Rare Earth Prices Remain on Downward Track amid Poor Market Transactions

SHANGHAI, Feb 27 (SMM) - The prices of rare earths kept falling as a whole last week. Some downstream magnetic material companies began to make inquiries in light of insufficient inventory. The prices of PrNd pxide and alloy dropped slowly and showed signs of stabilising already. However, considering that magnetic material companies still reported a disappointing order book post the Chinese New Year holiday, the operating rates of some companies have dropped to 50%. SMM believes that the prices of rare earth prices are unlikely to gain momentum in the short term amid strong wait-and-see sentiment among the buyers when the prices have been falling for some time.

[US rare earth enterprise and Sumitomo Corporation have reached an agreement that the rare earths will be directly supplied to Japan after separation and processing]

US rare earth company MP Materials and Japanese trading giant Sumitomo Corporation issued a statement saying that MP Materials will directly sell the minerals processed by its rare earth separation plant to Sumitomo Corporation for distribution in Japan. The agreement will "stabilise, expand and consolidate supply chains that are critical to Japan's manufacturing industry."

[Cultivated land, ecology, and rare earth protection will become the focus of law enforcement via satellite photo maps in 2023]

In order to focus on cracking down on illegitimate actions involving strategic minerals such as illegitimate occupation of cultivated land, illegitimate mining of rare earths, etc., the Ministry of Natural Resources has decided to carry out the 2023 law enforcement work with the help of satellite photo maps. The work will focus on the protection of cultivated land, the cracking down on malicious and illegal occupation of cultivated land, especially new non-agricultural construction activities that illegally occupy permanent farmland. Meanwhile, the illegitimate mining of minerals that jeopardies the natural environment is also forbidden. The goal is to protect the security of Chinese natural resources.