[SMM Rare Earth News Flash] USA Rare Earth announced on June 2 that it will invest $1.2 billion to build a new magnet manufacturing and rare earth metal refining plant in Cherokee County, South Carolina, located at the Bailey Industrial Park in Blacksburg. Once operational, the plant is expected to produce 6,400 mt of sintered NdFeB permanent magnets and 5,000 mt of rare earth metals and alloys annually. Combined with the expansion plan for the Stillwater plant in Oklahoma, the company's total domestic capacity will reach 10,000 mt of NdFeB magnets and 10,000 mt of rare earth metals and alloys per year. The project is the company's third plant in the US, following the separation plant in Colorado and the magnet plant in Oklahoma, and is expected to begin commissioning in 2028.

[SMM Rare Earth Weekly Review: Rare Earth Prices Fluctuated, Upstream and Downstream Remained in Stalemate] Affected by futures price fluctuations combined with periodic restocking by some major producers, Pr-Nd oxide prices fluctuated relatively frequently. Upstream and downstream continued to remain in a stalemate, with suppliers maintaining relatively firm offers overall, while downstream metal producers maintained a strong wait-and-see sentiment. As of today, Pr-Nd oxide prices fluctuated downward to 682,000-688,000 yuan/mt.

The ex-China rare earth market this week exhibited a trend of "falling prices amid tight supply," with Pr-Nd oxide and metal prices generally marked down by approximately $5-10/kg. However, due to export controls and tightening supply, the premium on Chinese products outside China remained significant. Meanwhile, geopolitical rivalry and supply chain restructuring accelerated, with G7 finance ministers calling for urgent reduction of dependence on China and the establishment of recycling quota systems. On the capital front, Greenland Resources spent $35 million to acquire the high-grade Sarfartoq project to strengthen its magnetic material rare earth portfolio. Australia's Arafura officially finalised the final investment decision for the Nolans project. Combined with Brazil's launch of an antitrust investigation and Germany's Heraeus divesting its recycling business, these developments underscored the urgency of global decoupling and localization efforts.

[SMM Rare Earth News Flash] Advanced Magnet Lab (AML) announced it was awarded a $2 million contract by the US Defense Logistics Agency (DLA) to qualify high-grade sintered NdFeB permanent magnets for national defense. The two-year contract covers supply chain management, alloy manufacturing, and permanent magnet production, aiming to strengthen domestic critical material supply capability. AML will collaborate with US rare earth metal supplier Phoenix Tailings (supplying Pr-Nd alloy and metallic dysprosium), Australia's Ionic Rare Earths (supplying Pr-Nd oxide and dysprosium oxide), and Texas-based Momentum (a potential Pr-Nd oxide supplier) to build raw material sources.

[SMM Rare Earth Weekly Review: Rare Earth Prices Continued to Decline, Stopping Falling Near Weekend] The Pr-Nd oxide market remained in the doldrums overall this week. Affected by the continuous decline in futures prices, downstream metal plants were relatively cautious in procurement, and market trading remained sluggish. However, mid-week, driven by concentrated procurement from major downstream plants, market procurement volume recovered slightly, and suppliers raised their quotes again. As of today, Pr-Nd oxide prices fluctuated downward to 700,000-705,000 yuan/mt.

[SMM Rare Earth Weekly Review: Overall Decline in Rare Earth Prices Driven by Futures Disruptions] The Pr-Nd oxide market was in the doldrums overall this week. Affected by price fluctuations in futures, traders made shipments at low prices. Meanwhile, the "rush to buy amid continuous price rise and hold back amid price downturn" sentiment intensified the wait-and-see sentiment among downstream metal plants, with poor purchase willingness. Market trading activity was very sluggish. As of today, Pr-Nd oxide prices had fluctuated downward to 745,000-750,000 yuan/mt.