Why is mining important to the economy of the united states

It promotes freedom and independence around the world and right here at home. Fossil fuels are key in providing reliable, affordable energy. The United States has the means to lead the world in energy production. Through American ingenuity and innovation, responsible production of reliable energy will make the world safer, our environment cleaner, and each and every citizen more prosperous.

It is the essential building block that touches all our lives and influences everything from the world economy to the kitchen table. Mining is essential to the production of goods, services and infrastructure that improve the quality of our lives.

The U. Prospects are bright for those entering the field today, as it is estimated that every metal mining job generates 2. With over , Americans directly employed through minerals mining today, and more than , indirectly employed, the industry is putting hundreds of thousands of people with diverse backgrounds and interests to work.

Furthermore, technological and advanced practices helped to make mining jobs continually safer for workers. In addition to jobs, raw materials provided by U. In , U. By supporting thousands of jobs and providing essential raw materials, minerals and metals mining is critical to our economy. Department of Commence estimates that the number of people directly employed in metal mining is about 45,, in coal about 80,, and in industrial minerals about , U. Department of Labor, a. The low employment number reflects the great advances in technology and productivity in all mining sectors and lower production costs.

Major Sources 1. Consumption a percentage of world total. Production a percentage of world total. Data are totals for anthracite, bituminous coal, and lignite for Production data are for In states and regions where mining is concentrated the industry plays a much more important role in the local economy. Overall, the economy cannot function without minerals and the products made from them.

Mining in the United States produces metals, industrial minerals, coal, and uranium. All 50 states mine either sand and gravel or crushed stone for construction aggregate, and the mining of other commodities is widespread. The contribution of mining extends to jobs and related benefits to downstream products such as automobiles, railroads, buildings, and other community facilities. Metal mining, which was once widespread, is now largely concentrated in the West Figures a and b , although it is still important in Michigan, Minnesota, Missouri, New York, and Tennessee.

The minerals mined include iron, copper, gold, silver, molybdenum, zinc, and a number of valuable but less common metals. Most are sold as commodities at prices set by exchanges rather than by producers. Moreover, the high value-to-weight ratio of most metals means they can be sold in global markets, forcing domestic producers to compete with foreign operations.

The trend in metal mining has been toward fewer, larger, more efficient facilities. Through mergers and acquisitions, the number of companies has decreased, and foreign ownership has increased. The search for economies of scale has also intensified. Mines now employ fewer people per unit of output, and operators are eager to adopt new technologies to increase their efficiency, which benefits customers and reduces the cost of products.

Because metal mines have no control over commodity prices, their prevailing philosophy to survive is that they must cut costs. As a result, most domestic metal mining companies have largely done away with in-house research and development, and many are reluctant to invest in technology development for which there is no immediate need.

Industrial minerals, which are critical raw materials for the construction industry, agriculture, and the chemical and manufacturing sectors of the economy, are produced by more than 6, companies from some 11, mines, quarries, and plants widely scattered throughout the country Figure a and b. Most industrial minerals have a degree of price flexibility because international competition in the domestic market is limited.

Although some companies and plants are large, size is not always necessary for economic success. However, obtaining permits for new mines and quarries is often difficult, especially near urban areas, and this may favor larger operations and more underground mining in the future.

A wide variety of other materials are also mined, such as limestone, building stone, specialty sand, clay, and gypsum for construction; phosphate rock, potash, and sulfur for agriculture 2 ; and salt, lime, soda ash, borates, magnesium compounds, sodium sulfate, rare earths, bromine, and iodine for the chemical industries.

Industrial materials also include a myriad of substances used in pigments, coatings, fillers and extenders, filtering aids, ceramics, glass, refractory raw materials, and other products.

Competition from imports is generally unlikely, although exceptions can be found. Low production costs combined with low ocean transportation costs, allows cement clinker to be imported from Canada, Taiwan, Scandinavia, and China. At one end of the spectrum, some materials, such as domestic high-grade kaolin, require extensive processing and are so valuable that the United States is a major exporter.

At the other end, materials such as natural graphite and sheet mica are so rare and domestic sources so poor that the United States imports percent of its needs. Nitrogen, once mined as sodium nitrate, has been extracted from the atmosphere by the Haber ammonia process for nearly a century.

Unlike the aggregate industry, which is spread over most of the country, some industrial minerals are concentrated in certain parts of the country Figures a and b. Newly mined sulfur comes from the offshore Gulf of Mexico and western Texas, but recovered sulfur comes from many sources, such as power plants, smelters, and petroleum refineries. The Carolinas and Georgia are the only sources of high-grade kaolin and certain refractory raw materials.

The United States has had only one significant rare-earth mine, located in the desert in southeastern California. Potash, once mined in New Mexico and Utah, now comes mostly from western Canada, where production costs are lower.

The technologies used in the industrial-minerals sector vary widely, from relatively simple mining, crushing, and sizing technologies for common aggregates to highly sophisticated technologies for higher value minerals, such as kaolin and certain refractory raw materials.

Agricultural minerals, including phosphates, potash, and sulfur, are in a technological middle range. Uranium can be recovered from phosphate processing. Some investments in new technologies for industrial minerals are intended to increase productivity, but most are intended to produce higher quality products to meet market demands. Coal is the most important fuel mineral mined in the United States.

With annual production in excess of a billion tons since , the United States is the second largest producer of coal in the world. Nearly 90 percent of this production is used for electricity generation; coal accounts for about 56 percent of the electricity generated in the United States EIA, b.

This stage recovers the valuable portion of the mined material and produces the final marketable product. Each of these stages is dependent on large amounts of energy from varying sources, including electricity and diesel fuel. The mining industry consumed an estimated trillion British thermal units Btu in The energy-intensive nature of mining is evident by the recovery ratio of the various materials being mined.

Thus, to recover 1 ton of metal, 22 tons of material will need to be mined. Minerals are essential to nearly every aspect of our lives and our economy.