Rare Earth Elements Market - Global Industry Analysis (2018 - 2021) - Growth Trends and Market Forecast (2022 - 2026)

According to the publisher, the global rare earth elements market exhibits 2x growth potential with a CAGR of 10.2% between 2022 and 2026. The market is expected to reach a valuation of US$7.3 Bn by the end of 2026 from US$3.5 Bn in 2020.

The worldwide rare earth elements market is anticipated to grow at a promising pace over the prophesied period. Exceptional performance and growing recognition of rare earth elements have gained prominence across the globe. Increasing usage of rare earth elements in aerospace (scandium), and permanent magnet applications are creating lucrative market opportunities and driving tremendous growth across the rare earth elements market. Moreover, the rising concerns about growing pollution have driven the economies toward "Green Technology". These rare earth elements efficiently address various issues related to the pollutants in engine exhaust systems and are subsequently experiencing an increase in their demand. On the whole, the rare earth elements market is thriving with the soaring demand from emerging economies and greater dependency on sustainable resources.

Staunch Highlights of Rare Earth Elements Market:

• Projection points out that, by 2026, the magnets are likely to hold an extensive share of more than 80% in the rare earth elements market.
• The author predicts 40 GW/year of new installations between the years 2020 and 2030. By 2030 Augmented offshore wind power capacity is anticipated to reach 228 GW.
• The report foretells an approximate ten times increase in the existing sales of electric vehicles, which is expected to reach 32 million units by 2030.

Sophisticated Demand for Magnet Unfolds Positive Dynamics for Rare Earth Elements Market

Rare earth elements find their applications across a wide range of areas from functional ceramics to defense applications and magnets to glass. Magnets hold a significant fraction of application rare earth elements. Magnets are extensively used in a huge spectrum of industries viz electronics, power generation, medical, and automotive. This has raised the demand for magnets over the recent years. Soaring consumption of EVs, wind turbine technologies, and consumer electronics have garnered magnets a share of 30% in overall rare earth elements volume. Additional use of magnets in diverse medical equipment such as pacemakers, MRI machines, insulin pumps, and sleep apnea machines have further fueled the demand for these elements. An uptick in demand and growing usage of magnets are driving the global rare earth elements market toward fruition.

Asia Pacific Gains Regional Dominance - Strong Uptake of Rare Earth Elements, Robust Investments in Offshore Wind Farms Create Headways for Market Expansion

The Asia Pacific garners the top position in the global rare earth element market. Presence of major automotive and electronics manufacturers puts China at the beating heart of the rare earth elements market. Recently, China has observed a proliferation in extraction activities and industrialization. As the implications of these factors unfold, the demand for rare earth elements has risen incessantly, making APAC the fastest-growing region in terms of consumption. Going forward, the robust investments in offshore wind farms along with the healthcare industry and growing vehicle electrification are set to propel abundant gains throughout the forecasted period.

Iluka Resources Limited, Aluminum Corp of China, Arafura Resources Limited, and Lynas Rare Earths Ltd. are a few competitive entities operating in the global rare earth elements market.