Written a lot here re DyO deletion/irrelevance HRE as a business...

Written a lot here re DyO deletion/irrelevance HRE as a business but never been able to offer up such conclusive evidence as the Dragon just provided, and off Baotou Exchange website no less:
January 2018 China's ore separation plant dysprosium inventory fell 2.3%




FEBRUARY 08, 2018.

According to statistics, the output of 27 Chinese ore separation plants is 3,170 tons. In January 2018, the output of 99.5% of dysprosium oxide was 74 tons, down 1.4% from the 75 tons in December 2017 but up 7.2 from January 2017 %.
   
China 's ore separation plant dysprosium oxide 99.5% min production monthly data statistics:



The inventories of 99.5% min of dysprosium oxide at the end of January 2018 were 493 tons , down 2.3% from 505 tons in the previous month and 6.3% down from 526 tons in January 2017.

China's ore separation plant dysprosium oxide 99.5% min inventory monthly statistics:



http://www.repe.com.cn/index.php?op...rticle&id=1358:2018-1-2-3&catid=22&Itemid=119

Now I'd presume any invested here would be sufficiently familiar with Dy mkt to understand the dire ramifications of that 'Come to Jesus' data, but maybe I can fill in around the edges.

Firstly, "output of 27 Chinese ore separation plants is 3,170 tons" yet 2017 production was just 1055t, EXACTLY the 30% of production capacity that has been reported most of the past three years, certainly post the price collapse mid 2015. This data strongly suggests it will never recover, capacity is way in excess of demand:





Secondly, of the 1055t produced 2017 505t remained in inventory December vs the 526t held Jan 17, yet:

"January 19, 2017, the total volume of rare earth state reserve more than 2,000 tons .....Dysprosium oxide tender price 1.25 million / ton, the number of 440 tons"

"March 28, the State Reserve bidding total about 3,000 tons.....dysprosium tender price of about 1.25 million / ton, the number of 450 tons"

"May 27, the latest round of Rare Earth State Reserve bidding has ended, the total bidding more than 3,000 tons.....dysprosium tender price of about 1,243,000 yuan / ton, the number of 520 tons"

https://news.smm.cn/news/100773720

1410t DyO was mothballed 2017 out of an available 1076t net inventory, while obviously much of the 1410t purchased into storage was "illegal" poses the Q, just how tiny is true DyO demand?

Certainly wouldn't be rushing to produce more of what China has so obviously got way too much of already, and regardless, tiny little business, why would you even bother.