The increase of raw earth material prices during 2025 & 2026

Published: 2026-02-12 11:46:28 • Daniel Gårdefelt

Between spring 2023 and early summer 2025, raw material prices for neodymium remained stable after a previous period of turbulence during the COVID-19 pandemic. Since the summer, however, neodymium prices have risen sharply and are now almost twice as high as in the corresponding period last year, or approximately 95% higher.

The reasons for the increase are multifaceted and difficult to assess on an individual level. However, what is clear to us at HYAB as a magnet company is that the upward trend is persistent and that there are currently no indications that it will be broken. As the price of raw materials rises, so does the cost for HYAB and other players to import the material to Sweden. This will affect the pricing of magnetic components on the European market in general, which we must also adapt to.

However, neodymium prices are not as high as they once were. In the midst of the Covid-19 pandemic, the same raw material experienced an even sharper price increase, with the price level before 2020 being lower than it has ever been since then and the corresponding level in February 2022 being 50% higher than it is today.

What does this tell us? Three things, really:

1. The price fluctuates over a longer time horizon, something the market must adjust to at all levels;

2. The price of neodymium may fall in the future; but

3. It may also continue to rise according to historical levels.

Are you an existing customer interested in learning more about current raw material prices? Contact us at +46 8 26 10 80 or [email protected] and we will explain how this affects you. Please do not hesitate to contact us if you have any other questions or need assistance with your magnet requirements.