Australia’s ASM Boosts Rare Earth Metal Sales Amid Expansion Efforts

Australia’s ASM Expands Rare Earth Metal Production

Australia’s Australian Strategic Materials (ASM) significantly increased its rare earth metal sales in Q3 2024. The company shipped 40 tons of rare earth metals between July and September, up from zero shipments last year. ASM achieved this growth by expanding its rare earth metal processing plant in South Korea, which supports global demand for metals used in electric vehicles, renewable energy, and high-tech industries.

Expanding Capacity to Meet Growing Demand

ASM’s South Korean plant is expanding to satisfy rising rare earth demand. The company fully funded the project to increase production from 1,300 tons per year to 3,600 tons. Plans for further growth target 5,600 tons per year. Rare earth elements like neodymium and praseodymium remain crucial for the energy transition and high-tech manufacturing.

The company produced 16.7 tons of neodymium iron boron metal in Q3 and shipped 13.9 tons. This represents a significant increase from 2.4 tons shipped in the previous quarter. ASM will deliver metals to Noveon Magnetics (USA) and Vacuumschmelze (Germany) under contracts secured for 2025.

Neodymium-Praseodymium and Heavy Rare Earths

ASM also increased production of neodymium-praseodymium metals. It produced 1.7 tons in Q3 and shipped 22.2 tons from its stockpile. Production is expected to rise to 14 tons in Q4. ASM signed contracts to sell 29 tons to Canadian magnet producer Neo Performance Materials.

The company began producing heavy rare earth metals, dysprosium and terbium, in July 2024. ASM plans additional shipments in Q4 2024, strengthening its supply of critical materials for advanced technologies.

Strategic Partnerships and Government Support

ASM’s expansion aligns with U.S. and Australian critical mineral initiatives. Both governments committed $1 billion each to develop rare earth mines and processing plants. The U.S. Export-Import Bank also provides co-funding, supporting ASM’s growth.

These investments reinforce rare earths’ strategic importance. ASM positions itself as a key supplier in global supply chains, reducing reliance on Chinese rare earth imports and securing materials for renewable energy and high-tech industries.

SuperMetalPrice Commentary:

ASM’s ramp-up in production reflects strong growth and rising global demand for critical minerals. Expanding the South Korean plant and securing government-backed funding strengthens ASM’s position in the rare earth supply chain. Partnerships with global manufacturers enhance its market influence. As U.S.-Australia collaboration grows, ASM ensures a stable supply of metals crucial for EVs, renewable energy, and advanced technologies.