I saw that, too. While it certainly will take the immediate pressure off many industries that rely on China's supply of processed REEs, I think what has transpired so far has shown the strategic reason still remains for alternative supply. So in that regard, I expect all that has happened with this agreement is breathing space.
However, while I have a vested interest in the West continuing to develop new processing, Im not naive. Many industries that use these REEs have shown disregard for crisis in the past and a concern remains that they will return to cheaper practices. Im not saying 100% that'll be the case, but, for example, post the covid shortages, most have returned to just-in-time ordering systems because its cheaper than holding stock. Its highly likely that even after the advent of new western supply, China will hold a price advantage that manufacturers won't resist.
But that's competition, and that's also what drives improvement. If i were a betting man, I'd back Brazil to become the new champion that eventually will bring viable competition to Chinese supply. China will certainly continue with mitigating their strategic disadvantages, and I bet they'll have theirs solved before the West does theirs, so Western industries would be smart not to be penny wise, pound foolish.
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