Changes of global cobalt trade network and implications

Abstract

[Objective] Examining the change of the global cobalt trade network is significant for understanding the global cobalt market and supply situation. [Methods] From the perspective of the product chain, this study constructed a global trade network for cobalt ores, cobalt compound, and cobalt and its products. Multiple network analysis methods were used to depict the temporal change in the scale of global cobalt trade, revealing the spatial pattern and topological structure of cobalt trade networks of different product types, to provide a reference for ensuring China’s cobalt supply security. [Results] (1) The scale of global cobalt trade is increasing with fluctuations, and the trade development trends of different cobalt products have obvious differences. Cobalt and its products have become the main form of global cobalt trade. (2) The global cobalt trade networks exhibit spatial differentiation characteristics, with a clear trend of cobalt trade agglomeration towards a few countries and regions. The spatial organization of cobalt trade networks for different product types have significant differences. (3) The trade networks of cobalt ores and cobalt compound are becoming increasingly loose, and the density of the trade network of cobalt and its products has significantly increased. The transmission efficiencies of the three types of cobalt product trade networks have increased over time. (4) The global cobalt trade networks have significant core-periphery structural characteristics, with clear hierarchical boundaries between core and periphery structures. The roles of countries in the networks are dynamically adjusted. (5) Countries such as China, the United Kingdom, the United States, Germany, and the Netherlands have long been at the center of trade networks. South Korea, France, and Finland are key countries in two types of cobalt trade networks, while Austria and Slovakia, Spain and Italy, Canada and Japan respectively occupy important positions in the three types of cobalt trade networks. The Democratic Republic of Congo has strong control over the overall operation of the cobalt product chain. [Conclusion] On the basis of clarifying the structural change characteristics of the global cobalt trade networks, China needs to make differentiated polices and adopt targeted trade strategies for different cobalt product types, to ensure the security and stability of its cobalt supply.

Keywords

• |cobalt resources|cobalt trade|product chain|trade network|topological structure