RE:The Big PictureNot exactly. The price is set by the intersection of the supply and demand curves.
In germanium's case, the supply is constrained, shifted dramatically due to exogenous geopolitical events (Chinese & Russian embargoes) and relatively ineleastic due to it's scarcity. It's demand curve is rapidly shifting due to growing demand and projected to continue in it's recent shifts which have seen prices nearly double due to the effects explained above.
See: https://strategicmetalsinvest.com/germanium-prices/
| | | | |
| Jan 1 2024 | $2,839.40 / kg | 0.00% | |
| Jan 1 2023 | $2,344.40 / kg | +21.11% | +21.11% |
| Jan 1 2022 | $2,293.80 / kg | +23.79% | +2.21% |
| Jan 1 2021 | $1,984.20 / kg | +43.10% | +15.60% |
| Jan 1 2020 | $2,045.09 / kg | +38.84% | -2.98% |
| Jan 1 2019 | $2,361.61 / kg | +20.23% | -13.40% |
| Jan 1 2018 | $1,845.17 / kg | +53.88% | +27.99% |