Quarterly rare earths update - April 2024
Ellie Saklatvala, Senior Editor — Nonferrous Metals, provides a bitesize overview of the key price movements that happened in Q1 and how supply and demand fundamentals are shaping up as we move through Q2.
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CFC Recycling acquires Goolsby & Sons
CFC Recycling acquires Goolsby & Sons
Houston, 7 May (Argus) — Tennessee-based CFC Recycling has acquired Goolsby & Sons (G&S) Recycling, expanding its footprint in the state with a third scrapyard and adding a new feedstock source for its nonferrous shredder. CFC plans to temporarily close the G&S site in Gallatin, Tennessee, to renovate buildings and equipment and to concrete surfaces, the company told Argus on Thursday. CFC plans to fully reopen the location in June after holding a soft opening on 18 May. Financial details of the acquisition were not disclosed. CFC runs scrapyards in Tullahoma and McMinnville, Tennessee, recycling both ferrous and nonferrous scrap. It operates a 3Tek Bravo 6280 hammer mill shredder, through which it shreds stainless steel and "aluminum specialty items". By Alex Nicoll Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Al market has underestimated effects of Mideast war
Al market has underestimated effects of Mideast war
London, 5 May (Argus) — Analysts are calling it a black swan event that could lead to a multimillion tonne deficit in a market where even a mild shortage of available material was almost unheard of until recently. But a lack of information regarding the extent of production curtailments at aluminium smelters in the region has caused exchange prices and premiums to flatten in recent weeks, and many market participants are likely underestimating the magnitude of the long-term effects on global aluminium supply. The sheer numbers attached to aluminium production in the region ensure this disruption dwarfs the previous major supply shock in the aluminium market, which occurred following Russia's invasion of Ukraine in 2022. Around 6mn t of aluminium is produced by smelters located on the coast of the Mideast Gulf. Around 85pc of this material is exported through the strait of Hormuz, with half of that volume sent to Europe and the US, and up to 40pc dispatched to Asian importers. All of that has now stopped because of the closure of the strait. Only Saudi Arabia's Ma'aden smelter is fully integrated with domestic bauxite and alumina production, which means every other producer in the region must import raw material through the same closed strait to maintain production. While the strait remains closed, smelters are running down alumina stocks and face inevitable curtailments. It is likely that significantly more capacity has already shut than has been announced by the region's producers. Qatar's Qatalum is running at around 60pc capacity after a cut in gas supply following a drone attack on the Ras Laffan LNG export terminal on 2 March, it announced at the end of April. Aluminium Bahrain (Alba) announced the shutdown of three reduction lines totalling about 300,000 t/yr, or 19pc of its total output capacity, on 16 March in response to supply constraints caused by shipping delays through the strait of Hormuz. Alba's facilities then sustained damage from a missile strike on 28 March, while Emirates Global Aluminium was also hit by missiles on the same day, sustaining significant damage that caused production to halt at its 1.6mn t/yr Al Taweelah smelter. All told, around 2.2mn t/yr of capacity has been lost in the region, according to various company announcements, amounting to more than a third of the region's output. But there are indications that the real figure is higher. Companies that use satellite data to track vessels and thermal imagery to assess smelter utilisation rates have noted a wider slowdown in production among Middle East smelters. London-based DBX Commodities estimates that an additional 480,000-950,000t of annual aluminium output has already been curtailed in the region. India-based Tathya Earth agrees with that assessment. DBX's vessel tracking has also confirmed that alumina deliveries to smelters in the Mideast Gulf have dwindled to practically nothing since shipping ceased through the strait of Hormuz. The longer this lasts, the greater the likelihood of further curtailments. The aluminium market has already repriced much of the war disruption, UK broker Sucden Financial said. The London Metal Exchange (LME) price briefly surged toward the top of its recent range as the conflict escalated, but repeatedly failed to hold above $3,650/t, indicating that the market struggled to justify another major step higher without a further supply deterioration. The immediate "shock repricing" has happened and aluminium is now trading at a tighter balance, rather than a pure panic premium, Sucden said. But official LME aluminium prices remain some way below their record high of just below $4,000/t, recorded in 2022 following the invasion of Ukraine. Those highs were reached amid a post-Covid rebound in aluminium demand and were swiftly followed by a sharp price fall as global trade flows adjusted around western restrictions on dealing with Russian material. A much more depressed demand picture today may limit price increases to some extent. But given that the disruption represents a far bigger threat to global supply levels than in 2022, and the nature of aluminium smelters mean that any lost output could take a year or more to recover, even if the US-Iran war is resolved swiftly and the strait of Hormuz fully reopens to commercial shipping, the real effect on global aluminium availability and on prices from production already lost in the region may end up being significantly bigger than what has been acknowledged so far. By Jethro Wookey Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Nyrstar’s Australian lead, zinc smelters assess future
Nyrstar’s Australian lead, zinc smelters assess future
Sydney, 1 May (Argus) — Metals firm Nyrstar may close or curtail output at two smelters in the south of Australia if a second phase of transitional funding is not agreed with Canberra and state governments. The 160,000 t/yr lead smelter at Port Pirie in South Australia state and the 280,000 t/yr Hobart zinc smelter in Tasmania received A$135mn ($97mn) in interim rescue funding in August last year , but a concrete solution is yet to be found, Nyrstar said on 1 May. The comments from Nyrstar, which is owned by commodity trading firm Trafigura, came after the first round of assistance expired yesterday. Workers have been told that, without a second phase of the funding plan having been agreed, Nyrstar is now exploring all options for the uneconomic facilities — which are partway through two-year feasibility studies to diversify output — by processing critical minerals such as bismuth and tellurium. Argus understands that no decision has yet been made on closures or cutting output, as happened at Hobart last year when market conditions for zinc deteriorated. Capital expenditure and operational costs are likely to be in line for any cuts as part of the review. The first shipment of antimony, a venture agreed under last year's first-phase agreement, was exported from the Port Pirie pilot plant in February, which Nyrstar said could produce 2,000 t/yr by the end of this year . Australia aims to maintain current industrial capability under its Future Made in Australia policy , which the Labor government says will leverage renewable energy to export low-carbon goods including metals. A series of deals have been cut with processors in recent months including aluminium and copper manufacturers facing closure due to low commodity prices and higher energy costs. By Tom Major Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Export curbs on the rise as governments seek revenue
Export curbs on the rise as governments seek revenue
London, 30 April (Argus) — Export restrictions on critical raw materials — particularly for ores and concentrates — are tightening rapidly worldwide, as governments place greater store in their value as a strategic revenue source, according to the Organisation for Economic Co-operation and Development (OECD). There has been a five-fold increase in such restrictions since 2009, OECD research published on 29 April shows, covering significant shares of global supply — up to 70pc of cobalt and manganese exports, 47pc of graphite and 45pc of rare earth elements. Export taxes and licensing requirements remain the most common instruments. But more restrictive measures — such as export bans and quotas — are increasingly common, accounting for over a third of new measures in 2024. Levies on raw materials are particularly important for developing economies with limited alternative revenue streams. Since the early 2010s, these measures had formed part of industrial policy goals, such as securing domestic supply, promoting value addition and supporting downstream sectors. But in 2024, revenue generation drove nearly half of new restrictions — a notable shift. Export restrictions in 2024 were being imposed by a more diverse group of countries than in previous years, especially in Africa and Asia. But five countries — China, India, Argentina, Vietnam and Burundi — account for over half of all new measures introduced since 2009. This shift towards revenue generation has important implications for global supply and market stability, the OECD has warned. By tightening supply and raising price volatility, restrictions risk amplifying market concentration and distortions. International co-operation remains key to boosting investment and ensuring stable, diversified supply, the OECD research concludes. By Cristina Belda Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.