The winners of high rare earth prices

In China, prices for two out of 17 rare earths have risen by more then 50% within the last 12 months. Neodymium and praseodymium are the major cost factors for so called super magnets (neodymimum magnets or NdFeB magnets).
Prices for other light rare earth, such as lanthanum, cerium and for heavy rare earths such as dysprosium have also gone up.
In the short run, some raw material suppliers, which are speculating on further price hikes are profiting of this development. Also, share prices of major miners in China predict a 260-percent increase in its first-half profits compared to last year.
In the long run, some users of rare earth magnets will switch from neodymium magnets to ferrite (ceramic) magnets, AlNiCo and in some cases to samarium cobalt magnets. So sellers of NdFeB magnets might lose market share in the years to come.
VTLG is well prepared for this challenge, and we are working closely with our customers to have a solution and guarantee stable supply for their applications.

Visit us at SPS IPC DRIVE 2017 (Nov. 28~30, 2017)

SPS IPC Drives is Europe’s leading exhibition for electric automation.

Permanent magnets are at the heart of all electric devices. We offer customized permanent magnets, magnetic couplings and other magnetic systems.

VTLG Europe Limited: & VTLG Magnet Division:
We are a German managed Company with Headquarter in Hong Kong, and subsidiaries in Taiwan, China and Germany. We are specialized in customized manufacturing of all permanent magnets (NdFeB, SmCo, Ferrite, AlNiCo and plastic bonded magnets), and we engage in global sales of linear-magnetic encoders, distribution of ema-signal towers, ema-sensors and ema-controllers, as well as high precision balls and rollers for linear guides, ball screws and bearings.
SPS/IPC/Drive is the most important show, where you can find suppliers of electric automation technology from around the world and see the newest products, trends and innovations.
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We are looking forward to meeting you from
28. – 30. November 2017, Nuremberg
Halle 4A, Stand 4A-221.

For appointments, please contact:
magnet@vtlg-asia.com

PrNd new Price height: 700 000 CNY / ton

PrNd new Price reaches new height: 700 000 CNY / ton
It looks like Chinese Raw Material Suppliers are still in no hurry to sell, and prices might continue to rise until end of 2017.
At the same time, some factories already face shortage of raw material and quote only to valuable long term customers.
A question remains, of how this development will influence the quality of NdFeB raw material, since PrNd can only be stored over a certain period of time.

NdFeB Prices on the Rise in 2017

 

Rise in rare earth prices to continue in 3Q and possibly Q4 on tight supply

Rises in Chinese rare earths prices (especially PrNd) are expected to continue in the third quarter due to growing physical demand from the magnetic material sector and caused by anti-pollution checks as well as the government’s tighter regulations on illegal production.

Enforcement of these policies by the Chinese Government is expected to remain in place in the long run.

Demand has also moved prices, but to a much lesser extent than Chinese government regulations. Production of magnetic materials has risen in 2017 year on the back of developments in industrial intelligence, automotive and other electronic industries, which all require permanent magnets.It is estimated, that rare earths prices could receive a further boost from possible Chinese government-led stockpiles for 9,000t of material in the second half of this year and a public bidding conference is due in July, according to market players.

It is the steepest price increase since the erratic market movement in 2011. It is to be hoped, that all involved players this time refrain from speculation, so that the industry can continue to develop in a healthy way.