Soaring Rare Earth Ore Imports in Jan-Feb 2026 & Falling Demand Exacerbate Oversupply [SMM Analysis]

SMM News, March 24

According to the latest data from the General Administration of Customs, from January to February 2026, China’s imports of mixed rare earth carbonate were about 3,013.7 mt, up 321% YoY. Over the same period, imports of unlisted rare earth oxides were about 12,860.4 mt, also posting a sharp increase of 209% YoY.

The reasons were, on the one hand, at the beginning of last year, rare earth ore exports from Myanmar, the main source country for unlisted rare earth oxides imports, were affected by a series of negative factors, resulting in relatively low exports of unlisted rare earth oxides in the same period last year; on the other hand, from January to February this year, rare earth prices in China rose rapidly, and the unit price of rare earth ore also increased significantly, prompting traders to actively import in pursuit of profits.

At the same time, however, the surplus problem in rare earth ore became increasingly prominent and could not be ignored. Constrained by multiple factors such as production quotas and environmental protection, China’s rare earth separation plants had gradually reduced their operating rates since the end of 2025, and this situation persisted for a relatively long period. This directly led to a sharp decline in market demand for rare earth ore. According to information provided by suppliers on the ore side, rare earth separation enterprises were currently trying hard to push down prices during procurement, keeping the actual transaction prices of rare earth ore at a relatively low level.