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.