Rare earth market update on August 26, 2025
Domestic rare earth prices are generally adjusting within a reasonable range, with a mix of bullish and bearish factors. Despite this, the seller’s market maintains a significant advantage, though actual transaction volumes remain modest.
On the bullish side, first, the release of the Interim Measures for Total Quota Control Management of Rare Earth Mining and Smelting Separation has heightened market concerns about future supply shortages, providing support for suppliers to raise quotes. Second, with the approach of September 3, intensified environmental enforcement and crackdowns have led to reduced output from some rare earth manufacturers. Third, the rapid development of industries such as robotics, new energy vehicles, and electronic products has driven increased demand for rare earth functional materials.
On the bearish side, first, the recent significant rise in prices of mainstream rare earth products has strengthened downstream users’ resistance to high-priced goods, resulting in slow order growth. Second, driven by rising rare earth prices, the industry’s rare earth recycling rate has improved, thereby increasing the supply of spot goods in the market.
According to China Securities Journal, the Ministry of Industry and Information Technology, the National Development and Reform Commission, and the Ministry of Natural Resources jointly announced the Interim Measures for Total Quota Control Management of Rare Earth Mining and Smelting Separation, effective upon promulgation. The measures propose that the state will implement total quota control management for rare earth mining (including rare earth mineral products) and the smelting separation of various rare earth mineral products (including monazite concentrates) obtained through mining, imports, or processing of other minerals. Some fund analysts believe this indicates that constraints on the supply side of rare earth smelting separation will become substantively evident, potentially further catalyzing the rare earth sector’s market performance.
Price of rare earth products on August 26, 2025
Neodymium oxide picture
