China continues to dominate rare earths as diversification efforts gain momentum

Global Rare Earths Production - Global rare earths production is estimated to have increased by 2.6% in 2025 over 2024, reaching 390,000 tonnes of rare-earth oxide (REO) [1] - China dominates the global rare earths market, accounting for 69.2% of global output in 2025 and processing nearly 90% of global rare earths [1] Major Producers - The US and Australia are the second and third largest producers, contributing 13.1% and 7.4% of global production in 2025, respectively [2] - The US's output reached 51,000 tonnes in 2025, supported by federal initiatives like the Defense Production Act (DPA) [3] - Australia produced 29,000 tonnes in 2025, focusing on downstream processing and magnet supply chains through government-backed programs [4] Other Contributors - Myanmar contributed 22,000 tonnes, recovering from earlier disruptions, but remains a high-risk supplier due to regulatory uncertainty and environmental scrutiny [4] - Thailand's mine output doubled from 2,100 tonnes in 2024 to 4,800 tonnes in 2025, functioning as a processing hub for refining rare earths [5] - Nigeria's output is estimated to have declined from 7,200 tonnes in 2023 to 1,500 tonnes in 2025 due to geological survey limitations and technical challenges [6]