Japanese averaged rare earths import unit price increased to 5 times at 16,997 yen per kilogram in August from a year earlier, which renewed the record for 2 months in a row, according to Ministry of Finance. The former record was 13,317 yen in July, which increased to more than 10,000 yen for the first time. On the other hand, Japanese import volume decreased by 4% to 311 tonnes in August from a year earlier. Chinese exporters intentionally reduced the supply to Japan with expectation for price increase and Japanese users reduced the purchase due to higher price.
Metallic neodymium demand is increasing for magnet for motor of electric vehicle and energy saving home electronics. However, Chinese government had been reducing rare earths export license quota and Chinese exporters reduced the supply with expectation for higher price. Metallic neodymium international price increased to around 7 times at US$ 450 per kilogram in August from a year earlier.