In July, the production of Pr-Nd oxide slightly increased MoM, while the production of Pr-Nd alloy decreased. According to SMM statistics, domestic Pr-Nd oxide production reached 7,550 mt in July 2024, up 3% MoM. In contrast, Pr-Nd alloy production was 5,892 mt, down 1.7% MoM.
In July, the rare earth market experienced significant price fluctuations due to various news factors. The Pr-Nd alloy market saw sluggish transactions, leading to increased inventories in some factories. Additionally, rising ore prices reduced the circulation of low-priced oxide in the market, hindering the replenishment of metal raw materials. Hot weather also caused a decline in operating rates in some regions. Under these circumstances, magnetic material companies saw a slight increase in orders compared to the previous period, leading to a slight rise in metal demand. The inquiry activity in the rare earth market significantly increased, and Pr-Nd alloy supply is expected to rebound in August.
At the beginning of last week, driven by concentrated bidding from major magnetic material companies, Pr-Nd prices quickly rose. As the peak season approaches, the order volume for magnetic material companies continues to increase, and most industry insiders remain optimistic about the market outlook. With mineral supply not yet fully restored, upstream manufacturers continue to raise their prices. SMM expects short-term rare earth prices to continue to fluctuate upward.
