Prices of didymium oxide fell below 500,000 yuan/mt, dysprosium oxide prices stabilised

SHANGHAI, May 26 (SMM)—Rare earth prices weakened last week. Prices of praseodymium-neodymium products fell noticeably. Inquiries were brisk for terbium and dysprosium. Prices of didymium oxide and praseodymium-neodymium alloy are expected to remain at low levels this week, but price declines will slow. Praseodymium prices are expected to stabilise. Prices of terbium oxide and dysprosium oxide will strengthen, and prices of holmium, erbium and yttrium will trend lower.

Neodymium, praseodymium-neodymium alloy, terbium and dysprosium-iron alloy are main raw materials for high-performance NdFeB permanent magnet materials. The big price volatility for rare earth raw materials will negatively affect production and sales at magnetic materials companies in the short term. In addition, the low month of June for traditional cars, coupled with the impact of chip shortages, is expected to weaken vehicle sales. The previous overly rapid gains in rare earth prices have driven recent price declines. Prices of  terbium and dysprosium have stabilised.

On the light rare earth front, didymium oxide was quoted at 480,000-485,000 yuan/mt as of Friday May 21, with several trades below 480,000 yuan/mt. Praseodymium-neodymium alloy was quoted at 600,000-610,000 yuan/mt, and some trades occurred below 600,000 yuan/mt on a cash payment basis. Magnetic materials companies remain on the sidelines currently. Several companies are awaiting price stabilisation. Praseodymium-neodymium alloy inventories at a few large-scale magnetic materials companies are currently sufficient for two to three months of production, refraining from rushing to purchase. Mainstream traded prices of praseodymium stood at 510,000 yuan/mt last week, with several trades at 505,000 yuan/mt. As of Friday May 21, praseodymium oxide was quoted at 510,000-520,000 yuan/mt, and praseodymium was quoted at 670,000-680,000 yuan/mt; neodymium oxide prices continued to weaken, with trades muted, and were quoted at 500,000-505,000 yuan/mt last Friday; neodymium was quoted at 610,000-620,000 yuan/mt.

On medium and heavy rare earth, terbium oxide was quoted at 6-6.2 million yuan/mt as of May 21, with several trades at 6 million yuan/mt; terbium was quoted at 7.8-7.9 million yuan/mt; dysprosium oxide was quoted at 2.33-2.35 million yuan/mt, and several trades occurred at 2.32 million yuan/mt. Dysprosium-iron alloy was quoted at 2.3-2.33 million yuan/mt. Big terbium oxide and dysprosium oxide manufacturers currently hold onto their cargoes amid improved market optimism. Gadolinium oxide prices were stable with traded prices of 187,000 yuan/mt; prices of holmium oxide were weak, and stood at 650,000-660,000 yuan/mt on Friday, with several trades below 650,000 yuan/mt.