PUBLISHER: The Business Research Company | PRODUCT CODE: 1678302
PUBLISHER: The Business Research Company | PRODUCT CODE: 1678302
Rare earth metals constitute a group of chemical elements from Group 3, characterized by properties such as fluorescence, conductivity, and magnetism. These elements, which include silver, silvery-white, or gray-colored substances, play a crucial role in a clean-tech-driven economy due to their unique attributes.
Rare earth metals are categorized into light rare earth metals, heavy rare earth metals, and others. Light rare earth metals include praseodymium, cerium, samarium, lanthanum, scandium, and neodymium. Various types of metals within this category include neodymium, yttrium, dysprosium, terbium, europium, cerium, lanthanum, and others. These metals find applications in magnets, catalysts, metallurgy, polishing, glass, phosphors, ceramics, and other industries.
The rare earth metals market research report is one of a series of new reports from The Business Research Company that provides rare earth metals market statistics, including rare earth metals industry global market size, regional shares, competitors with a rare earth metals market share, detailed rare earth metals market segments, market trends and opportunities, and any further data you may need to thrive in the rare earth metals industry. This rare earth metals market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The rare earth metals market size has grown strongly in recent years. It will grow from $7.55 billion in 2024 to $8.15 billion in 2025 at a compound annual growth rate (CAGR) of 7.9%. The growth in the historic period can be attributed to emergence of new applications, supply chain concerns, geopolitical factors, medical and healthcare applications, green technologies development.
The rare earth metals market size is expected to see steady growth in the next few years. It will grow to $9.57 billion in 2029 at a compound annual growth rate (CAGR) of 4.1%. The growth in the forecast period can be attributed to emerging market demand, emerging applications, recycling and circular economy, investment in exploration and mining, electronics and technology advancements. Major trends in the forecast period include policy and regulation impact, medtech advancements, e-mobility growth, shift in consumer electronics, strategic stockpiling.
An increase in the demand for electronics is anticipated to be a significant driver of the rare earth metals market during the forecast period. Rare earth metals are extensively utilized in the production of electronic products such as cell phones, computer hard drives, flat-screen monitors, and televisions. For example, in September 2024, data from StockApps.com, a UK-based brokerage firm that enables online trading, indicated that global consumer spending on electronics is projected to reach $977 billion in 2025. This surge in spending will lead to a substantial increase in demand for rare earth metals, thus propelling the growth of the rare earth elements market.
The rising number of electric vehicles (EVs) is expected to boost the growth of the rare earth metals market in the future. EVs depend on stored electricity in batteries or similar energy storage systems, eliminating the need for internal combustion engines. Rare earth metals are primarily used in the production of high-performance magnets for electric motors, particularly neodymium and dysprosium, due to their magnetic characteristics. For instance, in January 2024, the International Council on Clean Transportation, a US-based non-profit organization, reported that since the third quarter of 2021, quarterly electric vehicle sales have consistently increased, with their share of total light-duty vehicle sales rising from approximately 3% in the first quarter of 2021 to over 10% by the third quarter of 2023. Consequently, the increasing number of electric vehicles is driving growth in the rare earth metals market.
Major companies in the rare earth metals industry are adopting strategic partnership approaches. Strategic partnerships involve companies leveraging each other's strengths and resources to achieve mutual benefits. For instance, in August 2023, USA Rare Earth LLC, a US-based integrated magnet technology company, entered into a partnership with Hatch, a Canada-based professional services firm. This collaboration aims to ensure a consistent supply chain and develop innovative solutions for high-tech applications, emphasizing excellence in engineering and construction of rare earth magnet
In April 2024, Ionic Rare Earths Limited, an Australia-based mineral exploration company, commenced large-scale production of high-purity recycled magnet rare earth oxides (REOs) at Ionic Technologies International Ltd's facility in Belfast, Northern Ireland. Ionic Technologies specializes in recycling Neodymium-Iron-Boron (NdFeB) magnets into high-purity separated REOs, thereby supporting sustainable and traceable supply chains for rare earth materials.
In April 2023, Neo Performance Materials Inc., a Canada-based manufacturer of advanced industrial materials, acquired SG Technologies Group Limited, a UK-based manufacturer of rare-earth-based magnets. This acquisition positions Neo Performance Materials to launch production in 2025 of sintered rare earth magnets in Estonia, catering to markets such as electric vehicles, electronics, and energy-saving specialized motor applications. These developments underscore the industry's commitment to meeting the demands of emerging technologies critical to the global energy transition.
Major companies operating in the rare earth metals market include Hastings Technology Metals Limited, Hitachi Metals Ltd., Materion Corporation, Iluka Resources Limited, Neo Performance Materials Inc., Lynas Rare Earths Limited, MP Materials Corp, Alkane Resources Limited, Peak Resources Limited, Pensana Rare Earths PLC, Energy Fuels Inc., Arafura Resources Limited, Northern Minerals Limited, RareX Limited, Australian Strategic Materials Limited, Greenland Minerals Limited, Texas Mineral Resources Corp, Rare Elements Resources Ltd., Ucore Rare Metals Inc., Rainbow Rare Earths Limited, Leading Edge Materials Corp, Ionic Rare Earths Limited, Medallion Resources Ltd., Commerce Resources Corp, Vital Metals Limited, Quest Rare Minerals Ltd., Alces Lake Ltd., Appia Energy Corp
Asia-Pacific was the largest region in the rare earth metals market in 2024. The regions covered in the rare earth metals market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the rare earth metals market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The rare earth metals market consists of sales of lanthanides, scandium, yttrium, and trivalent earth metals. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Rare Earth Metals Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on rare earth metals market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for rare earth metals ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The rare earth metals market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.