On September 25, 2025, neodymium-praseodymium prices jumped up to levels not seen since 2023. This was the first time this happened in the commodities market. This surge is especially remarkable since 2019. This comes at a time when US-China trade tensions are still high and China has enacted export restrictions on certain rare-earth minerals. Neodymium-praseodymium is essential to producing electric vehicles (EVs). While the U.S. would like to strategically hoard that resource, this particular aspect is understandably getting a lot of attention right now.
The Mountain Pass mine in California is currently the only rare-earth mine in the United States. Interestingly, it plays a key role in this scenario. MP Materials controls the only large-scale neodymium-praseodymium mine in North America. This critical mineral fuels our economy, including the growing sectors driven by the clean technologies of tomorrow, such as electric vehicles. As EV demand only expands, the need to ensure a stable and sustainable supply of neodymium-praseodymium will be ever more critical.
According to recent industry reports, the price of neodymium-praseodymium is shooting through the roof. This trend is broader than just the minerals that fall under China’s most draconian export controls. The increase is spreading across the commodities market, a sign of the increased interest and competition for these precious resources. As the U.S. looks to strengthen its domestic production capabilities, the strategic importance of neodymium-praseodymium is clearer than ever.
For one, the backdrop of continued and escalating trade tensions between the U.S. and China only adds to the confusion. With China having largely cornered the rare-earth market for most of the last three decades, this has raised alarm over supply chain vulnerabilities across critical sectors. U.S. companies, like MP Materials, have recently taken big strides to make sure they can produce neodymium-praseodymium. They’re casting themselves as leaders of a sector that’s coming under greater public scrutiny while dealing with growing demand.
MP Materials’ extraction operations at Mountain Pass are a cornerstone in combating the national security threat and economic competitiveness issue posed by heavy rare earth dependency. With neodymium-praseodymium its sole focus, the company is well positioned. Yet this push occurs when the market is experiencing historic price volatility and surging global demand.