On August 22, China’s domestic rare earth market declined in part

On August 22, the rare earth index was 373 points, unchanged from yesterday, down 62.70% from the cyclical peak of 1000 points (2011-12-06), and up 37.64% from the lowest point of 271 on September 13, 2015. (Note: Period refers to 2011-12-01 to date).

The average price of neodymium, dysprosium and praseodymium in rare earth metals is 393,500 yuan/ton, 2.3 million yuan/ton and 695,000 yuan/ton respectively. The average price of praseodymium and neodymium oxides in rare earth oxides is 313,500 yuan/ton; the price of dysprosium oxide has dropped from 10,000 yuan/ton to 192,000 yuan/ton; the average price of praseodymium oxide is 382,500 yuan/ton; and the average price of neodymium oxide is 315,000 yuan/ton. The price of praseodymium and neodymium alloys in rare earth alloys is 395,500 yuan per ton, while the average price of dysprosium-iron alloys is down from 10,000 yuan per ton to 191,000 yuan per ton.

Recently, the price of heavy rare earth in the rare earth market has been slightly lower, but the price of light rare earth market has maintained an upward trend. The domestic rare earth market trading market is general, dysprosium metals have declined. Recently, the inquiry list for Pr and Nd oxide has increased, and the price of light rare earth oxides has maintained an upward trend. The supply of rare earth is normal in China. The price fluctuation of rare earth market is related to the national environmental protection supervision. Rare earth production has its particularity, especially the radiation hazards of some products, which make the environmental protection supervision stricter. Under stringent environmental protection inspection, rare earth separation enterprises in many provinces have stopped production, resulting in a general market input of rare earth oxides, especially some mainstream rare earth oxides, with normal supply and stable price trend in the rare earth market. Recently, large enterprise groups in the field are reluctant to sell. The market of rare earth oxides is general, but for products. Pricing major manufacturers are also cautious.

Recently, the State Environmental Protection Department has made no reduction in its stringent efforts, which has a greater impact on the rare earth industry. The rare earth industry has a low start-up and a cold market. At the recent press conference on macroeconomic operation held by the Development and Reform Commission, Meng Wei, spokesman of the National Development and Reform Commission (NDRC), answering reporters’questions on rare earth, said that on the basis of in-depth investigation and scientific demonstration, relevant policies and measures would be put forward to give full play to the special value of rare earth as a strategic resource. Due to the increasingly obvious regulatory effect, the supply of raw ore resources in the upstream of the rare earth industry has shrunk, and people in the domestic market are waiting for the good news of the policy and the national reserve.

Rare earth analysts from business associations expect that domestic environmental stringency will not diminish in the near future, coupled with domestic rectification of the order of the rare earth industry, Myanmar’s export restrictions and normal supply, but the demand for rare earth downstream has been supported in the near future, and some prices in the rare earth market are expected to rise.