Pr-Nd production contracted MoM in May, while market prices fluctuated rangebound [SMM Analysis]

Published: May 31, 2025 21:58

Save

[SMM Analysis: Pr-Nd Production Shrank MoM in May, Market Prices Fluctuated Rangebound] From the price trend of Pr-Nd in May, the Pr-Nd market was in a stalemate under the pattern of weak supply and demand. Supported by raw material costs and supply contraction, the overall price of Pr-Nd oxide fluctuated rangebound. However, downstream acceptance of high prices was limited, and actual transactions did not see a significant increase.

SMM News on May 31: In May 2025, the production of Pr-Nd oxide and Pr-Nd alloy in China showed a trend of double decline on a MoM basis. The production cuts of Pr-Nd oxide were mainly concentrated in Jiangsu, Jiangxi, Shandong, and Sichuan. On one hand, the prolonged sluggishness of rare earth ore prices led to widespread reluctance among suppliers to sell, resulting in a sharp decline in market liquidity. Enterprises relying on imported ore faced significant raw material shortages. On the other hand, downstream NdFeB magnetic material enterprises experienced a contraction in orders, leading to a drastic reduction in scrap supply. This further impacted industrial clusters that primarily rely on scrap recycling as a raw material source. Scrap recycling enterprises found themselves in a predicament due to the disruption of raw material supply and losses. Meanwhile, the production cuts of Pr-Nd alloy were concentrated in Sichuan and Inner Mongolia. The export control policy for medium-heavy rare earths implemented since April directly suppressed the procurement demand for Pr-Nd alloy from magnetic material enterprises. Some metal plants were forced to halt production and reduce output due to the contraction of downstream orders.

From the perspective of Pr-Nd price trends in May, the Pr-Nd market remained in a stalemate amid weak supply and demand. Supported by raw material costs and supply contraction, the price of Pr-Nd oxide generally fluctuated rangebound. However, downstream acceptance of high prices was limited, and actual transactions did not see a significant increase. Although the quoted prices of Pr-Nd alloy slightly increased due to the cost transmission from raw material oxides, the actual demand remained persistently weak due to obstacles in the export of terminal magnetic materials, lacking sustained upward momentum in prices. Policy factors further exacerbated the uncertainty in the rare earth market. Export controls not only directly suppressed the demand for medium-heavy rare earths but also inhibited the consumption of light rare earths through industry chain transmission. Overall, Pr-Nd prices highlighted structural pressure amid narrow fluctuations in May. Subsequent trends will depend on the adaptive adjustments in the implementation of export control policies and the progress of global supply chain reconfiguration.

》Apply for a Free Trial of SMM Metal Industry Chain Database

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

10 hours ago

SMM Rare Earth Afternoon Trading Comment on September 16

10 hours ago

14 hours ago

Rare earth market prices in the doldrums, actual transactions lack momentum [SMM Rare Earth Daily Review]

[SMM Rare Earth Daily Review: Rare earth market prices in the doldrums, actual transactions struggle to gain traction] Overall, the market shifted from yesterday's consolidation to a weaker trend today, with declines concentrated mainly in the terbium and Pr-Nd series. The transaction side remained sluggish, with downstream demand dominated by small rigid orders and actual negotiations centered around low-priced cargoes, while inquiries for other varieties stayed steady. In the short term, with the Mid-Autumn Festival holiday approaching, pre-holiday stockpiling expectations still exist, but both the cost side and transaction side have weakened, and Pr-Nd prices may move sideways within a narrow range. Whether the upward momentum can follow through still depends on the pace of stockpiling demand release from magnetic material enterprises.

14 hours ago

18 hours ago

[SMM Rare Earth Morning Meeting Summary] Pr-Nd oxide consolidated on a subdued note in the afternoon with more seller concessions, dysprosium remained stable while terbium held steady at low levels, and magnetic material activity was moderate.

[Pr-Nd oxide consolidates on a subdued note in the afternoon with more seller concessions, dysprosium stable while terbium holds at lows, magnetic material activity moderate] Yesterday, Pr-Nd oxide was affected by fluctuations in futures prices. In the afternoon, seller concessions increased somewhat, while magnetic material enterprises showed weak willingness to enter the market. Low-priced sources remained the mainstay of transactions, with actual shipments limited. Dysprosium oxide quotes held steady, with limited inquiries and sporadic deals. Terbium oxide high-level offers still struggled to find takers, and suppliers made slight price concessions to facilitate shipments, with actual negotiated prices on the lower side.

18 hours ago