Rare earth mining and processing in Myanmar continues to be impacted by flooding and heavy rainfall since July 2024.  

Heavy rainfall and flooding in Myanmar have impacted rare earth mining and refining within the country throughout Q3 2024, impacting the flow of feedstock into China for further processing.  In July, heavy flooding in Myanmar’s Kachin state, a key producing area for heavy rare-earth ores and concentrate, saw production volumes impacted as a result of landslides and collection ponds being inundated at operations. The export of material to the Chinese market also fell by 33% between June and July as transportation routes were impacted. Export volumes in August have remaining at similarly low levels, falling by 43% for average monthly export volumes for 2024. In late September, further flooding and rainfall, centred within the south and central areas of Myanmar, have been caused by heavy monsoon rains and the remnants of Typhoon Yagi.  While not directly impacted, the major producing regions in Kachin state, flooding and landslides within the country are hampering the repair of infrastructure, slowing trade.    

Myanmar remains a vital source of heavy rare earth feedstocks into the Chinese market, with mixed rare earth compounds production largely taking place along the Kachin state’s border with China. The closure of several ionic adsorption clay operations within China since the mid-2010s has seen China become increasingly reliant upon imported feedstocks to maintain production volumes. Disruption to Myanmarese production has impacted the price of ionic rare earth concentrates in China, which have increased 12% since July, while prices for terbium oxide have also increased by 16% since mid-July. Prices for Dysprosium oxide, however, have remained largely flat over the same period.