PUBLISHER: The Business Research Company | PRODUCT CODE: 1760240
PUBLISHER: The Business Research Company | PRODUCT CODE: 1760240
Rare earth elements are a collection of 17 metallic elements that share similar chemical characteristics. This group includes the 15 lanthanides, as well as scandium and yttrium. These elements are vital in the production of high-performance magnets, electronic devices, renewable energy systems, and a wide range of advanced industrial applications due to their distinctive magnetic and optical features.
The primary rare earth products include cerium, dysprosium, erbium, europium, gadolinium, holmium, and others. Cerium, a soft, silvery-white metal, is part of the lanthanide series within the rare earth group. These elements are applied in areas such as permanent magnets, metal alloys, polishing compounds, additives, catalysts, and phosphors. They serve multiple industries, including automotive, oil and gas, electronics, renewable energy, defense, aerospace, and more.
The rare earth elements market research report is one of a series of new reports from The Business Research Company that provides rare earth elements market statistics, including the rare earth elements industry's global market size, regional shares, competitors with the rare earth elements market share, detailed rare earth elements market segments, market trends and opportunities, and any further data you may need to thrive in the rare earth elements market. This rare earth elements market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The rare earth elements market size has grown rapidly in recent years. It will grow from $5.62 billion in 2024 to $6.25 billion in 2025 at a compound annual growth rate (CAGR) of 11.2%. The growth during the historic period can be attributed to the rising demand from the electronics industry, increased use of rare earth magnets in electric vehicles, expansion of renewable energy technologies, growing adoption of electric motors, and escalating requirements from the defense sector.
The rare earth elements market size is expected to see rapid growth in the next few years. It will grow to $9.48 billion in 2029 at a compound annual growth rate (CAGR) of 11.0%. The projected growth in the forecast period can be linked to the rising demand for electric vehicle batteries, increased government investments in green technologies, broader adoption of wind energy systems, growth in electric vehicle manufacturing, and higher demand for consumer electronics. Key trends expected during this period include progress in recycling technologies, development of advanced methods for rare earth element extraction, innovations in substitute materials for rare earths, the integration of artificial intelligence in supply chain management, and advancements in sustainable mining practices.
The growing demand for clean energy and electric vehicles is significantly contributing to the expansion of the rare earth elements market. Clean energy encompasses power generated from renewable sources like solar and wind, while electric vehicles utilize this energy through battery-powered systems to minimize carbon emissions. This surge in clean energy and electric vehicle usage is largely driven by environmental concerns, as these technologies help lower greenhouse gas emissions and address climate change. Rare earth elements are essential in the production of high-performance magnets, which are critical components in wind turbines and electric motors. For example, according to the U.S. Energy Information Administration, electric vehicles and hybrids made up over 16% of total U.S. light-duty vehicle sales in 2023, a rise from 12.9% in 2022 and 8.5% in 2021, highlighting increased consumer adoption of alternative fuel vehicles. As a result, the rising use of clean energy and electric vehicles is fueling the growth of the rare earth elements market.
Companies in the rare earth elements market are investing in innovative infrastructure aimed at improving processing efficiency and boosting domestic production. In February 2022, the United States Department of Energy launched a $140 million initiative to establish the nation's first critical minerals refinery. This groundbreaking facility is designed to extract and process rare earth elements and other critical minerals from unconventional sources such as coal waste, acid mine drainage, and industrial byproducts. By repurposing these environmentally challenging waste streams, the refinery not only helps reduce ecological risks but also taps into a largely unused domestic resource.
In March 2025, Chemours Company, a U.S.-based chemical manufacturer, partnered with Energy Fuels Inc. to strengthen domestic rare earth element production and lessen dependence on foreign imports. This collaboration aims to improve the processing of rare earth elements and other essential minerals by leveraging Energy Fuels' White Mesa Mill. The alliance is intended to support U.S. economic growth and security by generating jobs and reinforcing the national supply chain for critical minerals. Energy Fuels Inc. is a U.S. company focused on the extraction and processing of uranium, vanadium, and rare earth elements.
Major players in the rare earth elements market are Solvay SA, Resonac Holdings Corporation, Sinosteel Corporation, Shenghe Resources Holding Company Limited, Lynas Rare Earths Limited, MP Materials Corporation, Treibacher Industrie AG, Neo Performance Materials, Energy Fuels Incorporated, Medallion Resources Limited, Arafura Rare Earths Limited, Vital Metals Limited, Rare Element Resources Limited, Ucore Rare Metals Incorporated, Appia Rare Earths & Uranium Corporation, REEtec AS, Australian Strategic Materials Limited, Arafura Rare Earths Ltd., Hastings Technology Metals, and Pensana Public Limited Company.
Asia-Pacific was the largest region in the rare earth elements market in 2024. North America is expected to be the fastest-growing region in the forecast period. The regions covered in rare earth elements report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
The countries covered in the rare earth elements market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The rare earth elements market consists of sales of glass additives, battery materials, and nuclear reactor control materials. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values and are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Rare Earth Elements Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on rare earth elements market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for rare earth elements ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The rare earth elements market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.