Rare earth oxide prices further drifted lower amid thin trades

SHANGHAI, Oct 12 (SMM) – Spot prices of rare-earth oxides in China extended their declines after the National Day holiday as market participants stood on the sidelines after the week-long customs clearance in Myanmar pre-holiday. 

SMM assessments showed that prices of dysprosium oxide dipped from 1.85-1.88 million yuan/mt at the start of the week to 1.8-1.83 million yuan/mt as of Friday October 11; prices of terbium oxide fell from 3.85-3.88 million yuan/mt, to 3.8-3.83 million yuan/mt during the same period. 

For light rare-earth oxides, average prices of praseodymium-neodymium oxide stabilised at 315,000-320,000 yuan/mt in the week of October 11, but cheap cargoes were also seen in the market. 

The light rare-earth oxide market saw sluggish trades for most of the week as consumers awaited guidance from the listed prices by China Northern Rare Earth Group. 

The price outlook on praseodymium-neodymium oxide was supported after the state-owned mining company held its October listed prices of light rare earth products unchanged from a month ago, in an announcement on October 10. However, most market participants are sceptical about a price rally. 

SMM estimates limited downside room in nearby prices of dysprosium oxide, terbium oxide, given uncertainties around imports from Myanmar. Prices of praseodymium-neodymium oxide, meanwhile, are likely to trade weakly with limited support from consumption.