Prices for Rare Earths Soar Amid Short Supply, Speculation

(Beijing) -- China's rare earth mineral prices have spiked up over the past few months, and downstream metals processors say they have been reeling from its effects.

As of April 26, cerium oxide, a rare earth element, rose five fold to 33,000 yuan per ton from the beginning of the year, and another rare earth element, lanthanum oxide, surged from 28,000 yuan per ton to 110,000 yuan per ton during the same period, according to data from China Rare Earth Online.

The price of rare-earth ions in southern China have now risen to 280,000 to 300,000 yuan per ton, compared to 50,000 to 60,000 yuan per ton a year earlier, said Tang Yinxuan, chairman of Hangzhou Daming Fluorescent Material Co.