Events on the global rare earth elements (REE) market over the past years reflect deep structural changes formed over the last two decades. By leveraging extensive mineral resources, large-scale industrial capacity and strong state coordination, China consolidated more than 95% of global REE production across the entire value chain — from mining to refined metals and compounds. This market concentration led to the exit or restructuring of major non-Chinese producers, including companies such as Rhône-Poulenc and Molycorp, while the collapse of the USSR further disrupted established REE supply chains.

Following market consolidation, China introduced progressive export restrictions on REE products, including carbonates and advanced materials such as mischmetal. A major reduction in export quotas was announced in 2010, with subsequent policy linking export access to domestic downstream manufacturing and technology transfer. As a result, China rapidly expanded its share of global end-use REE-containing products, reaching approximately 60% of the market.

At the same time, global demand for REEs has grown steadily, driven by advancements in science, technology and energy systems. Over the past decade, global consumption increased by more than 50%, rising from approximately 80,000 tonnes to over 130,000 tonnes annually. REEs are now critical to renewable energy, nuclear power, electric mobility, electronics, catalysis, optics, medical technologies and defense applications, leading to their classification as “critical materials” by several national authorities.

Market forecasts indicate continued demand growth, with industrial consumption expected to reach 180–200 thousand tonnes and subsequently 225–250 thousand tonnes. This trend implies a high risk of supply deficits for key elements, including neodymium, dysprosium, terbium and praseodymium, and potentially lanthanum, yttrium and europium, reinforcing the strategic importance of diversified and sustainable REE supply chains.