China’s Rare Earth Shipments at 41%-49% Spur 15-Fold Yttrium Price Surge
USAR•Chinese exports of heavy rare earths remain at 41% for dysprosium, 49% for terbium and 42% for yttrium of pre-restriction levels after a one-year pause on second-wave controls. Yttrium prices have surged 15-fold, straining U.S. aerospace and semiconductor sectors that depend on China for roughly 70% of yttrium and all terbium.
1. Continued Export Restrictions
China reaffirmed bans on rare earth extraction and separation technology and maintained volume limits on tungsten, bismuth, antimony and medium- to heavy-rare-earths while pausing second-wave export licenses for one year, delaying any structural policy relief.
2. Supply Shortages and Price Spike
Heavy rare earth shipments remain at 41% (dysprosium), 49% (terbium) and 42% (yttrium) of pre-restriction volumes, and yttrium prices have jumped 15-fold, driven by acute scarcity and sustained Chinese controls.
3. Impact on U.S. Industries and USAR Prospects
The U.S. aerospace and semiconductor markets face severe disruptions from these export curbs, creating an opportunity for domestic producers like USAR to expand output and negotiate premium pricing amidst high dependency on Chinese material.
