Will Tariffs Boost Scandium Production?
Recent tariffs and export restrictions are set to significantly impact the global scandium market. In April 2025, China imposed new export restrictions on several rare earth elements, including scandium, in response to increased U.S. tariffs on Chinese goods12. China currently dominates scandium supply, controlling about 67% of primary feedstocks and 90% of refined production2. These new restrictions are expected to create immediate supply uncertainties and potential price volatility, especially for consumers outside China2.
This supply squeeze is likely to incentivize the development of alternative scandium sources, particularly in countries with significant resources such as Australia and, to a lesser extent, the United States and Russia234. As Western governments and industries seek to diversify supply chains and reduce reliance on China, new scandium projects and expansions are expected to accelerate, potentially boosting global scandium production outside China23.
Which Scandium Stocks Should You Watch?
Several companies are positioned to benefit from the changing scandium market dynamics:
| Company Name | Ticker(s) | Region | Project/Notes |
| Australian Mines Ltd | ASX: AUZ | Australia | Flemington project, one of the world’s highest-grade scandium resources2. |
| Scandium International Mining Corp. | TSXV: SCY | Australia | Nyngan project, advanced-stage scandium development35. |
| NioCorp Developments Ltd | TSX: NB, OTCQX: NIOBF | USA | Elk Creek project, pilot-scale scandium-aluminum alloy production3. |
| Rio Tinto | NYSE: RIO, ASX: RIO | Canada/Australia | Sorel-Tracy scandium oxide facility in Qubec; acquired Owendale project in Australia3. |
| RUSAL | MCX: RUAL | Russia | Building a pilot scandium oxide facility, aiming for 1.5 tonnes/year by end of 20254. |
Key Points on These Stocks
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Australian Mines Ltd (ASX: AUZ): Positioned to become a major scandium supplier with its high-grade Flemington project. Australia is seen as a secure, politically stable alternative to Chinese supply2.
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Scandium International Mining Corp. (TSXV: SCY): Focused on the Nyngan project in Australia, which is among the most advanced scandium projects globally. The company is pre-revenue but could benefit significantly if demand and prices rise35.
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NioCorp Developments Ltd (TSX: NB, OTCQX: NIOBF): U.S.-based, with government support for domestic scandium production. Its Elk Creek project has demonstrated pilot-scale production3.
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Rio Tinto (NYSE: RIO, ASX: RIO): A major diversified miner, now producing scandium oxide at commercial scale in Qubec and expanding its scandium portfolio with the Owendale acquisition3.
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RUSAL (MCX: RUAL): Russian aluminum giant entering scandium oxide production, with plans to scale up to 19 tonnes/year4.
Outlook
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Tariffs and export restrictions are likely to boost scandium production outside China as Western nations seek secure supply chains23.
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Australian and North American projects are best positioned to fill the supply gap and could see increased investment and offtake agreements23.
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Watch for news on project financing, offtake deals, and production milestones from the companies listed above, as these will be key catalysts for their share prices.
Conclusion
Tariffs and Chinese export restrictions are set to catalyze new scandium production, especially in Australia, North America, and Russia. Investors should watch Australian Mines, Scandium International Mining, NioCorp Developments, Rio Tinto, and RUSAL for exposure to this emerging supply shift2345.