The scandium market was valued at approximately US$ 230.26 million in 2023 and is anticipated to grow to around US$ 1,660.13 million by 2031, reflecting a compound annual growth rate (CAGR) of 28.0% from 2023 to 2031.

Scandium is recognized for its remarkable properties, including high strength, lightweight characteristics, and resistance to corrosion, making it an essential alloying agent. These distinctive attributes are the primary factors driving the demand for scandium in various applications. The aerospace and automotive sectors are the largest consumers of scandium, where aluminum alloys enhanced with scandium provide an optimal blend of strength, reduced weight, and corrosion resistance. In the aerospace industry, scandium-aluminum alloys play a crucial role in improving fuel efficiency and lowering emissions in aircraft. Similarly, in automotive applications, these alloys enhance performance and fuel economy by minimizing weight. Beyond these industries, scandium is also utilized in solid oxide fuel cells (SOFCs) and high-intensity discharge lamps. However, the limited availability of scandium presents challenges for its supply chain. Most of the scandium produced is a byproduct of other mining operations, with Australia and China being the leading producers. The market is subject to price volatility due to the fluctuating dynamics of supply and demand. To address the increasing demand, initiatives are being undertaken to boost primary production and develop more efficient extraction techniques, which are expected to support the growth of the scandium market by 2030. Additionally, the burgeoning demand from the 3D printing sector is significantly contributing to the expansion of the scandium market. Metal alloys containing scandium demonstrate enhanced mechanical properties, corrosion resistance, and heat resistance, making them highly desirable for manufacturing high-performance components through 3D printing technologies. In the realm of additive manufacturing, scandium-aluminum alloys are gaining traction due to their superior strength-to-weight ratio and improved mechanical characteristics compared to conventional metals and alloys.

The market is categorized based on derivatives into segments such as oxide, iodide, alloy, zirconia, and others. Among these, the zirconia segment holds a substantial share of the scandium market. Scandium-stabilized zirconia (ScSZ) is a notable class of advanced ceramic materials, primarily composed of zirconium dioxide (ZrO2) with added scandium oxide to stabilize its crystal structure. The introduction of scandium ions into the zirconia lattice modifies its properties, leading to enhanced thermal stability, mechanical strength, and ionic conductivity. ScSZ exhibits exceptional resistance to phase transformation at elevated temperatures, a critical feature for applications in extreme thermal conditions. This high-temperature resilience makes zirconia an ideal candidate for thermal barrier coatings (TBCs) used in gas turbine engine components, providing insulation and protection against heat, thereby extending the lifespan of components and improving efficiency. Furthermore, the stabilized crystal structure of ScSZ contributes to its outstanding mechanical properties, including high fracture toughness and strength.

In 2023, the Asia Pacific region accounted for a significant portion of the scandium market. The rapid economic development and industrialization in this region are driving the demand for high-performance materials necessary for infrastructure development and urbanization. Asia Pacific hosts some of the largest and fastest-growing aerospace and automotive industries, which are key consumers of lightweight and high-strength scandium-containing alloys. These alloys are particularly advantageous in applications such as aircraft components, automotive parts, and structural materials, where reducing weight while maintaining performance is essential for improving fuel efficiency, range, and safety standards of the final products.

Prominent players in the scandium market include Scandium International Mining Corporation, American Elements Inc, NioCorp Development Ltd, Strategic Metal Investments Ltd, Rio Tinto, US Research Nanomaterials Inc, Otto Chemie Pvt Ltd, Stanford Advanced Materials, Heeger Materials Inc, and Hunan Oriental Scandium Co Ltd. Additionally, several other companies have been analyzed to provide a comprehensive overview of the market and its ecosystem. The scandium market report also encompasses company positioning and concentration to assess the competitive landscape and performance of various players in the market.

The overall global scandium market size has been determined through a combination of primary and secondary research methods. The research process commenced with extensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data related to the market. Furthermore, numerous primary interviews were conducted with industry participants to validate the findings and gain deeper analytical insights. Participants included industry experts such as vice presidents, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the scandium market.