China’s rare earths exports fall in 2020

Chinese rare earths exports in 2020 fell by 23pc from a year earlier as a result of weaker buying interest from overseas consumers during the Covid-19 pandemic.

China's total shipments of rare earths reached 35,447t last year, down by 23pc against 46,330t in 2019 and lower by 33pc from 53,103t in 2018, according to customs data. The average export price of $9,701/t for 2020 rose by 2pc from a year earlier and by 0.09pc compared with 2018.

China's rare earth deliveries for 2018 reached their higher level in 10 years since the 54,959t in 2008 but overseas demand started to fall from 2019 in response to rapidly growing use from the domestic magnet industry, along with more appetite on magnet purchases instead of rare earth feedstocks for most European consumers and fierce competition following output expansions at overseas projects.

China's December shipments of 4,167t rose by 14pc from 3,657t a year earlier and by 59pc from 2,611t in November. The December average export price of $9,407/t climbed by 22pc from the previous year but fell by 15pc from November.

The Covid-19 pandemic outside of China has reduced global consumption since April of rare earths feedstocks from major downstream magnet sectors, including automobile, offshore wind turbine and consumer electronics with a slowdown in manufacturing activity and a global economic recession.

Exports slumped to more than a five-year low of 1,620t in July but started to rebound during August-December, indicating a gradual recovery in downstream magnet demand from the impact of the pandemic.

China RE exports (t) 2020 2019 &#177; % January-Feburary 5,489.0 6,639.0 -17.0 March 5,551.0 4,658.0 19.0 April 4,316.0 4,329.0 -0.3 May 2,865.0 3,639.0 -21.0 June 2,893.0 3,966.0 -27.0 July 1,620.0 5,243.0 -69.0 August 1,641.0 4,352.0 -62.0 September 2,003.0 3,570.0 -44.0 October 2,288.0 3,639.0 -37.0 November 2,611.0 2,636.0 -1.0 December 4,167.0 3,657.0 14.0 Total 35,447.0 46,330.0 -23.0 Source: China customs

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