Primary Trading Partner (Exports): Canada









Domestic Consumption (2019):

433 M kg

¦	Domestic Production (negligible; not reported)

¦	Imports for Consumption (434 M kg)

¦	Export of Domestic Production (1 M kg)

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Manganese Ore Supply Chain - Full Profile

Product Description

Manganese ore, primarily in the form manganese dioxide (Mn02), is a widely occurring natural ore which is
essential to steel manufacturing. It is not used directly in water treatment but serves as a key input in
manufacturing potassium permanganate. The U.S. imports all manganese required for manufacturing derivative
chemicals. The U.S. Government has maintained a stockpile of manganese ore since 1916.

Use in Water Treatment
None.

Use as a Precursor to Other Water Treatment Chemicals
Manganese is used to manufacture potassium permanganate.

Other Applications

Manganese is used widely in a range of applications. All applications of manganese require processing and
refining of the ore. Most manganese ore is smelted to produce alloys which are used in the production of iron
and steel. In non-metallurgical applications, manganese ore is used in the production of dry cell batteries
(including those for electric vehicles), fertilizers, animal feed, chemicals for water treatment and as a colorant
for various applications (IMnl, n.d.; USGS, 2014; USGS 2022).

Primary Industrial Consumers

In 2018, approximately 90% of manganese consumed in the U.S. was used in iron and steel production. The
remaining manganese was consumed in production of battery cathodes, electronics, fertilizers, animal feed,
water treatment chemicals, and other chemicals (USGS 2014; USGS 2022).

Manufacturing, Transport, & Storage

Manufacturing Process

Deposits of manganese-bearing ore are found throughout the world though in varying grades that determine
profitability of extraction. Manganese is extracted by surface and underground mining techniques. The mined
ore requires beneficiation steps before further processing. The majority of manganese ore supplied to the
market is smelted to ferromanganese to be used in the production of steel, while the majority of manganese
chemical compounds are produced directly from processed manganese ore. For chemical manufacturing
applications, crushed manganese ore is processed in a kiln using a reducing gas to form manganese oxide. The
manganese oxide is crushed and used directly in chemical manufacturing (EPA, 1985; IMnl, n.d.; USGS, 2014).

Product Transport

Manganese ore, commonly sold as a ground solid, is routinely transported by ship, rail, and truck (Ghana
Manganese Company Limited, n.d.; IMnl, n.d.).

Storage and Shelf Life

Ground manganese is stable and non-reactive over a wide range of temperatures. When stored properly and
kept dry, manganese can have a shelf life exceeding 60 months (Millipore Sigma, 2013).

Domestic Production & Consumption

Domestic Production

Production data was collected from USGS, while trade data was collected from the U.S. International Trade

EPA 817-F-22-032 | December 2022

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Manganese Ore Supply Chain - Full Profile
Commission (USITC) Dataweb, as shown in Table 1. Both production and trade data are specific to manganese.

Table 1. Manganese Production and Trade Data Sources

Production and Trade Data

Category

Data Source

Identifier

Description

Domestic Production

U.S. Geological Survey

CAS No.: 7439-96-5

Manganese

Imports and Exports

U.S. International Trade Commission

FITS Code: 2602.00

Manganese Ores and
Concentrates

Total U.S. domestic production of manganese is historically negligible, and production of ultra-low-grade
manganese takes place at one mine in South Carolina. The manganese content of the clays and schists produced
from this mine is low, and the primary use of the extracted manganese is for brick coloration. While the U.S.
does have several manganese deposits, the larger manganese deposits have inferior quality that makes
processing either economically or technically impractical. Though several manufacturers list domestic
production of manganese in the 2016 EPA Toxic Substances Control Act (TSCA) Chemical Data Reporting (CDR)
dataset, company information for two of the manufacturers claiming domestic production, Umicore and Novelis,
indicates that the origin of the manganese is from recycling of a variety of manganese-containing products. The
U.S. has not produced any significant quantity of ore with manganese content greater than 20% since 1973, and
is 100% reliant on imports for manganese ore and alloys. Worldwide, South Africa, Australia, Gabon, and Brazil
accounted for approximately 73% of 2020 manganese ore production (IMnl, 2021).

Domestic Consumption

U.S. consumption of manganese in 2019 is estimated at 433 M kg. This estimate includes negligible production
(amount considered confidential business information and not reported), import of 434 M kg, and export of 1 M
kg (USGS, 2020), as shown in Figure 1.

Domestic Consumption (2019):

433 M kg

¦ Domestic Production (negligible; not reported)

¦ Imports for Consumption (434 M kg)

¦ Export of Domestic Production (1 M kg)

Figure 1. Domestic Production and Consumption of Manganese Ores and Concentrates in 2019

Trade &Ta riffs

Worldwide Trade

Worldwide import and export data for manganese are reported through the World Bank's World Integrated
Trade Solutions (WITS) software, as a category for manganese ores and concentrates. In 2021, the U.S. ranked
33rd worldwide in total exports and ninth in total imports of manganese ores and concentrates. In 2021, South
Africa ranked first worldwide in total exports and China ranked first worldwide in total imports (WITS, 2022), as
shown in Table 2. The quantity of manganese ores and concentrates exported by Gabon, a country with
significant production and a primary source of imports for the U.S., was not reported through WITS in 2021.

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Manganese Ore Supply Chain - Full Profile
Table 2. WITS Worldwide Export and Import of Manganese Ores and Concentrates in 2021

2021 Worldwide Trade
Manganese Ores and Concentrates (HS Code 2602.00)

Top 5 Worldwide Exporters

Top 5 Worldwide Importers

South Africa

22,321 M kg

China

29,958 M kg

Brazil

1,724 M kg

India

5,970 M kg

Malaysia

615 M kg

Russian Federation

1,394 M kg

Zambia

221 M kg

South Korea

1,325 M kg

Poland

139 M kg

Malaysia

1,073 M kg

Domestic Imports and Exports

Domestic import and export data are reported by USITC in categories specific to manganese ores and
concentrates. Figure 2 summarizes imports for consumption1 and domestic exports2 of manganese ores and
concentrates between 2015 and 2020. During this period, the overall quantity of imports varied over the five-
year period with a high in 2015. The volume of exports was negligible. Over this five-year period, Canada was
the primary recipients of domestic exports while the primary source of imports was Gabon (USITC, 2021).

Domestic Trade of Manganese Ores and Concentrates

500 HS Code 2602.00

450
400

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Imports |
Exports

Imports
Exports

Imports |
Exports

2015

2016 2017

2018 2019 2020

¦ Imports from Gabon

¦ Exports to Canada

¦ Imports from South Africa

¦ Exports to Mexico

¦ Imports from Other Countries

Exports to Other Countries

Figure 2. USITC Domestic Import and Export of Manganese Ores and Concentrates between 2015 and 2020

1 Imports for consumption are a subset of general imports, representing the total amount cleared through customs and entering
consumption channels, not anticipated to be reshipped to foreign points, but may include some reexports.

2 Domestic exports are a subset of total exports, representing export of domestic merchandise which are produced or manufactured in
the U.S. and commodities of foreign origin which have been changed in the U.S.

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Manganese Ore Supply Chain - Full Profile

Tariffs

There is no general duty, additional duty, or special duties for import of manganese ores and concentrates
(USITC, 2022), as summarized in Table 3.

Table 3. 2021 Domestic Tariff Schedule for Manganese Ores and Concentrates

HS Code

General Duty

Additional Duty - China
(Section 301 Tariff List)

Special Duty

2602.00

None

None

None

Market History & Risk Evaluation

History of Shortages

The demand for manganese is tightly tied to demand from the steel industry, and production of manganese ore
follows steel production. Reductions in steel manufacturing have historically led to significant cutbacks in
manganese ore production. Manganese is essential to a number of domestic industrial processes, and the lack of
viable substitute and complete reliance on imports makes this mineral commodity vulnerable to supply
disruptions. While manganese is widely available from a global perspective, mineable deposits are not evenly
distributed, and this has historically been noted as a national security concern.

Risk Evaluation

The complete risk assessment methodology is described in Understanding Water Treatment Chemical Supply
Chains and the Risk of Disruptions (EPA, 2022). The risk rating is calculated as the product of the following three
risk parameters:

Risk = Criticality x Likelihood x Vulnerability
Criticality Measure of the importance of a chemical to the water sector

Likelihood Measure of the probability that the chemical will experience a supply disruption in the
future, which is estimated based on past occurrence of supply disruptions

Vulnerability Measure of the market dynamics that make a chemical market more or less resilient to
supply disruptions

The individual parameter rating is based on evaluation of one or more attributes of the chemical or its supply
chain. The ratings and drivers for these three risk parameters are shown below in Table 4.

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Manganese Ore Supply Chain - Full Profile

Table 4. Supply Chain Risk Evaluation for Manganese Ore

Risk Parameter Ratings and Drivers

ICriticality High

1 Likelihood Low 1

Vulnerability Moderate-High 1

Manganese is essential to production
of potassium permanganate which is
widely used in drinking water and
wastewater treatment.

There were no identified disruptions
to the domestic supply of manganese
between 2000 and 2022.

The U.S. is entirely reliant on imports
of manganese for all uses and
derivative chemicals. However the
U.S. has multiple sources of imports,
which provides some resilience to
supply disruptions.

Risk Rating: Low

,e-Low Moderat

Range 'e/>

%
: OQ

References

EPA, 1985. Locating and Estimating Air Emissions from Sources of Manganese, retrieved from
https://www3.epa.gov/ttnchiel/le/manganes.pdf

EPA, 2016. 2016 TSCA Chemical Data Reporting, retrieved from https://www.epa.gov/chemical-data-
reporting/access-cdr-data#2016

EPA, 2022. Understanding Water Treatment Chemical Supply Chains and the Risk of Disruptions, retrieved
from https://www.epa.gov/waterutilitvresponse/risk-disruptions-supplv-water-treatment-chemicals

Ghana Manganese Company Limited, n.d. Shipping Operations, retrieved from
https://ghamang.com.gh/shipping-operations/

International Manganese Institute (IMnl), n.d. About Manganese, retrieved from
https://www.manganese.org/about-manganese/

International Manganese Institute (IMnl), 2021. IMnl Annual Review 2020, retrieved from

https://www.manganese.org/wp-content/uploads/2021/04/2020-Annual-Review-ENG.pdf

Millipore Sigma, 2013. Safety Data Sheet for Manganese powder, retrieved from

https://www.emdmillipore.com/US/en/product/msds/MDA CHEM-112237?Origin=PDP

U.S. Geological Survey (USGS), 2014. Manganese Fact Sheet, retrieved from
https://pubs.usgs.gov/fs/2014/3087/pdf/fs2014-3Q87.pdf

U.S. Geological Survey (USGS), 2020. Mineral Commodity Summaries for Manganese, retrieved from
https://pubs.usgs.gov/periodicals/mcs2020/mcs202Q-manganese.pdf

U.S. Geological Survey (USGS), 2022. 2018 Minerals Yearbook: Manganese, retrieved from
https://pubs.usgs.gov/mvb/voll/2018/mybl-2018-manganese.pdf

U.S. International Trade Commission (USITC), 2021. USITC DataWeb, retrieved from

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Manganese Ore Supply Chain - Full Profile

https://dataweb.usitc.gov/

U.S. International Trade Commission (USITC), 2022. Harmonized Tariff Schedule (HTS) Search, retrieved from
https://hts.usitc.gov/

World Integrated Trade Solutions (WITS), 2022. Trade Statistics by Product (HS 6-digit), retrieved from
https://wits.worldbank.org/trade/countrv-bvhs6product.aspx?lang=en#void

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