Baogang rare earth concentrate output cut in 1H as Northern Rare Earth sales hold firm

Baogang Rare Earth

Baogang rare earth concentrate output declined in the first half. Baogang rare earth concentrate output fell to 211,100t, equal to 105,550t REO. Baogang rare earth concentrate output still supplied 204,900t to Northern Rare Earth for oxide production.

Production, pricing, and 2025 guidance

Baogang reduced first-half output from 256,000t last year. The company did not disclose the reason. However, sales to Northern Rare Earth continued at scale.

Average sales price reached Yn18,700/t for 50% REO, ex-VAT. That was Yn700/t above the 2024 average. It was Yn20/t lower than the prior year period.

Baogang guides 2025 concentrate output at 390,000t. That equals 195,000t of 50% REO. Guidance exceeds 2024’s 377,300t and 2023’s 320,000t.

Bayan Obo scale and NRE expansion

Baogang owns Bayan Obo, the world’s largest rare earth mine. Reserves exceed 35mn t REO, or 81% of China’s total. Therefore, any shift in Bayan Obo output moves global light rare earth supply.

Baogang holds 33.03% of Northern Rare Earth. NRE expanded metals and materials output on strong downstream demand. First-half rare earth metals output rose 28% to ~24,107t.

NRE revenue rose 45% to Yn18.86bn and profit climbed to Yn931mn. The firm cited higher prices and volumes. NRE’s 2024 light REO mining quota was 188,650t. That equals 75% of China’s light rare earth quota.

The Metalnomist Commentary

Short-term softness in Baogang’s first-half output appears tactical, not structural. Guidance implies a higher run-rate into 2025, backed by NRE’s quota and stronger downstream pull from EVs, HVAC motors, and robotics. Watch realized prices versus quota cadence; policy or environmental checks at Bayan Obo remain key swing factors.