The market insights and growing sectors

Market Size and Growth

  • Global Market Value: The Neodymium market is valued at USD 3.5 billion in 2023 and is expected to grow at a CAGR of 8-10% from 2024 to 2030.
  • Demand: The demand is largely driven by the electric vehicle (EV) industry, wind turbines, and consumer electronics, with particularly strong demand for NdFeB (neodymium-iron-boron) magnets used in these applications.

Deposits and Sources

  • Global Reserves: As of recent data, global Neodymium reserves are estimated at around 9 million tons of rare earth elements (REEs) in total, with Neodymium being a significant component.

Recycling Ratio

  • Recycling Rate: The global recycling rate for Neodymium is still low, estimated at around 1-2%, primarily due to challenges in separating rare earths from end-of-life products.
  • Efforts are underway to increase recycling efficiency, especially in EVs and electronics, where Nd magnets are used.

Key Players in the Nd Market

  • China Northern Rare Earth Group: Dominates the Nd market, controlling a significant portion of the global supply.
  • Lynas Rare Earths: Based in Australia, a major producer outside China.
  • MP Materials: A key player in North America, operating the Mountain Pass mine in the U.S.
  • Iluka Resources: An Australian company involved in rare earth mineral extraction, particularly in mineral sands.
  • Rare Earths: Several smaller companies globally are looking to scale production or improve recycling technologies, including Quest Rare Minerals and Medallion Resources.

Key Trends

  • Technological Advancements: Ongoing research into more efficient and environmentally friendly recycling processes, as well as alternative materials to reduce dependence on Nd.
  • Supply Chain Concerns: Geopolitical tensions, particularly between China and other countries, have highlighted the vulnerability of the Nd supply chain, prompting efforts to diversify sources and invest in domestic mining and processing.

The technological routes for the recycling

The hydrometallurgy leaching agents

The hydrometallurgical route for the magnets refining was described in paper – Recent advances in acid-free dissolution and separation of rare earth elements from the magnet waste. Grace Inman, Denis Prodius, Ikenna C. Nlebedim.

The pyro metallurgy

Pyrometallurgical refining is an important method for recovering Neodymium from urban waste, helping to recycle valuable rare earth elements and reduce reliance on virgin mining. This process contributes to sustainability by supporting the circular economy and enabling the reuse of materials in critical industries, such as electric vehicles and renewable energy technologies.

The short review for the pyrometallurgical And recovery is shown below

Deep purification technologies and applications

The 99.999% Neodymium (Nd) is a highly purified form of Neodymium used primarily in specialized and high-tech applications that demand superior performance and precision. Key applications include:

  1. Aerospace & Defense: Nd magnets of this purity are used in military-grade systems and advanced satellite technology due to their high magnetic strength and reliability in extreme conditions.
  2. Research & Development: Employed in cutting-edge scientific research, including particle accelerators and other high-precision equipment where purity and consistency are critical.
  3. Advanced Medical Imaging: Used in MRI (Magnetic Resonance Imaging) machines, where high purity Nd ensures optimal performance and image quality.

This purity level represents a niche market, driven by demanding industries such as aerospace, defense, and medical technology, making up about 5-10% of the global Neodymium market. The demand is growing, though it remains a premium segment.

The zone melting process for 99.999% Neodymium purification operates at 1,050–1,100°C, with a movement speed of 1–10 mm/min and usually requires 3–6 passes to achieve the desired ultra-high purity. The process efficiently segregates impurities, making it ideal for applications requiring the highest quality Nd, such as in aerospace and medical technologies.

Reffing lines. Best market practice

Heraeus’ magnet recycling plant contributes to sustainability by reducing the need for mining virgin rare earth materials, which have significant environmental and geopolitical impacts. The plant’s technology helps close the loop in the rare earth supply chain, allowing Neodymium to be reused in manufacturing high-tech products. This initiative supports the broader effort to reduce the carbon footprint associated with the production of rare earth elements and encourages a more sustainable and circular economy.

Nd droppings and materials enhancements

The supply risk and market demand