Can the U.S. Build a Rare Earth Alternative?

Sharp Price Increase in Rare Earth Concentrates
Baotou Steel (600010.SH) and China Northern Rare Earth (600111.SH) raised Q2 2026 rare earth concentrate prices to RMB 38,804/ton, a 44.6% QoQ increase.

Sustained Uptrend in Pricing
Prices have been increased for seven consecutive quarters since Q4 2024, signaling strong and persistent market demand.

Tightening Supply-Demand Outlook
Forecasts suggest growing global supply deficits in rare earths (especially Pr-Nd oxide) from 2025 to 2028, supporting a long-term price uptrend.

Strong Demand from Emerging Industries
Key growth drivers include:

Improving Profitability Across the Sector
China Rare Earth (600259.SH) expects 200%+ YoY profit growth, driven by higher prices and better operations.

Industry-Wide Earnings Recovery
Major players like China Northern Rare Earth (600111.SH) and China Rare Earth Holdings (00769.HK) are reporting strong earnings growth or turnaround, reflecting the favorable pricing environment.