SHANGHAI, Apr 24 (SMM) – Tight domestic, seaborne supplies and higher demand from electric vehicles will expand upward room in prices of medium, heavy rare earth, such as dysprosium oxide and terbium oxide in the near future, SMM expects.
As of Wednesday April 24, an SMM survey found that environmental inspections had nearly halved output of ion-absorbed rare earth ore, which is rich in medium and heavy rare earth elements, in the south.
From May, Myanmar's ion-absorbed rare earth ore will again be banned from entering China. This will further weigh on the supply of medium and heavy rare earth in the domestic market.
The growing market of new energy vehicle (NEV) and permanent-magnets will expand demand for permanent magnet materials, and thus bolster consumption of rare earth oxides like dysprosium oxide.
Data from the China Association of Automobile Manufacturers (CAAM) showed that domestic production and sales of NEVs in the first quarter almost doubled that in the same period in 2018.
On Monday April 22, state-owned mining company China Southern Rare Earth Group raised listed prices of medium and heavy rare earth oxides by 0.32-2.94% from the previous release on April 15.