Industrial Metals
This category comprises the mining and processing of non-ferrous base metals, such as zinc, nickel, and lead, which are primarily used in heavy manufacturing and construction.
Why it exists
This bucket includes metals like nickel, zinc, tin, lead, and others used as essential inputs for alloys, coatings, and specialized applications.
Why it’s necessary
Each metal solves a specific problem—corrosion resistance, hardness, plating, soldering, batteries. They’re invisible to consumers but critical to industrial systems.
Key components
Mining and beneficiation operations
Smelting and refining
Alloying and specialty product producers
How to evaluate businesses
They tend to be price takers, so cost position and asset quality matter. Evaluate diversification across metals, end-market exposure (e.g., batteries vs construction), balance sheet, and hedging practices. Watch for concentrated demand (e.g., nickel in EV batteries) and evolving technologies that can shift demand.
How the industry could be improved
Better transparency in supply chains, stronger ESG performance in mining, investments in recycling and substitution-resilient product design, and using data models to optimize production against volatile demand.