Supply Chain

Thulium Supply Chain: From Mine to Market

Thulium is the least abundant naturally occurring lanthanide alongside promethium (which is radioactive). It is produced exclusively as a byproduct of heavy rare earth separation, primarily from Chinese ion-adsorption clays. Total global production is estimated at only ~3 tonnes/year. The main applications are thulium-170 portable X-ray sources (produced by neutron irradiation in reactors) and thulium-doped fiber lasers operating at ~2 micron wavelength for medical, defense, and atmospheric sensing applications. The market is so small that it barely functions as a commodity.

Production Geography

Global Thulium production is led by China, which accounts for approximately 95% of world output, followed by Myanmar. The full list of major producing nations includes China, Myanmar, Australia. This geographic concentration means that disruptions in key producing regions can have outsized impacts on global supply and pricing.

Extraction Methods

Thulium is extracted using the following primary methods:

• Byproduct of heavy REE separation

Processing and Intermediate Products

Thulium is primarily sourced from Ion-adsorption clays, Xenotime. After extraction, the raw material undergoes multiple processing steps including beneficiation, chemical treatment, and refining to reach the purity levels required by downstream industries. Typical ore grades range from 0.001-0.005% Tm2O3.

Key Supply Chain Participants

The Thulium supply chain involves these major companies:

Supply Chain Vulnerabilities

Key vulnerabilities in the Thulium supply chain include concentration of 95% of production in China, limited processing capacity diversification, and long lead times for new mining projects. The high supply risk rating reflects the severity of these concentration risks and the difficulty of rapidly establishing alternative supply sources.