Latest Update in the SMM Rare Earth Oxides Market

Affected by the tight supply of tungsten prices, multiple tungsten enterprises have raised their long-term contract quotes for the first half of July. Since entering July, the prices of products related to the tungsten industry chain have generally been on the rise. Bao Gang United Steel and China Northern Rare Earth announced an increase in the associated transaction price of rare earth concentrate for Q3 2025. This marks the fourth consecutive quarter of QoQ price increases for rare earth concentrate since Q4 2024. The upward adjustment of rare earth prices, coupled with the positive performance outlook of China Northern Rare Earth, which is expected to see a significant increase in earnings, and the market's generally optimistic expectations for future rare earth demand, have driven strong performance in rare earth stocks. These factors have fueled the surge in the minor metal sector. As of 13:37 on July 11, the minor metal sector rose by 4.59%. Among individual stocks: China Northern Rare Earth continued to hit the daily limit, Huayang New Materials hit the daily limit, Shenghe Resources hit the daily limit, Zhongke Magnetic Industry rose by over 15%, Earth-Panda, China Rare Earth, JL MAG Rare-Earth, Zhenghai Magnetic Material, Yunnan Germanium Industry, as well as Xiamen Tungsten and China Tungsten and High-Tech Materials, were among the top gainers.

[SMM Rare Earth Daily Review: Rare Earth Concentrate Prices Rise, Driving Market Up Slightly] Currently, rare earth market prices have risen slightly, mainly due to Bao Gang United Steel and China Northern Rare Earth raising rare earth concentrate prices again in Q3, pushing up oxide costs. Some market participants took the opportunity to speculate in the oxide market, driving market sentiment and leading suppliers to raise their quotes one after another. At the same time, metal producers, facing high oxide costs, also had to raise metal prices.

[SMM Rare Earth Morning Meeting Summary: The overall rare earth market remains stable, with strong wait-and-see sentiment from upstream and downstream] The prices of rare earth oxides remain generally stable. Prices of medium-heavy rare earths have strengthened slightly under the influence of news factors, but market trading activity remains low, with buyers exhibiting strong wait-and-see sentiment.

[SMM Comment: Up 1.51% MoM! Bao Gang United Steel and China Northern Rare Earth See Further Rise in Rare Earth Concentrate Prices for Q3!] China Northern Rare Earth announced on the evening of July 10 that, based on the pricing method for rare earth concentrates and the prices of rare earth oxides in Q2 2025, and after calculations and approval at the company's 11th General Manager's Office Meeting in 2025, the transaction price for rare earth concentrates in Q3 2025 has been adjusted to 19,109 yuan/mt (dry basis, REO=50%), with an increase or decrease of 382.18 yuan/mt for every 1% increase or decrease in REO, excluding tax. Compared with the transaction price of 18,825 yuan/mt in Q2 2025, the price of 19,109 yuan/mt represents an increase of 284 yuan/mt, up 1.51% MoM.

[SMM Analysis: Pr-Nd Prices Start July with a "Strong Opening" amid Strong Bullish Sentiment in the Market] At the beginning of July, Pr-Nd oxide prices showed a clear upward trend, with an increase of over 2% within ten days. According to the latest market information collected, the rise in Pr-Nd prices was jointly driven by multiple factors.

[SMM Weekly Review of Recycled Rare Earths: Rare Earth Scrap Prices Continue to Rise, Suppliers Hold Back on Sales] This week, the scrap market experienced a series of price increases, primarily driven by the rise in oxide market prices. Under the influence of the rising oxide market prices, the value of the scrap market also increased. Amidst such market expectations, some scrap suppliers began to adopt a strategy of holding back on sales, hoping to sell at a later date when market prices rise further, thereby securing higher profits.

[SMM Rare Earth Weekly Review: Rare Earth Prices Rise Significantly, Market Activity Picks Up] Currently, due to the intensification of domestic environmental protection checks, some separation plants may face temporary shutdowns to comply with these checks, leading to expectations of a reduction in the market supply of Pr-Nd oxide. Meanwhile, most industry participants believe that the downstream demand for rare earths may pick up this month, and tenders by major magnetic material manufacturers have also become more frequent recently. Driven by the procurement of leading manufacturers, the prices of medium-heavy rare earths have risen significantly this week.