Where are rare earths found ?
#3
Who produces them ?
Rare eaRths
Market concentration:
what do the figures tell us?
What risks is facing
rare earths supply ?
Metals in the energy transition
Listen to the podcast
Where are rare earths found ?
Who produces them ?
RARE EARTHS
1,3 %
Russia
10,4 %
Russia
12,2 %
United-States
1,2 %
United-States
38 %
China
China
62 %
Myanmar 10,3 %
6 %
India
1,4 %
India
19 %
Vietnam
19 %
Brazil
World reserves
0,9 %
Madagascar
2,8 %
Australia
9,9 %
Australia
Main producing countries
Calculation based on: Shedd, K.B., (2020), “Mineral Commodity Summaries”, U.S. Geological Survey.
Market concentration:
what do the figures tell us?
The HerfindahlHirschmann index (HHI)
is a measure of the market concentration
1500 < HHI < 2500
4 199
HHI index - Rare earths production
moderately
concentrated market
HHI index - Rare earths reserves
2 317
HHI index - Oil production
781
HHI > 2500
highly concentrated market
Calculation based on: Shedd, K.B., (2020), “Mineral Commodity Summaries”, U.S. Geological Survey.
Highly concentrated market for the production, moderately concentrated for the reserves
Les métaux dans la transition énergétique
What risks for 2050?
No geological risks
For 2050
Only 1,6 % of rare earths ressources (observed in 2017) consumed in a 4°C scenario
Only 3,8 % of rare earths ressources (2017) consumed in a more ambitious 2°C climate scenario
Considering the rare earth element group as a whole, no geological pressure on the resources is to be feared
What risks to anticipate ?
Geostrategic: China dominates the entire value chain, from mineral production to the separation of rare earths and the production of intermediate products;
Economic: the global market for rare earths depends on China's strategy for consumption, production and market exports;
Environnmental: the extraction and separation of rare earths requires vast quantities of water. China's environmental challenges and the resulting tightening of regulations could also restrict supplies by 2050.
Employed for permanent magnets in wind turbines, but little consumed by solar and photovoltaic industries, rare earths demand should be partially driven by low-carbon technologies
LISTEN to The podcast
Metals in the energy transition
More info
7 minutes
Episode 3Rare earths
Podcast (in french)
Metals in the energy transition
Rare earths in the energy transition
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Transcript
Where are rare earths found ?
#3
Who produces them ?
Rare eaRths
Market concentration: what do the figures tell us?
What risks is facing rare earths supply ?
Metals in the energy transition
Listen to the podcast
Where are rare earths found ?
Who produces them ?
RARE EARTHS
1,3 %
Russia
10,4 %
Russia
12,2 %
United-States
1,2 %
United-States
38 %
China
China
62 %
Myanmar 10,3 %
6 %
India
1,4 %
India
19 %
Vietnam
19 %
Brazil
World reserves
0,9 %
Madagascar
2,8 %
Australia
9,9 %
Australia
Main producing countries
Calculation based on: Shedd, K.B., (2020), “Mineral Commodity Summaries”, U.S. Geological Survey.
Market concentration: what do the figures tell us?
The HerfindahlHirschmann index (HHI) is a measure of the market concentration
1500 < HHI < 2500
4 199
HHI index - Rare earths production
moderately concentrated market
HHI index - Rare earths reserves
2 317
HHI index - Oil production
781
HHI > 2500
highly concentrated market
Calculation based on: Shedd, K.B., (2020), “Mineral Commodity Summaries”, U.S. Geological Survey.
Highly concentrated market for the production, moderately concentrated for the reserves
Les métaux dans la transition énergétique
What risks for 2050?
No geological risks
For 2050
Only 1,6 % of rare earths ressources (observed in 2017) consumed in a 4°C scenario
Only 3,8 % of rare earths ressources (2017) consumed in a more ambitious 2°C climate scenario
Considering the rare earth element group as a whole, no geological pressure on the resources is to be feared
What risks to anticipate ?
Geostrategic: China dominates the entire value chain, from mineral production to the separation of rare earths and the production of intermediate products;
Economic: the global market for rare earths depends on China's strategy for consumption, production and market exports;
Environnmental: the extraction and separation of rare earths requires vast quantities of water. China's environmental challenges and the resulting tightening of regulations could also restrict supplies by 2050.
Employed for permanent magnets in wind turbines, but little consumed by solar and photovoltaic industries, rare earths demand should be partially driven by low-carbon technologies
LISTEN to The podcast
Metals in the energy transition
More info
7 minutes
Episode 3Rare earths
Podcast (in french)
Metals in the energy transition