China’s domestic rare earth market prices fell on October 10

On October 9, the rare earth index was 374 points, down 1 point from yesterday, down 62.60% from the cyclical peak of 1000 points (2011-12-06), and up 38.01% 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 4.055 million yuan/ton, 2.325 million yuan/ton and 6.95 million yuan/ton respectively. The average price of praseodymium and neodymium oxide in rare earth oxides is 317,500 yuan per ton; the price of dysprosium oxide has dropped 20,000 yuan per ton to 1.815 million yuan per ton; the average price of praseodymium oxide is 382,500 yuan per ton; and the average price of neodymium oxide is 315,000 yuan per ton. The price of praseodymium and neodymium alloys in rare earth alloys is 4.055 million yuan per ton, while the average price of dysprosium-iron alloys is down 20,000 yuan per ton to 1.815 million yuan per ton.

Recently, some prices in rare earth market have declined. The domestic rare earth market has a general trading market. The prices of dysprosium and terbium metals and oxides have declined. Heavy rare earth prices have continued to fall for two consecutive days. In recent years, the inquiries for Pr, Nd and Nd oxides have declined, the price of light rare earth oxides has slightly declined, and the recent market light rare earth merchants are poor, the recent market turnover is general.  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. Metal enterprises and downstream magnetic materials enterprises are weak in buying after the holiday because of the surplus of pre-holiday purchasing, and the decrease of rare earth price compared with the earlier period. They have strong wait-and-see sentiment. Under the strict environmental protection inspection, rare earth separating enterprises in many provinces have stopped production, resulting in a general market of rare earth oxides, especially some mainstream rare earth oxides, which are supplied normally, and the price trend of rare earth market is small. Recently, there has been a strong wait-and-see sentiment among large enterprise groups on the market. The rare earth market is in a general market and the turnover is at a low level.

Recently, the State Environmental Protection Department has been making strict investigations. Strengthening the supervision of the rare earth industry in Jiangxi Province has a great impact on the rare earth industry. The start-up of the rare earth industry is relatively low and the market is cold, which has brought some favorable support to the rare earth market. Recently, the State Council inspection team went to Jiangxi rare earth enterprises to inspect. This inspection closely centered on the major deployment of the Party Central Committee and the State Council, highlighted the key and difficult issues in the field of economic operation and reform and development, and focused on the strong blockades and pain points reflected by the people and the market subjects, so as to promote the implementation of various tasks from point to point. In addition, the Development and Reform Commission and the relevant departments should take effective measures to improve the management mechanism, strengthen the industrial restructuring and standardization, speed up the construction of a rational industrial structure, advanced scientific and technological level, effective protection of resources, orderly production and operation of the industry development pattern, effectively play the special value of rare earth as a strategic resource, and shrink the supply of raw mineral resources in the upstream of the rare earth industry. Domestic stakeholders are waiting for good news from the policy and the reserve.

Rare earth analysts of business associations expect that the domestic environmental protection inspection will not decrease in the near future. In addition, the domestic order of the rare earth industry will be rectified, and the supply of the rare earth industry in Jiangxi will be kept at a low level. However, the demand of the lower reaches of rare earth has not improved in the near future. It is expected that some prices of the rare earth market will remain at a low level.