From late April to early May 2025, the rare earth market has shown signs of stabilization. Medium and heavy rare earth prices, which had surged following China's export restrictions in early April due to supply concerns, have begun to decline. Together with light rare earths, which had already passed their peaks earlier, the overall market remains subdued, reflecting persistent concerns about weakening global demand amid economic uncertainty.

According to a May 7 report from Shanghai Metals Market (SMM), “In response to the export controls, buyers have shifted to acquiring only the minimum necessary amounts based on actual demand.” The report also notes that since demand itself hasn’t improved, transaction volumes remain low, and “both producers and buyers are taking a wait-and-see approach.”

Export-Controlled Items Peak Out, Except for Scandium Oxide
The average rare earth price index for April, released by the Association of China Rare Earth Industry on May 7, dropped to 177.9, down from 182.6 in March. The peak was 182.8 on April 8, close to the March high of 183, but momentum didn’t last, and the index fell to 171.6 by April 25.

China Rare Earth Index Trends

(Source: Association of China Rare Earth Industry)

On April 4, China imposed export restrictions on several rare earth elements, including samarium, gadolinium, terbium, dysprosium, lutetium, scandium, and yttrium.

Related Article: https://www.iru-miru.com/article_detail.php?id=74200

Among the restricted rare earths, scandium oxide saw a modest rise, reaching its highest level since November 2024.

Price Trend of Scandium Oxide (99.99% min China) (RMB/kg) 3months

 
However, other items have peaked and are now declining as the initial shock has been digested. For example, terbium metal fell to $1177/kg on April 24, down from $1210 on April 17, hitting its lowest level since early April.

Terbium Metal Price Trend (99% FOB China) ($/kg)

 

Dysprosium metal has also stabilized. On April 24, the midpoint price was $293/kg, down slightly from $295, marking its lowest point since early April.

Dysprosium Metal Price Trend (99.5% FOB China) ($/kg)

Neodymium Continues to Fall, Lanthanum Also Adjusts
Prices for light rare earths continue to decline. Neodymium metal dropped to $72.75/kg on May 1, reaching its lowest level since early February. Although it had hovered at high levels since October 2024 through mid-April, it has now clearly entered a downward trend.

Neodymium Metal Price Trend (99% FOB China) ($/kg)

 

Lanthanum metal fell to $3.25/kg on May 1. After staying flat at $3.3 for over a month since mid-March, it has now begun a correction, reaching its lowest price range in the past 20 years.

Lanthanum Metal Price Trend (99% FOB China) ($/kg)

<Topics>
● April 30
The U.S. Treasury Department announced on its website that the United States and Ukraine signed an agreement to establish the “U.S.-Ukraine Reconstruction Investment Fund.” The fund includes a resource agreement granting U.S. companies preferential access to participate in rare earth development in Ukraine.
Related Article: https://www.iru-miru.com/article_detail.php?id=74792

● April 29
Australia’s DY6 Metals announced the discovery of gallium deposits in its rare earth mining area in Malawi, southern Africa.
Related Article: https://www.iru-miru.com/article_detail.php?id=74776

● April 28

Lynas Rare Earths, partly funded by the Japanese government, announced via its website that its revenue for Q1 2025 (Jan–Mar) increased 21.8% year-on-year to 123 million AUD.
Related Article: https://www.iru-miru.com/article_detail.php?id=74774Press

 Release: https://wcsecure.weblink.com.au/pdf/LYC/02939565.pdf

● April 28
Australia’s Brazilian Critical Minerals (BCM) announced that its rare earth development project in Brazil obtained approval from the Amazonas Environmental Protection Institute (IPAAM) to use magnesium sulfate.
Related Article: https://www.iru-miru.com/article_detail.php?id=74750

● April 24
The Albanese Government of Australia announced the establishment of a strategic stockpile for critical minerals on its official website.
Related Article: https://www.iru-miru.com/article_detail.php?id=74716

● April 23
Australian exploration firm Victory Metals Limited announced that its project involving heavy rare earths, scandium, and hafnium has received a Letter of Interest (LOI) from the U.S. Export-Import Bank (EXIM) expressing interest in financial support.
Related Article: https://www.iru-miru.com/article_detail.php?id=74626

● April 23
Canada’s Cyclic Materials, a rare earth recycling company, announced on its website that it will build its first commercial factory in Arizona, USA.
Related Article: https://www.iru-miru.com/article_detail.php?id=74608

(IR Universe Kure, translated by S. Aoyama)

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