World demand for rare earths is forecast to expand 7.1% per year to 180,000 metric tons in 2015, according to “World Rare Earths,” a new study from The Freedonia Group Inc. In dollar terms, sales are expected to more than triple from $3 billion in 2010 to $9.2 billion in 2015. Consumption will be driven by increases in battery alloy, electronic product, motor vehicle and permanent magnet output. Market growth is expected to accelerate substantially from the 2005-2010 period, when demand in most nations was negatively impacted by substantial and unexpected reductions in Chinese exports beginning in 2009 that led to a sharp rise in prices.
Neodymium and dysprosium are expected to post the fastest growth rates of any rare earth types, spurred by increased sales of heat-resistant NdFeB permanent magnets. However, cerium will remain the most widely used rare earth, accounting for almost one-third of the 2015 tonnage total.
For more information, visit www.freedoniagroup.com