Rare earth market update on June 11, 2026
The domestic rare earth market as a whole presented a mixed trend, with prices of praseodymium-neodymium oxide and praseodymium-neodymium metal decreasing by approximately RMB 4,000/ton and RMB 7,000/ton, respectively, while prices of terbium oxide and holmium oxide increased by approximately RMB 50,000/ton and RMB 5,000/ton, respectively. In the short term, the supply-demand pattern is unlikely to improve significantly, and the market may continue to maintain a sideways trend. However, in the long term, with technological iteration and upgrading, the application scope of rare earths continues to expand. In addition, supported by the favorable development momentum of emerging industries, the rare earth market is expected to heat up in the future.
According to data from the China Association of Automobile Manufacturers, in May 2026, the production and sales of new energy vehicles reached 1.554 million units and 1.496 million units, respectively, increased by 22.4% and 14.4% year-on-year, respectively. New energy vehicle sales accounted for 56.9% of total new vehicle sales. From January to May, the production and sales of new energy vehicles reached 5.841 million units and 5.802 million units, respectively, increased by 2.5% and 3.5% year-on-year, respectively. New energy vehicle sales accounted for 47.5% of total new vehicle sales. Chen Shihua, Deputy Secretary-General of the China Association of Automobile Manufacturers, stated that the new energy vehicle market has stabilized and rebounded, and its performance in the coming months is expected to be better than that of the first five months. Rare earth permanent magnets are key materials for new energy vehicle drive motors. Therefore, the recovery of the new energy vehicle market is expected to drive growth in demand for rare earth permanent magnets, thereby boosting the rare earth market.
AI servers consume relatively high levels of power, and the usage of MLCCs (Multilayer Ceramic Capacitors) is far higher than that of conventional servers. With the rapid development of the AI industry, demand in the MLCC market continues to increase. According to a research report from SDIC Securities, high-capacitance MLCCs for AI applications are experiencing explosive growth, and high-purity dysprosium oxide is an indispensable raw material for high-capacitance dielectric materials, with no mature substitute available. Global supply of high-purity dysprosium is tight. By 2027, the additional dysprosium demand generated by AI-MLCCs is expected to reach 1,500 tons, accounting for nearly 40% of the global total supply of 3,500 tons. This sudden demand surge may reshape the heavy rare earth market landscape.
Price of rare earth products on June 11, 2026
Images of erbium oxide
