USAC Boosts Antimony Supply Chain with Australian Ore for Mexico Smelter

US Antimony

Texas-based US Antimony (USAC) has announced a strategic move to secure antimony (Sb) ore shipments from Australia, aiming to revitalize its Madero Antimony Smelter in Mexico. This initiative comes as the smelter plans to restart operations in March 2025, following a closure since March this year.

Strategic Import to Overcome Supply Challenges

The first batch of antimony ore sourced from Australia is scheduled to arrive at the west coast port of Manzanillo, Mexico, in March 2025. While USAC has not disclosed the initial volume or the supplier, the company anticipates a steady import rate of 300 tonnes per month as it familiarizes itself with the ore's chemical and metallurgical properties.

This import strategy is part of USAC's broader effort to diversify its supply sources. Historically reliant on imports due to the lack of domestic antimony mining, USAC's move is timely, especially following China's recent suspension of antimony exports to the US, a decision that has significantly impacted global supply chains.

Revitalizing Operations Amid Market Shifts

The decision to restart the Madero Smelter is a turnaround from March, when USAC had discontinued its operations in Mexico due to financial underperformance and ongoing negative cash flows. However, with antimony fundamentals strengthening and the necessity to secure non-Chinese antimony sources, USAC is positioning itself to capitalize on these new market dynamics.

USAC remains the only company in the US that produces primary antimony using imported feedstock, a critical factor given the recent geopolitical tensions affecting metal imports. The US heavily relies on imported antimony, with significant quantities previously sourced from China. According to Global Trade Tracker data, the US imported 15,665 tonnes of antimony metal from China from January 2022 to October this year, which accounted for 22% of US imports over the period, while antimony trioxide imports from China totalled 55,506 tonnes, making up 69% of the total.