Latest Update in the China Rare Earth Metals Market

On June 22, Baoshan Iron & Steel and Northern Rare Earth announced that they intend to adjust the transaction price of rare earth concentrates to 39,189 yuan/mt (excluding tax) starting from July 1, 2022. The concentrate price has risen by 45.8% since it was adjusted in January 2022.

Supported by the supply and cost side, the separation enterprises were hesitant to sell at low prices, but high prices did not appeal the buyers either.

The prices of PrNd products dropped slightly and the demand of downstream and terminal enterprises was weak. Some small and medium-scale magnetic material companies said that the orders were poor and thet were reluctant ro purchase raw materials. The prices of PrNd products dropped today and the market wait-and-see sentiment increased.

The spot prices of rare earth products rose a whole in January and February 2022, with prices rising sharply in February. Among them, the prices of PrNd oxide and terbium oxide rose the most.

The prices of praseodymium-neodymium (PrNd) products dropped slightly this week. Market players mostly stood on the sidelines at the beginning of the week.

In terms of light rare earth, the PrNd market was stable today. The upstream and downstream of rare earth industry saw little change and the cost ans supply provided certain support for the market amid the poor demand. The price of PrNd products but the overall market transaction was poor. In terms of medium and heavy rare earth, the prices of dysprosium oxide and terbium oxide declined slightly while the downstream procurement willingness was low and mostly purchased as needed amid the wait-and-see sentiment.

The overall domestic copper cathode output in May was at a low level due to the intensive maintenance. Although two smelters in Shandong resumed production in May, the production of copper did not resume.

China exported 4,862.5 mt of rare earths in May 2022, up 9.84% YoY; the cumulative exports from January-May were 21,969.7 mt, up 10.9% YoY.