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Rare‑Earth Prices Jump Again as Unclear China Easing Keeps German Industry on Edge

Fresh data confirm another quarterly spike that highlights supply risk despite Beijing’s signals of looser controls after the XiTrump talks.

Overview

  • vbw’s raw materials index shows rare‑earth dollar prices rose 8.2% in Q3, following an 8.9% increase in Q2.
  • Neodymium climbed about 31.8% and praseodymium 25.7% in Q3, pressuring EV motor supply that relies on high‑performance NdFeB magnets.
  • Reports say China moved to suspend some export controls after the XiTrump meeting, yet official statements diverge and details remain unspecified.
  • Germany’s exposure is acute, with 65.5% of rare‑earth imports sourced from China and elements such as neodymium, praseodymium and samarium nearly entirely imported from there.
  • Industry and policymakers push de‑risking as the National Security Council reviews critical raw materials, while firms explore alternatives such as BMW’s motors that avoid permanent‑magnet rare earths.