Thailand rises to 6th place in the world for rare earth production amid US-China conflict

In an era where the world is competing for resources to drive clean technology, Thailand has become a household name in the rare earth industry after producing 13,000 metric tons in 2567, a 260% increase in a single year.

October 13, 2568 Rare Earths They are a key resource for the production of electric vehicles (EVs), renewable energy, military hardware, and high-tech industries. Demand for rare earths such as neodymium, dysprosium, praseodymium, and yttrium is increasing in line with the growth of technology, especially as artificial intelligence (AI) plays an increasingly important role in the global economy.

Tensions between the United States and China, along with other geopolitical factors, continue to impact the investment landscape in the rare earth industry, particularly as China, the world's largest producer, controls over 70% of the market. This conflict has led international organizations to place greater emphasis on diversifying the rare earth supply chain.

By 2567, about 70% of the rare earths imported by the United States will come from China. Although the United States is the world's second-largest producer, it is still far behind China, with only 2% of the world's reserves.

According to the United States Geological Survey (USGS), the 10 countries producing the most rare earth minerals in the world in 2567 are:

1. China

With a production of 270,000 metric tons, China remains the world leader in the rare earth industry, particularly in light minerals such as neodymium and pseudodymium, which are key raw materials for the production of permanent magnets. The main player is China Northern Rare Earth High-Tech, operator of the large Bayan Obo mine in Inner Mongolia.

The Chinese government uses a production quota system to control volumes and combat illegal mining, a long-standing problem, although stricter regulations will be introduced in 2567 requiring mining and refining companies to report detailed production data to a traceability system.

2. USA

With a production of 45,000 metric tons of rare earths in the United States, it comes from a single mine, Mountain Pass in California, operated by MP Materials, which produces neodymium and praseodymium (NdPr) oxides for NdFeB permanent magnets.

The US government has announced a 25% tariff on rare earth magnet imports from China, effective 2568, and under Donald Trump, there has been a strong push to secure supply chains, even going so far as to mention annexing Greenland and Canada, which hold significant reserves of rare earths.

3. Myanmar

Production of 31,000 metric tons was down more than 27% from the previous year, but still up more than 158% compared to 2565. Most of the mines are operated by local groups and armed forces, which lack environmental standards. Their extraction has severe impacts on rivers and ecosystems in the area. China relies on Myanmar for up to 70% of its rare earth minerals, particularly heavy minerals like dysprosium and terbium.

4. Australia

With a production capacity of 13,000 metric tonnes, Australia is the world's largest rare earth producer outside of China, with Lynas Rare Earths' flagship mine, Mount Weld, in the pipeline to reach 12,000 metric tonnes per annum by 2565. The Australian government is investing hundreds of millions of dollars to accelerate the development of new mining and refinery projects.

5. Nigeria

With a production of 13,000 metric tons, the country is a new entrant in the global rare earth market, an increase of more than 80% from last year. The Nigerian government has signed an MOU with the French government to jointly develop rare earth mines and industries.

6. Thai

The output is expected to reach 13,000 metric tons, a 261% increase from 2566 and more than 13 times the level in 2561. While data on Thailand's rare earth industry is scarce, the country is one of China's major rare earth importers. A key plant is Neo Magnequench in Nakhon Ratchasima Province, a subsidiary of Neo Performance Materials (Canada), which produces rare earth magnetic materials for the electric vehicle and electronics industries. Meanwhile, Chinese electric vehicle giant BYD opened a US$486 million vehicle plant in Thailand in July 2567, which is linked to the rare earth and magnet supply chain.

7. India

With production at 2,900 metric tons, it remains the same as the previous year despite the high potential of its coastal mineral resources. India has joined the US-proposed “Minerals Security Partnership (MSP)” to develop the rare earth supply chain.

8. Russia

With a production of 2,600 metric tons, it has remained stable for years. Russia aims to increase its share of global production from 1.3% to 10% by 2573 through the Tomtor mine project it is developing, but it has been delayed and has faced direct criticism from President Vladimir Putin.

9. Madagascar

Production of 2,000 metric tons has been declining due to resistance from communities in the mining area, especially in the Ampasindava Peninsula, which is a major source of rare earth minerals in the world.

10.Vietnam

Production is projected to be 300 metric tons, down 75% from 2022, despite having the world's sixth-largest reserves, as a 2023 mining corruption scandal halts rare earth development plans.

refer : pubs.usgs.gov , www.nasdaq.com