trumped, page-16

According to the latest data released by China Customs show that in 2015 , total exports of rare earth in China is 34833 tons, an increase of 25.4%"

"2016 years 1 month (January), China's export volume of rare earth is 4013tonnes, representing an increase of 175.37%"

"Hohhot Customs announced, 2016 On 1 January rose sharply in Inner Mongolia Baotou Rare Earth exports, total exports of rare earths than the same period last year ( the same below )increased 226.9% ."

While low prices are painful ATM they are VERY clearly stimulating ROW demand, actually now repairing considerable demand destruction from 2011/12, and probably indicative that a LOT less smuggled RE is getting out of China.

Despite the shallow, convenient conspiracy theories that abound from lite weight thinkers, the current oversupply inside China in LRE is largely due to domestic slowdown end 2014, and also demand shift in HRE. Typical of China they they didn't get around to production & capacity cuts until H2 2015. That excess is still washing thru the system, ROW doing its bit to suck it up, China doing further consolidations H1 2016.

In the meantime Lynas continues to improve production efficiencies (at a LAMP janti constantly told us was "broken" and would NEVER work, yeah right) and push product up the value chain, they will be well positioned to leverage price recovery more in line with economic values probably H2 2016.

Ausheds: March 2016.
RIP. Credabilty.