china plagued by ndfe overcapacity

China RE report:

"China plagued by Overcapacity of NdFeB rare earth industry"

in 2013, China's NdFeB running capacity increased of 10%, reaching 330,000 tons or more, and demand were expected at 8.5 million tons, there as overcapacity became a big trouble for NdFeB business to continue growing.

2000 to 2013, China's production capacity of rough NdFeB expand from 08,000 tons to 335,000 tons, the production capacity in 2013 is more than of 41.9 times compare with an annual capacity in 2000.

NdFeB mainly divided as the bonded NdFeB and the sintered NdFeB, Magnetic also exists huge difference, the sintered NdFeB is most widely used applications, the Sintered NdFeB capacity has much greater than bonded NdFeB as the proportion ratio of approximately 97:3, so that the sintered NdFeB become the biggest overcapacity as "Extreme excess".

According by some statistics, currently there are 22 companies intend to build capacity planning, total annual output of 69,800 tons, if fully completed by the end of 2014, an increase of late China's NdFeB production capacity will reach 21.2%, when the market situation of NdFe overcapacity will be more severe.