Rare earth exports from China fell by almost four percent in June compared to the same period last year, according to figures from the customs authority. Exports in June 2023 had reached a three-year high of 5,009 tons. This record was, in turn, surpassed in May of this year with an export volume of 6,217 tons, which experts attributed to the fact that foreign customers increased their stocks on a large scale.
China’s foreign trade is currently developing very unevenly. Last month, exports developed significantly better than analysts had expected, reports Reuters. Imports declined due to the lack of domestic demand. This is likely to pressure the government to take further measures to support the economy, which is still recovering from the aftermath of the coronavirus pandemic.
The demand for rare earths ultimately also depends on the economic recovery. The downturn in the Chinese construction sector has had a negative impact on demand for air conditioning systems and other devices that use rare earths in compressors and motors, the Australian mining company Lynas explained when presenting its quarterly figures in January (PDF).
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