The main factors affecting the price of magnets

In the beginning of 2015, the prices of rare earth materials showed a slight upward trend under national mandatory control, and the prices of neodymium iron boron strong magnets were also deeply affected. The prices of raw materials began to rise continuously from February until the end of March, when the overall trend eased, with an increase of about 25%. Based on this increase, the unit price of neodymium iron boron strong magnets also increased significantly. Due to the excessive upward trend of material unit price, magnet manufacturers cannot bear it and will inevitably demand price increases from customers. The increase in rare earth raw material prices led to an increase in the prices of strong magnets, further leading to an increase in production costs.

In 2011, the price of neodymium iron boron powerful magnets experienced a roller coaster surge. The crazily rising prices of magnets have brought considerable shock to the neodymium iron boron strong magnet market. When the price of neodymium iron boron strong magnets rises in this form, on the one hand, it brings abundant performance to neodymium iron boron magnet manufacturers. Many neodymium iron boron magnet factories have made huge profits by taking advantage of the price difference in materials. On the other hand, the trend of skyrocketing prices has led to a certain degree of market inflation, which is bound to occur in 2012, and its price has returned to its original starting point.

The fluctuating prices have brought great market pressure to many enterprises. Why is there such a price trend?