In 2030, the price of lanthanum oxide is forecast to be ***** U.S. dollars per metric ton. There are 17 rare earth elements, and although they may be fairly abundant in the Earth's crust, often they occur at sparse intervals are less economically exploitable.

Neodymium traded flat at 647,500 CNY/T on August 1, 2025. Over the past month, Neodymium's price has risen 17.19%, and is up 38.50% compared to the same time last year, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. Neodymium Rare Earth - values, historical data, forecasts and news - updated on August of 2025.

The global rare earth metals market size is predicted to reach USD 6.2 billion in 2024. It is anticipated to grow at a CAGR of 10.1% during the forecast period to reach a value of USD 16.1 billion by 2034. The market is projected to witnesses a Y-o-Y growth of 9.1% in 2024.

Semi-annual Market Update

Country-wise Insights

Category-wise Insights

The Rare Earth Metals Market Report Segments the Industry by Product Type (Light Rare Earth Elements and Heavy Rare Earth Elements), Element (Cerium, Neodymium, and More), Application (Catalysts, Ceramics, and More), End-Use Industry (Clean Energy, Consumer Electronics, and More), and Geography (Asia-Pacific, North America, Europe, South America, Middle East and Africa). The Market Forecasts are Provided in Terms of Volume (tons).

The price of the rare earth oxide neodymium oxide was 49,763 U.S. dollars per metric ton in 2020. By 2030, the price of neodymium oxide is expected to increase to 45,500 U.S. dollars per metric ton.

The global rare earth metal market dropped to $8.2B in 2024, shrinking by -4.6% against the previous year. In general, the total consumption indicated temperate growth from 2012 to 2024: its value increased at an average annual rate of +2.5% over the last twelve-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2024 figures, consumption decreased by -4.6% against 2021 indices.

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Rare Earth Metals Market Size 2025-2029

The rare earth metals market size is forecast to increase by USD 3.78 billion at a CAGR of 9.1% between 2024 and 2029.

The market is experiencing significant growth due to the increasing demand for electronic appliances and personal equipment, driven by global consumer trends and technological advancements. This demand is further fueled by the expansion of production capacities and the emergence of alternative suppliers, which are aiming to reduce dependence on traditional sources. However, market growth is not without challenges. Demand-supply imbalances persist due to the complex and often unpredictable nature of rare earth metal mining and production. Moreover, the rise of substitutes, such as recycling and the development of new technologies, is posing a threat to market players. Companies seeking to capitalize on market opportunities must stay abreast of these trends and navigate challenges effectively by investing in research and development, exploring alternative supply chains, and collaborating with industry partners to ensure a stable and sustainable supply of rare earth metals.

What will be the Size of the Rare Earth Metals Market during the forecast period?

Request Free SampleRare earth metals, a group of 17 elements on the periodic table, play a crucial role in various industries, particularly in consumer equipment, catalyst systems, and green technology. These metals are essential for catalyst systems in industrial processes and are key components in magnets used in applications such as permanent magnets in gadolinium magnets and neodymium magnets. The demand for rare earth metals is driven by their use in electric vehicles, electronic appliances, and battery production. The supply chain for these metals is complex, with a significant portion extracted from concentrated deposits. However, resource scarcity and the environmental impact of metal extraction have led to increased focus on recycling efforts. Industrial uses of rare earth metals extend beyond magnets, with applications in battery production, wind turbines, and various other industries. The market dynamics for rare earth metals are influenced by production capacities, demand for specific metals, and the challenges of extracting them from the earth's crust. Catalyst systems, magnet applications, and green technology are just a few areas where rare earth metals contribute significantly. As the world transitions to more sustainable energy sources and electric vehicles become more prevalent, the demand for these metals is expected to grow.

How is this Rare Earth Metals Industry segmented?

The rare earth metals industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD million' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments. ApplicationPermanent magnetsMetal alloysCatalystsPolishing powderOthersTypeLight rare earth elementsHeavy rare earth elementsOthersProductCeriumDysprosiumErbiumOthersGeographyAPACChinaIndiaJapanSouth KoreaVietnamNorth AmericaUSCanadaEuropeGermanyUKMiddle East and AfricaSouth America

By Application Insights

The permanent magnets segment is estimated to witness significant growth during the forecast period.Rare earth metals, primarily including neodymium, pradymium, dysprosium, gadolinium, terbium, and samarium, are essential components for producing rare earth magnets. These magnets are integral to various high-tech technologies, such as military equipment, consumer electronics, automotive industries, and renewable energy solutions like wind turbines. Neodymium oxide, a rare earth oxide, is a significant component of Neodymium-iron-boron (NdFeB) magnets, which are widely used in applications ranging from audio and video components to automobiles and electric vehicles. China, as a leading consumer and supplier, dominates the market for NdFeB magnets and exports a substantial amount of these magnets. The environmental impacts of rare earth mining, including water contamination and habitat destruction, as well as air contamination, have raised concerns regarding the sustainability of this industry. However, the increasing demand for clean energy and renewable energy sources, such as LED lamps and wind turbines, necessitates the continued production and capacity expansion. Geopolitical factors and the concentration of rare earth deposits in specific regions contribute to supply chain complexities. Furthermore, rare earth magnets play a crucial role in catalyst systems, glass & ceramics, and various other industries. The evolving market dynamics and trends necessitate a comprehensive of the market and its implications on various industries.

Get a glance at the market report of share of various segments Request Free Sample

The Permanent magnets segment was valued at USD 1.36 billion

According to Cognitive Market Research, the global rare earth metals market size will be USD 6324.8 million in 2025. It will expand at a compound annual growth rate (CAGR) of 13.50% from 2025 to 2033.

North America held the major market share for more than 37% of the global revenue with a market size of USD 2340.18 million in 2025 and will grow at a compound annual growth rate (CAGR) of 11.3% from 2025 to 2033.
Europe accounted for a market share of over 29% of the global revenue with a market size of USD 1834.19 million.
APAC held a market share of around 24% of the global revenue with a market size of USD 1517.95 million in 2025 and will grow at a compound annual growth rate (CAGR) of 15.5% from 2025 to 2033.
South America has a market share of more than 3.8% of the global revenue with a market size of USD 240.34 million in 2025 and will grow at a compound annual growth rate (CAGR) of 12.5% from 2025 to 2033.
Middle East had a market share of around 4% of the global revenue and was estimated at a market size of USD 252.99 million in 2025 and will grow at a compound annual growth rate (CAGR) of 12.8% from 2025 to 2033.
Africa had a market share of around 2.2% of the global revenue and was estimated at a market size of USD 139.15 million in 2025 and will grow at a compound annual growth rate (CAGR) of 13.2% from 2025 to 2033.
Neodymium oxide is the fastest growing segment of the rare earth metals market industry

Market Dynamics of Rare Earth Metals Market

Key Drivers for Rare Earth Metals Market

Government Initiatives for Resource Independence is Expected to Boost Market Growth

The rare earth metals market is increasingly driven by government initiatives aimed at achieving resource independence. Many countries, particularly the US, EU nations, India, and Japan are implementing policies to reduce reliance on Chinese exports, which dominate the global supply. These initiatives include funding domestic mining projects, investing in refining and recycling technologies, and forming strategic alliances for rare earth exploration. Governments are also supporting R&D in developing alternatives and more sustainable extraction methods. Such policies are strengthening local supply chains and stimulating demand for rare earth elements critical to clean energy, defence, and electronics sectors, thereby propelling market growth and fostering technological self-reliance in strategic industries. In March 2024, Australian Strategic Materials (ASM) formed a strategic partnership with global engineering company Bechtel Mining and Metals, Inc. (Bechtel) for its Dubbo Project in New South Wales (NSW). Bechtel will provide Front-End Engineering Design (FEED) services, a crucial step toward the final investment decision. This partnership strengthens ASM's position for new funding opportunities, including with a US government entity.

https://asm-au.com/strategic-partnership-delivers-benefits-for-dubbo-project/”

Advancements in Consumer Electronics to Boost Market Growth

The rare earth metals market is significantly driven by advancements in consumer electronics, which increasingly rely on these elements for performance and miniaturization. Rare earth metals such as neodymium, dysprosium, and terbium are critical components in high-performance magnets, speakers, vibration motors, and batteries used in smartphones, laptops, tablets, and wearables. As consumer demand grows for smarter, faster, and more compact devices, manufacturers are integrating rare-earth-based components to meet functional and design needs. Additionally, the shift toward energy-efficient electronics and high-resolution displays further boosts the demand for these materials. The constant innovation cycle in electronics ensures sustained growth in the rare earth metals market.

Restraint Factor for the Rare Earth Metals Market

Fluctuating Raw Material Prices Will Limit Market Growth

Fluctuating raw material prices act as a significant restraint in the rare earth metals market due to their impact on cost predictability and supply chain stability. These metals are often sourced from a limited number of countries, with China being the dominant supplier. Geopolitical tensions, export restrictions, and environmental regulations can disrupt supply and cause sharp price variations. Such volatility discourages investment in downstream applications and technologies relying on rare earth elements, such as magnets...

The price of the rare earth oxide praseodymium oxide is expected to reach some ****** U.S. dollars per metric ton in 2030. In 2011, the price of praseodymium oxide reached a record high, at some ******* U.S. dollars per metric ton.

The South Korean rare earth metal market skyrocketed to $9.6M in 2024, increasing by 44% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). In general, consumption, however, saw a pronounced decline.

The Asia-Pacific rare earth metal market reduced to $6.7B in 2024, dropping by -3.1% against the previous year. The total consumption indicated a slight increase from 2012 to 2024: its value increased at an average annual rate of +1.5% over the last twelve-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2024 figures, consumption decreased by -0.6% against 2021 indices.

It is forecast that the price of dysprosium oxide be *** U.S. dollars per kilogram in 2030. In 2020 the price of dysprosium oxide was *** U.S. dollars per kilogram.

There are ** rare earth elements and although they are fairly abundant in the Earth's crust, often they occur at sparse intervals are are less economically exploitable.

Analysis from GMI Research finds that the Rare Earth Metals Market earned revenues of USD 5.9 billion in 2022 and forecast to touch USD 14.2 billion in 2030 will grow at a high CAGR of 11.6%.

The U.S. rare earth elements market size was USD 85.5 million in 2024, and it will grow by 9.5% during 2025-2032, reaching USD 174.8 million by 2032.

The CIS rare earth metal market amounted to $161M in 2024, almost unchanged from the previous year. The market value increased at an average annual rate of +1.2% over the period from 2012 to 2024; the trend pattern remained consistent, with somewhat noticeable fluctuations being observed throughout the analyzed period. Over the period under review, the market reached the peak level at $165M in 2017; however, from 2018 to 2024, consumption failed to regain momentum.

According to Cognitive Market Research, the global rare earths market size will be USD 14280 million in 2025. It will expand at a compound annual growth rate (CAGR) of 7.80% from 2025 to 2033.

North America held the major market share for more than 40% of the global revenue with a market size of USD 5283.60 million in 2025 and will grow at a compound annual growth rate (CAGR) of 6.3% from 2025 to 2033.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 4141.20 million.
APAC held a market share of around 23% of the global revenue with a market size of USD 3427.20 million in 2025 and will grow at a compound annual growth rate (CAGR) of 10.5% from 2025 to 2033.
South America has a market share of more than 5% of the global revenue with a market size of USD 542.64 million in 2025 and will grow at a compound annual growth rate (CAGR) of 8.5% from 2025 to 2033.
Middle East had a market share of around 2% of the global revenue and was estimated at a market size of USD 571.20 million in 2025 and will grow at a compound annual growth rate (CAGR) of 9.1% from 2025 to 2033.
Africa had a market share of around 1% of the global revenue and was estimated at a market size of USD 314.16 million in 2025 and will grow at a compound annual growth rate (CAGR) of 8.1% from 2025 to 2033.
Glass is the fastest growing segment of the rare earths industry

Market Dynamics of Rare Earths Market

Key Drivers for Rare Earths Market

Increasing Proportion of Electric Automobiles to Boost Market Growth

The market for rare earth is expanding due in large part to the increasing number of electric automobiles. Mechanical combustion engines are no longer required since electric vehicles (EVs) use power that has been preserved in batteries or other energy storage devices. Rare earth metals, particularly magnets, and dysprosium, are employed in motors for electricity because of their outstanding durability, magnets, and magnetic qualities. For this reason, the demand for rare earth metals is expanding due to the increasing number of electrically powered automobiles. For instance, in October 2024, MP Materials and General Motors established an alliance to create an entirely managed rare earth magnet distribution system in the United States. With a steady manufacturing ramp, MP Materials will use GM's Ultium Services to provide rare earth elements, metal, and completed magnets made in the United States for the electric motors found in the GMC Hummer electric vehicles, Chevrolet Silverado EV, and over a dozen other models.

https://mpmaterials.com/articles/general-motors-and-mp-materials-enter-long-term-supply-agreement-to-scale-rare-earth-magnet-sourcing-and-production-in-the-us//

Technological Development to Boost Market Growth

The market for rare earth is driven by ongoing advancements in technologies and design. Because of the development of civilization and the expanding use of technology for commercial and industrial purposes, technological developments have been increasing. Thanks to the latest developments, rare earth elements may now be extracted from unusual sources such phosphate deposits, mining ash, and digital recyclables. Large undiscovered rare earth sources that were previously thought to be too costly or impossible to harvest can now be accessed thanks to these novel extraction techniques. Businesses are concentrating on creating these substitute extraction methods in order to lessen their effect on the environment and cut down on the price of obtaining rare earth metals. A more varied and reliable supply of rare earths might be made possible by these technologies as they develop and grow, which would spur market growth and lessen the need for conventional mining methods.

Restraint Factor for the Rare Earths Market

Negative Effects of Rare Earth Extraction on the Environment, Will Limit Market Growth

The market faces major ecological challenges as a result of rare earth extraction and manufacturing. Chemical evaporation, chemical treatment, and open-pit mining are some of the activities that frequently lead to contamination, habitat damage, and health hazards for the populations who surround them. The quality of the land, water, and air is threatened by the toxic byproducts they produce, such as radioactive debris and metallic pollutants. Furthermore, the energy-intensive process of producing rare earth metals increases greenhouse gas e...

Heavy Rare Earth Elements Market Outlook

The global Heavy Rare Earth Elements (HREE) market size was valued at approximately USD 2.5 billion in 2023 and is projected to reach USD 4.8 billion by 2032, growing at a CAGR of 7.5% during the forecast period. The growth factors for this market include increasing demand from high-tech industries, advancements in clean energy technologies, and the strategic value of these elements in defense applications. The growing importance of HREEs in the development of advanced technologies such as electric vehicles, wind turbines, and advanced defense systems is driving significant market expansion.

One of the primary growth factors of the HREE market is their critical role in the manufacturing of permanent magnets, which are essential components in electric vehicles (EVs) and wind turbines. The global push towards reducing carbon emissions and adopting renewable energy sources is fueling the demand for these magnets. As countries strive to meet their sustainability goals, the need for efficient and high-performance magnets, which often incorporate HREEs such as Dysprosium and Terbium, is increasing. This trend is expected to continue, significantly driving the market for heavy rare earth elements.

Another key growth factor is the strategic importance of HREEs in national defense sectors. These elements are used in various advanced military applications, including precision-guided munitions, stealth technologies, and communication systems. Governments around the world are investing heavily in modernizing their defense capabilities, leading to increased demand for HREEs. The geopolitical significance of these elements, coupled with their limited supply, makes them vital for national security, further driving market growth.

The rise of high-tech industries, particularly electronics and telecommunications, is also spurring the demand for HREEs. Elements such as Holmium, Yttrium, and Lutetium are used in the production of advanced electronic devices, laser systems, and various other high-tech applications. The ongoing digital transformation and the proliferation of smart devices are creating a substantial market for these elements. As technology continues to evolve, the reliance on HREEs is expected to grow, contributing to the market's expansion.

Rare Earth Metals are crucial components in the modern technological landscape, playing a vital role in the production of high-performance magnets, catalysts, and electronic devices. These metals, including elements like Neodymium, Dysprosium, and Terbium, are indispensable in the manufacturing of electric vehicles, wind turbines, and various defense applications. The strategic importance of Rare Earth Metals is underscored by their limited availability and the complex extraction processes required to obtain them. As global demand for advanced technologies continues to rise, the need for a stable and sustainable supply of these metals is becoming increasingly critical. Efforts to diversify supply chains and invest in new mining and processing technologies are essential to meet the growing demand and ensure the long-term availability of Rare Earth Metals.

From a regional perspective, Asia Pacific is expected to dominate the HREE market due to its significant manufacturing capabilities and growing technological advancements. China, in particular, holds a major share of global HREE production and consumption, given its extensive rare earth reserves and advanced processing technologies. North America and Europe are also key markets, driven by their high-tech industries and strategic defense initiatives. The Middle East & Africa and Latin America, though smaller markets, are witnessing growing interest due to their untapped rare earth reserves and potential for industrial expansion.

Type Analysis

The HREE market is segmented by type into Dysprosium, Terbium, Yttrium, Holmium, Erbium, Thulium, Ytterbium, and Lutetium. Dysprosium and Terbium are among the most sought-after HREEs due to their application in high-performance magnets. Dysprosium is crucial in the manufacturing of neodymium-iron-boron (NdFeB) magnets, which are used in various high-tech industries, including automotive and renewable energy. Terbium, on the other hand, is valued for its use in green phosphors and as a dopant in solid-state devices. The increasing adoption of EVs and the expansion of renewable energy projects are significantly boosting the demand for these elements.

The Asian rare earth metal market fell to $5.6B in 2024, which is down by -2.3% against the previous year. The total consumption indicated a temperate expansion from 2012 to 2024: its value increased at an average annual rate of +2.4% over the last twelve-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2024 figures, consumption increased by +1.7% against 2021 indices.

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The global rare earth metals market size crossed USD 11.78 billion in 2024 and is likely to register a CAGR of more than 8.5%, exceeding USD 34.02 billion revenue by 2037. Light Type segment is estimated to secure 63% share by 2037, fueled by growing demand for light rare earth metals in electronics and semiconductors, driven by their use in high-performance magnets for EV motors and wind turbines.