Rare Earth Market Update on August 26, 2024

Details: Category: Tungsten's News; Published on Monday, 26 August 2024 17:44

At the beginning of this week, the domestic rare earth market maintained a steady and positive trend.

With a relatively balanced supply-demand relationship, traders exhibited some differences in sentiment: some suppliers tentatively raised their prices, such as an increase of around CNY 4,000 per ton for praseodymium oxide and CNY 2,000 per ton for praseodymium-neodymium oxide; while others kept their prices stable, preferring to observe the market.

On the supply side, limited production capacity from some rare earth manufacturers and lower import volumes of rare earth raw materials into China have resulted in lower inventories of certain raw materials. On the demand side, although there has been a relative increase in inquiry and procurement activity from magnet manufacturers compared to earlier, it still falls short of expectations, which has created significant resistance to further price increases for rare earth raw materials.

In related news, according to data from the National Energy Administration, as of the end of July, the cumulative installed power generation capacity nationwide reached approximately 3.1 billion kilowatts, an increase of 14.0% year-on-year. Of this, solar power generation capacity reached around 740 million kilowatts, a year-on-year increase of 49.8%, and wind power generation capacity reached approximately 470 million kilowatts, a year-on-year increase of 19.8%. From January to July, the cumulative average utilization of power generation equipment nationwide was 1,994 hours, a decrease of 91 hours compared to the same period last year. Major power generation enterprises nationwide completed CNY 415.8 billion in power source engineering investments, a year-on-year increase of 2.6%, and CNY 294.7 billion in grid engineering investments, a year-on-year increase of 19.2%.

Prices of rare earth products on August 26, 2024

Chinese rare earth price image