Arsenic

Key Takeaways

1. 1Arsenic's primary industrial value is in gallium arsenide (GaAs) semiconductors, which outperform silicon in high-frequency, radar, and aerospace applications
2. 2Arsenic is not mined directly — it is recovered as a byproduct of copper smelting, so its supply is tied to copper production cycles rather than its own demand
3. 3China dominates global production at roughly 40%; other significant producers include Chile, Peru, Armenia, and Germany
4. 4Historically trades between $500–$2,000 per metric tonne, with volatility driven by semiconductor demand cycles and copper output trends
5. 5No futures contracts exist on major exchanges — pricing lacks transparency and deals are done bilaterally, making it unsuitable for individual traders
6. 6Agricultural use (pesticides, wood preservatives) is in long-term decline as regulatory tightening in the EU and North America pushes manufacturers toward alternatives
7. 7Arsenic is classified as a carcinogen; strict EPA and EU regulations govern handling, and legacy arsenic-treated materials represent ongoing environmental liabilities
8. 8Western reliance on Chinese arsenic exports is a latent semiconductor supply chain vulnerability — a risk that has grown alongside GaAs chip demand
9. 9Because it lacks liquidity, price transparency, and listed contracts, arsenic is an industrial critical mineral rather than a tradeable commodity for most investors