Hedge fund manager David Einhorn predicts a historic shift in global reserves as central banks move away from U.S. dollars toward gold, citing unstable U.S. trade policy and soaring deficits.

The Indonesian Ministry of Energy and Mineral Resources (ESDM) stated to the media on Monday, April 6, 2026, that it has approved approximately 190 to 200 million tons of nickel production quotas within the 2026 Work Plan and Budget (RKAB). Director General of Minerals and Coal, Tri Winarno, noted that while the current cumulative target sits between 260 and 270 million tons, Minister Bahlil Lahadalia is considering measured relaxation for production revisions. This potential flexibility for nickel and coal miners remains contingent on price stability and the careful management of global supply and demand to ensure favorable market levels.

Barrick Mining said that its Reko Diq copper-gold project in Pakistan still plans to achieve first production by the end of 2028.The project is a large-scale copper-gold project jointly developed by Barrick, the Pakistani government, and relevant joint venture partners, and is located in Balochistan, Pakistan. Although the company had previously warned that the capital budget previously disclosed for the project's two phases could face a significant increase, the 2028 production commencement target remained unchanged.

SMM Morning Meeting Summary: Overnight, LME copper opened at $12,286.5/mt and fluctuated downward in early trading to a low of $12,212/mt. Copper prices then fluctuated upward, with the center moving up to $12,408/mt, before falling back again to finally close at $12,348.5/mt, down 0.99%. Trading volume reached 20,000 lots, and open interest stood at 295,000 lots, an increase of 3,702 lots from the previous trading day. Overnight, the most-traded SHFE copper 2605 contract opened at 95,660 yuan/mt and dipped to 95,300 yuan/mt in early trading. Copper prices then fluctuated upward, with the center moving up to a high of 96,680 yuan/mt, before fluctuating downward to finally close at 96,150 yuan/mt, down 0.08%. Trading volume reached 36,500 lots, and open interest stood at 181,000 lots, a decrease of 1,608 lots from the previous trading day, mainly due to bulls reducing positions.

For almost four weeks, the war against Iran has kept the world on edge – a conflict that leaves deep marks not only geopolitically but also economically. Volatility and uncertainty in global markets are increasing daily.

India’s steel market in 2026 is expected to remain balanced, with demand slightly outpacing supply. Domestic consumption will absorb most output, while imports decline overall and exports increase modestly as a balancing mechanism. Supported by strong growth and infrastructure investment, India is transitioning toward a demand-led steel market with solid long-term potential.

Indonesia's new nickel tariffs and Europe's CBAM have sharply raised overseas stainless steel costs, driving Asian mills to hike prices. Downstream demand remains mixed: Japan and South Korea are resilient, while the Taiwan, China region faces pressure. Wary of rapid price spikes, buyers are limiting purchases to rigid demand. The market will remain cautious until tariff details and actual demand are validated.

Capacity side, according to incomplete statistics, China’s alkaline electrolyzer market remained at 43.77 GW and the PEM electrolyzer market remained at 2.7 GW, with no new capacity added. There was no offline delivery information this week. Project-related updates: Binyang County Haoyuan Industrial Investment Co., Ltd.: Competitive consultation was launched for the Binyang County Green Electricity Hydrogen Production Pilot Construction Project (procurement of hydrogen production equipment and facilities). The budget amount was 2.85 million yuan, with a maximum price limit of 2.85 million yuan. The project entity was Binyang County Haoyuan Industrial Investment Co., Ltd. It is understood that the company is a wholly owned subsidiary of Binyang County Kunpeng Water Affairs Co., Ltd. Kunpeng Water Affairs has registered capital of 448.6 million yuan, and its ultimate controller is the Binyang County Finance Center. Datang Inner Mongolia Duolun Coal Chemical Co., Ltd.: Inquiry-based procurement was conducted for the feasibility study and green methanol certification consulting technical services for the CNCEC Duolun coal chemical coal-based process biomass co-firing coupled with green electricity green methanol production project. It is understood that the Datang Duolun 150,000-kW integrated wind and solar power hydrogen production demonstration project was China’s first medium-to-large-scale technological demonstration project for off-grid wind and solar power hydrogen production deeply coupled with coal chemicals. It was invested in and constructed by Datang Duolun Ruiyuan New Energy Co., Ltd., with a total investment of about 1.3 billion yuan. Construction officially began in November 2023, construction officially began in November 2023, hydrogen was successfully produced on December 29, 2024, and the project was officially connected to the grid and put into operation on January 17, 2025. Shaanxi Construction Engineering Installation Group Co., Ltd.: The Guyang-Baiyun Obo gas transmission pipeline project, undertaken by Shaanxi Installation Group, achieved important progress, with its Guyang initial station and valve chamber successfully passing completion acceptance. It is reported that the gas transmission pipeline project has a 20% hydrogen blending transmission capacity and is a key planned construction project under the “County-to-County Coverage in Western Inner Mongolia” initiative in the Inner Mongolia Autonomous Region’s 14th Five-Year Plan for Oil and Gas Development. The pipeline has a total length of 125 km, starting from the Guyang initial station and running overall from south to north, successively passing through Guyang County, Darhan Muminggan Banner, and the Baiyun Obo mining district in Baotou City, and ultimately reaching Barun Industrial Park. PetroChina Shenzhen New Energy Research Institute Co., Ltd.: It released a processing tender for its brine hydrogen production electrolyzer. Funding for the tender project was self-raised by the enterprise, with a contribution ratio of 100%. It is understood that procurement of necessary raw materials and components includes, but is not limited to, integrated electrolyzer materials such as electrodes, end plates, bipolar plates, separators, and gaskets. Suppliers were also required to provide essential auxiliary electrolyzer accessories such as cooling towers, chillers, and potassium hydroxide in accordance with the purchaser’s requirements. Tianjin Saihong Environmental Engineering Co., Ltd.: A groundbreaking and pile foundation commencement ceremony was held in the Dagang Petrochemical Industrial Park of Tianjin Binhai New Area. It is understood that the project uses the polyploid giant reed “Lüzhou No. 1,” carefully cultivated by Ruihengmao Group, as its core raw material, successfully overcoming the bottlenecks of existing gasification technologies and the economic challenges of biomass raw materials. Tangshan Haitai New Energy Technology Co., Ltd.: recently entered into a strategic cooperation agreement with Beijing Shougang Gas Co., Ltd. During the meeting, Haitai New Energy gave a detailed presentation on the planning layout and current progress of its long-distance hydrogen pipeline project. The two sides then conducted in-depth discussions and exchanges on the development direction of the hydrogen energy industry and successfully signed a strategic cooperation agreement. In view of Shougang Gas’s continuously rising future demand for hydrogen, Haitai New Energy will leverage its comprehensive advantages in hydrogen transportation to provide Shougang Gas with stable and reliable green hydrogen supply services and comprehensive integrated solutions. Shanghai Juna New Material Technology Co., Ltd.: its water electrolysis hydrogen production electrode company, Juna Technology, completed a new round of financing, exclusively invested by CATL, which has become the company’s largest external institutional shareholder at present. Previously, Juna Technology had completed its first round of financing led by Lenovo Star and its second round led by Changjiang Innovation. This round of financing also marked the company’s first introduction of industrial capital. To date, the company has accumulated 8 external institutional shareholders. Shanghai Juna New Material Technology Co., Ltd.: formally signed a strategic cooperation agreement with Zhejiang Sunshine Green Hydrogen Technology Co., Ltd. This cooperation mainly focuses on the industrialisation and deployment of megawatt-class AEM electrolyzers. Leveraging its advanced JE series high performance AEM hydrogen production electrodes, Juna Technology will provide core component support for Sunshine Green Hydrogen in the R&D, testing, and scaled mass production of megawatt-class electrolyzers. Xinjiang Qingda Energy Technology Co., Ltd. : the environmental impact report for its integrated production line project with annual output of 120,000 mt of green hydrogen and 700,000 mt of green ammonia is planned for submission for approval and public disclosure. According to the disclosure, the project is a new-build project located in the western zone of Wusu Industrial Park and invested in and constructed by Xinjiang Qingda Energy Technology Co., Ltd., with a total investment of 4.1914 billion yuan. The project includes extensive construction content, specifically: six water electrolysis hydrogen production unit lines, each with annual output of 20,000 mt, to achieve annual output of 120,000 mt of green hydrogen; meanwhile, one ammonia synthesis unit line with annual output of 700,000 mt to produce 700,000 mt of green ammonia; in addition, one nitrogen production unit line with annual output of 560,000 KNm³ is also planned. In terms of auxiliary facilities, the project will build 6 electrolyzer workshops, 1 office building, 1 circulating water station, 1 central control room, 1 liquid ammonia tank farm, 1 hydrogen tank farm, 1 demineralised water station, and other supporting facilities, with total gross floor area of 127,083.72 m² and total site area of 330,883 m². The construction period is expected to be 12 months. In the water electrolysis hydrogen production segment, the project adopts the alkaline electrolyzer (ALK) hydrogen production process, equipped with 86 2,000-Nm³ electrolyzers, as well as 2 purification units and 2 gas-liquid treatment units, and is expected to produce 120,000 mt of hydrogen annually, mainly as raw material for ammonia synthesis. For the ammonia synthesis unit, the project will build one new unit adopting Casale axial-radial technology, with major equipment including ammonia compressors and synthesis towers, and is expected to produce 700,000 mt of liquid ammonia annually. CRRC Zhuzhou Electric Locomotive Research Institute Co., Ltd.: CRRC Zhuzhou Institute successfully won the bid for 8 water electrolysis hydrogen production systems for Phase I of Kaishan Group’s Kenya green fertilizer project. It is understood that this is the first export of CRRC electrolyzer products to Africa and also the world’s first project to produce green hydrogen/ammonia using geothermal new energy. The Kaishan fertilizer project uses geothermal steam from a Kenyan energy company to generate clean electricity, and then uses this clean electricity to produce hydrogen and green ammonia, ultimately producing more than 480,000 mt of green fertilizer. The hydrogen production section of the project uses a total of 90 sets of 1,000 Nm³/h. Xinqing Energy Technology (Fukang) Co., Ltd.: the EPC general contracting tender for the Xinqing Energy photovoltaic hydrogen production coupled resource clean utilisation low-carbon integrated project (chemical section) was recently released. It is reported that the project is located about 28 km east of Fukang City, Changji Prefecture, Xinjiang Uygur Autonomous Region, about 72 km west of Jimusar County, about 7 km north of Ganhezi Town, and adjacent to the east side of Xinjiang Jinxiang Sairui Coal Chemical Technology Co., Ltd. The project plans to build a new 383.3 MW PV power generation system to achieve hydrogen production capacity of 20,000 mt per year, together with a supporting ammonia synthesis system with annual output of 130,000 mt. In addition, one 220 kV step-down substation will also be built. Inner Mongolia Baofeng Coal-Based New Materials Co., Ltd.: Power Station Group has formally signed a cooperation agreement with Inner Mongolia Feng Coal-Based New Materials Co., Ltd. Power Station Group will supply key equipment for the Phase I water electrolysis hydrogen production project of the other party’s wind and solar power hydrogen production project, specifically including 8 alkaline electrolyzers of 1,250 Nm³/h and the world’s largest single-set 5,000 Nm³/h separation and purification system. In addition, Power Station Group will also provide the industry’s first outdoor three-dimensional layout design supporting services. Policy Review 1. Notice of the Ministry of Industry and Information Technology and Three Other Departments on Issuing the Implementation Plan for the High-Quality Development of Energy-Saving Equipment (2026-2028). The document states that by 2028, mass-produced water electrolysis hydrogen production equipment will achieve DC power consumption below 4.2 kWh/Nm³ under rated operating conditions. 2. Notice of the General Office of the National Energy Administration on Issuing the Guidelines for Project Approval of the 2026 Energy Industry Standards Plan. The key areas for project approval under the 2026 energy industry standards plan include 8 items. In the hydrogen energy field, the key directions include fundamentals and general applications, hydrogen production and conversion, hydrogen storage and transportation, hydrogen refueling, hydrogen power and generation, and hydrogen equipment. 3. Notice of the People’s Government of Heilongjiang Province on Issuing the Outline of the 15th Five-Year Plan for National Economic and Social Development of Heilongjiang Province. The document states that Heilongjiang will step up development of the bioenergy industry, foster green liquid fuel industries such as green hydrogen-to-ammonia, green methanol, and green aviation fuel, strive to achieve annual production capacity of 1 million mt of green hydrogen and 3 million mt of green liquid fuels, and accelerate the scaled and commercial development of bio-natural gas. Corporate Developments CIMC Enric Holdings Limited: Yang Baoying, honorary president of its hydrogen business center, and his delegation recently visited Pengfei Group. During the exchange, the two sides held discussions on promoting the implementation of the “hydrogen cylinder replacement” operating model for hydrogen heavy-duty trucks in Lvliang and ultimately reached consensus. This move has injected strong momentum into the commercialisation and scaled promotion of hydrogen heavy-duty trucks, pressing the “fast-forward button.” Yuchai Xinlan (Jiangsu) Hydrogen Energy Co., Ltd. : formally entered into a strategic cooperation agreement with Henan Hitachi Xin Co., Ltd. The two sides will carry out in-depth cooperation around key links in the hydrogen energy industry chain and jointly advance hydrogen technology innovation, product R&D, and market applications. Shaanxi Construction Engineering Installation Group Co., Ltd.: the Guyang first station and valve chamber of the Guyang-Baiyun Obo gas pipeline project, which it constructed, successfully passed completion acceptance. This milestone means that the innovative infrastructure project, equipped with 20% hydrogen blending transmission capability, is on the verge of official operation. It is understood that the Guyang-Baiyun Obo gas pipeline project not only has 20% hydrogen blending transmission capacity, but is also a key planned construction project under the “county-to-county connectivity in western Inner Mongolia” initiative in the Inner Mongolia Autonomous Region’s 14th Five-Year Plan for oil and gas development. The pipeline has a total length of 125 km, starting from the Guyang first station and generally running from south to north, passing through Guyang County, Darhan Muminggan Banner, and Baiyun Obo mining district in Baotou City before finally reaching Barun Industrial Park. Jiangsu Guofu Hydrogen Energy Technology Equipment Co., Ltd. : a delegation from Thailand’s water resources, electricity, and related institutions came to China for exchanges on the new energy industry and made a special trip to Zhangjiagang, Jiangsu, to visit the rooftop PV hydrogen production project jointly developed by ZNShine Solar and Guofu Hydrogen Energy. It is understood that the project relies on a distributed PV system installed on factory rooftops to provide clean and stable electricity for the enterprise’s production and energy applications through PV power generation, balancing efficient energy utilisation and green development. At the same time, it integrates hydrogen application scenarios and is equipped with an ESS to ensure stable energy supply for hydrogen production. It is a leading distributed PV hydrogen production demonstration project in China, showcasing China’s advanced achievements in the integrated development of PV and hydrogen energy. CSIC 712 Research Institute: the 100-kg-class hydrogen-powered hexacopter UAV “Hydrogen Peak No. 1,” which it led in developing, successfully completed its maiden flight. It is understood that Hanhydrogen Power, as the main supplier of the hydrogen supply system for hydrogen fuel cell UAVs, participated in the formulation of T/CEEIA265-2017 Technical Specification for Fuel Cell Fuel Systems of Unmanned Aerial Vehicles by the China Electrotechnical Society. Shanghai Yigong Hydrogen Energy Technology Co., Ltd.: Yigong Hydrogen Energy has seen concentrated batch shipments of its hydrogen compressor products, which have been delivered to project sites across the country for commercial operation. Guofu (Jinan) Hydrogen Energy Technology Development Co., Ltd.: registered capital is 2 million yuan, and the legal representative is Ding Leizhe. Equity information shows that Jiangsu Guofu Hydrogen Energy Technology Equipment Co., Ltd. holds 80% of the company, while Zhejiang Lingniu Yishi New Energy Technology Co., Ltd. holds 20%. Patent Applications 1. Shanghai Institute of Ceramics, Chinese Academy of Sciences (China) disclosed patent CN2025110028, developing a ceramic-based anion exchange membrane with laboratory-tested service life reaching 80,000 hours. 2. Johnson Matthey (UK) filed patent WO2025109876, disclosing an Fe-Ni-Mo ternary non-precious metal catalyst formulation with activity close to platinum-based materials. Technology Footprint/Technical Specifications 1. Professor Yu Ying’s team at Central China Normal University developed a three-dimensional graded nanostructured catalytic electrode, a core component for seawater hydrogen production. 2. Dalian University of Technology designed an electron-pump catalyst with an asymmetric photoresponse structure to maintain asymmetry in electron distribution. 3. Research teams from the School of Electrical Engineering at Xi’an Jiaotong University and the State Key Laboratory of Electrical Materials and Electrical Insulation successfully developed a Ru/Ti3C2Ox@NF bifunctional electrocatalyst for seawater electrolysis. 4. Johnson Matthey and Syensqo achieved efficient recycling and reuse of platinum group metals and ionomers in PEM fuel cells and electrolyzers, significantly reducing carbon footprint. 5. Teams from Xi’an Jiaotong University and Peking University jointly developed a new-type osmium-based catalyst, significantly improving the efficiency and economics of AEM water electrolysis hydrogen production and supporting the scaled deployment of low-cost green hydrogen.

SMM News: Following our previous analysis of the transportation and wind power sectors, this installment shifts focus to the critical demand drivers in the consumer and construction domains: White Goods , Consumer Electronics , and Real Estate-related applications (Elevators and Power Tools). While these sectors individually consume less magnetic material per unit compared to New Energy Vehicles (NEVs), their sheer aggregate volume makes them indispensable pillars of the Neodymium-Praseodymium (Pr-Nd) market. However, data from early 2026 reveals a troubling trend of stagnation and structural contraction across these traditional strongholds. I. White Goods: The Dual Pressure of Production Slumps and Material Substitution In the white goods sector, Neodymium-Iron-Boron (NdFeB) magnets are primarily utilized in two key applications: compressors for inverter air conditioners and motors for drum and impeller washing machines . 1. Air Conditioners: A Sharp Contraction in Output and Dosage According to data from the National Bureau of Statistics (NBS), China’s cumulative air conditioner production for January-February 2026 stood at 40.118 million units , a staggering 35% year-on-year (YoY) decline compared to the 61.921 million units produced in the same period of 2025. (Reason: This drastic drop is attributed to a combination of factors: firstly, an unusually mild winter across major consumption regions significantly dampened heating demand, leading to a destocking cycle among distributors. Secondly, the real estate sector’s continued downturn has severely curtailed new housing completions, directly reducing the installation of centralized and split AC systems. Lastly, high inventory levels carried over from 2025 forced manufacturers to aggressively cut production schedules in Q1 2026 to avoid capital lock-up.) Looking at the full year, SMM forecasts a marginal growth of 0.96% for 2026, with total annual production projected at 271.095 million units . (Reason: The near-flat growth outlook reflects a mature market saturation where replacement demand, rather than new installations, drives volume. While export markets offer some resilience against domestic weakness, rising trade barriers and logistical costs in key regions like Europe and North America are expected to cap significant expansion.) Applying SMM’s calculation model: Inverter Penetration: 99% NdFeB Motor Penetration: 92% Specific Consumption: Assumed at 100g/unit for 2026. Based on these parameters, the total NdFeB consumption for the air conditioner sector in 2026 is estimated at 24,691 tons , representing a 23% decrease from the 29,163 tons consumed in 2025. The core driver of this decline is twofold: first, the persistently high prices of Pr-Nd since the second half of 2025 have accelerated the industry’s cost-reduction initiatives. Second, there is a clear technological shift towards minimizing rare earth usage. The average single-unit dosage has dropped from 120g/unit in 2025 to 100g/unit in 2026 , as manufacturers optimize motor designs and, in some lower-end models, substitute with ferrite magnets or induction motor technologies where efficiency standards allow. 2. Washing Machines: A Slow Erosion of Demand For January-February 2026, China’s cumulative washing machine production was 18.58 million units , a slight 0.3% YoY decline from the 18.51 million units in the same period of 2025. (Reason: The stability in production volumes masks underlying weakness. The slight dip is primarily due to weak consumer confidence impacting discretionary spending on home appliance upgrades. Furthermore, the export market for washing machines has faced headwinds from sluggish global economic growth and intensified competition from Southeast Asian manufacturing hubs, offsetting modest domestic recovery efforts.) SMM projects a full-year growth rate of 3.1% for 2026. (Reason: This modest recovery is underpinned by government-led "trade-in" subsidy policies aimed at boosting domestic consumption of energy-efficient appliances. Additionally, product innovation in the high-end segment, such as washer-dryer combos and smart features, is expected to stimulate some replacement demand, though the overall ceiling remains low.) Demand Calculation Logic: Drum Washer Penetration: 63% (High-end, 98% use NdFeB) Impeller Washer Penetration: 28% (Mid-range, 50% use NdFeB) Specific Consumption: 290g/unit for drum washers; 240g/unit for impeller washers. Under this model, the total NdFeB demand for washing machines in 2026 is estimated at 27,204.52 tons , a 0.2% decrease from 27,262 tons in 2025. The sector is experiencing a slow but steady erosion of demand. While high-end drum washers rely heavily on efficient NdFeB motors to meet stringent energy labels, the volatility of rare earth prices is prompting manufacturers to cautiously explore alternative motor designs or reduce magnet grades in non-critical applications. Consequently, the industry has adopted a strategy of gradual reduction rather than abrupt substitution, balancing performance requirements with cost control. Outlook: The trajectory for white goods in 2026 is undeniably pessimistic. Both production volumes and technical intensity (dosage per unit) are trending downward, creating a double drag on Pr-Nd demand. II. Consumer Electronics: Volume Resilience vs. Intensity Decline The consumer electronics sector, modeled by SMM, comprises four main segments: Mobile Phones , Tablets , Desktops/Laptops , and Smartwatches . These devices utilize NdFeB primarily for acoustic components (speakers/receivers) and haptic feedback motors, with emerging uses in magnetic charging interfaces. The specific consumption is generally low, ranging from 2-5g/unit , except for desktops which average 15g/unit . Market Performance (Jan-Feb 2026): Mobile Phones: 220 million units (+6.8% YoY). Micro-computer Equipment: 41.956 million units (-31% YoY). Breakdown: 21% Tablets, 27% Desktops, 52% Laptops. Smartwatches: 8.196 million units (+7.8% YoY). (Reason: The divergence in performance is stark. Mobile phone growth is driven by the global rollout of AI-enabled handsets and the replacement cycle for 5G devices, particularly in emerging markets. Conversely, the sharp collapse in micro-computer equipment reflects the post-pandemic normalization of demand; the massive stockpiling of devices during 2020-2022 has led to a prolonged digestion phase. Additionally, extended device lifespans due to improved hardware durability have further suppressed replacement rates for PCs and tablets.) 2026 Full-Year Forecast: SMM anticipates a 1% growth for mobile phones and micro-computers combined, and a 5% growth for smartwatches. (Reason: The muted outlook for computing devices stems from persistent macroeconomic uncertainty and corporate IT budget tightening. For smartwatches, growth is fueled by increasing health-monitoring capabilities and deeper ecosystem integration with smartphones. However, the entire sector faces a cloud of uncertainty due to escalating geopolitical tensions affecting supply chains and rising memory chip prices, which may force OEMs to revise production targets downward later in the year.) Demand Estimation: Mobile Phones: 3,109.8 tons Micro-computers: 2,018.9 tons Smartwatches: 125.06 tons Total 2026 Demand: 5,253.76 tons , a 3% decline from 5,421.19 tons in 2025. The primary driver for this decline is the continuous, albeit slow, reduction in specific consumption. As miniaturization advances and alternative magnetic materials improve, the amount of NdFeB required per device is shrinking. Despite the relatively low single-unit dosage, the massive scale of the consumer electronics industry ensures it remains a significant consumer of NdFeB. Moreover, this sector is characterized by highly standardized supply chains, where major OEMs maintain binding agreements with certified magnet suppliers, making demand relatively stable but resistant to price-driven spikes. III. Real Estate Related: Elevators and Power Tools The final segment covers industries tightly coupled with the real estate cycle: Elevators and Handheld Power Tools . 1. Elevators: Policy Support vs. Structural Headwinds In January-February 2026, elevator production reached 150,000 units , a 7.1% YoY increase . (Reason: This short-term surge is largely attributable to the acceleration of projects that were delayed in late 2025, as developers rushed to meet pre-delivery deadlines before stricter regulatory inspections took effect. Additionally, government mandates for retrofitting old residential communities with elevators in urban renewal zones provided a temporary boost to order books.) However, SMM forecasts a full-year contraction of -3% for 2026. (Reason: The long-term outlook is grim due to the fundamental slowdown in new residential construction starts, which remain at multi-year lows. The debt crisis plaguing major property developers continues to stall new project launches, directly impacting the demand for new elevator installations. While the retrofit market offers some support, it is insufficient to offset the collapse in new building commissions.) Calculation: Energy-saving Elevator Penetration: 90% Specific Consumption: 6 kg/unit (for energy-saving models). Total 2026 Demand: 7,222.6 tons , a 1.3% increase from 7,125.3 tons in 2025. (Reason for Growth: The slight increase in total tonnage despite falling production volumes is entirely driven by the rising penetration of energy-saving elevators. Stricter national energy efficiency standards (GB standards) are forcing manufacturers to adopt permanent magnet synchronous motors (PMSM) over traditional asynchronous motors, thereby increasing the average NdFeB dosage per unit even as the total number of units declines.) 2. Handheld Power Tools: A Direct Casualty of Property Slump Production of handheld power tools in Jan-Feb 2026 was 29.566 million units , down 0.24% YoY . SMM projects a -3% decline for the full year 2026. (Reason: The downturn is inextricably linked to the stagnation in the global and domestic real estate markets. Reduced renovation activities and a slowdown in infrastructure projects have dampened demand for professional-grade tools. Furthermore, high inventory levels in distribution channels across North America and Europe, resulting from over-ordering in 2024, have led to a prolonged period of destocking.) Definition & Scope: According to the National Bureau of Statistics, handheld electric tools refer to portable motor-driven tools operated by hand, including electric drills, grinders, sanders, saws, and screwdrivers . These products are highly sensitive to housing turnover and renovation rates. Demand Calculation: NdFeB Penetration: 60% Specific Consumption: 80g/unit Total 2026 Demand: 9,134 tons , a sharp 13.4% drop from 10,548 tons in 2025. The significant contraction in this sector underscores the deep correlation between the property market and industrial metal demand. As the real estate sector remains in a prolonged adjustment phase, the downstream demand for power tools—and consequently NdFeB—faces sustained pressure. Conclusion The analysis of white goods, consumer electronics, and real estate-related sectors paints a picture of structural weakness for 2026. While niche policy drivers (like energy-saving elevator mandates) provide isolated pockets of growth, the overarching trends are defined by production saturation, inventory destocking, and aggressive material substitution . The combined effect of lower production volumes and reduced single-unit dosages creates a formidable headwind for Pr-Nd prices. In the final installment of this series, we will pivot to the future: examining the burgeoning demand from Low-Altitude Economy (eVTOLs), Robotics (Industrial and Service), and the relentless expansion of Electric Two-Wheelers . These emerging sectors may hold the key to offsetting the declines observed in traditional industries and reshaping the long-term demand curve for rare earth magnets.

[Lead-Acid Battery End-Use Market Updates] Recently, the China Government Procurement Network and the China Government Service Purchasing Information Platform released the "Supplementary Procurement Announcement for UPS Batteries for Building 1 of the East China Cloud Computing Base." The announcement stated that a tender was launched for the supplementary procurement and installation of UPS batteries for Building 1 of the East China Cloud Computing Base, requiring the parallel addition of 1–2 battery sets based on the existing UPS battery system, with a project budget of 1 million yuan.