Rare earth prices have returned to the spotlight after suddenly skyrocketing since early November. According to the Global Times, the reason is that supply disruptions in Myanmar have caused the market to become scarce, while demand is increasing.
 |
| Rare earth mining at the Bayan Obo mine in Inner Mongolia, China. (Source: AP) |
In China - the world's largest supplier and consumer of rare earths - some producers have raised prices after seeing listed rare earth prices rise in September and October 2024.
On November 1, Inner Mongolia Baotou Steel Rare-Earth Company announced the rare earth listing price for November 2024.
Accordingly, some products increased slightly in price, such as praseodymium neodymium oxide, often abbreviated as PrNdO.
Myanmar accounts for more than 50% of the global supply of heavy rare earths, said Wu Chenhui, an independent industry analyst who closely follows the rare earth industry.
"The political upheaval in Myanmar has led to the closure of many rare earth mines, reducing supply. The country mainly produces medium and heavy rare earth ion ores, accounting for 11% of global output by 2023," said Wu Chenhui.
According to the General Administration of Customs of China, from January to September 2024, the country imported 31,000 tons of rare earth oxides from Myanmar, accounting for 74.9% of the total oxide imports in the same period.
Myanmar's suspension of mining activities, coupled with environmental restrictions on domestic supplies of medium and heavy rare earths, could lead to a shortage of these materials, a research report published by Huatai Securities said.
Wu Chenhui observed that in the next two to three years, the structure of rare earth production is not expected to change significantly, and China will continue to account for more than 60% of global supply. This outlook makes rare earth prices expected to rise steadily to a more sustainable level.
Source: https://baoquocte.vn/dat-hiem-khuay-dong-thi-truong-ly-do-den-tu-myanmar-292663.html
Comment (0)