How Saskatchewan is Becoming North America’s Rare Earth Powerhouse, Challenging China’s Dominance
By Divya Rajagopal
The Canadian province of Saskatchewan is making bold moves to compete with China in processing and production of rare earths, aiming to become the first North American commercial alternative source for these crucial metals. Rare earths are essential for making magnets used in electric vehicles and wind turbines, and the demand is expected to soar in the coming years.
China currently controls a staggering 95% of the global production and supply of rare earth metals, giving them a near-monopoly and the power to dictate prices and create uncertainty for end users through export controls. In response to this dominance, the Saskatchewan Research Council Rare Earth Processing facility has ramped up production, with plans to produce 40 tonnes of rare earth metals per month by the end of this year and 400 tonnes of NdPr metals per year.
The facility has already secured partnerships with potential clients in South Korea, Japan, and the United States, positioning itself as a key player in the global rare earth market. “Our focus is to remain competitive within the Asian Metals Price Index,” said Muhammad Imran, vice president of the SRC Rare Earth Element. “We are constantly looking to optimize our facility using artificial intelligence applications that would keep our process efficient,” Imran added.
While some miners may demand a premium price for metals produced outside China, citing concerns about environmental, social, and governance standards, Imran emphasized the importance of staying competitive in the market. “Regardless of premiums, the market will remain competitive, and manufacturers must be prepared to meet the reference point of the Asian Metals Index,” he explained.
As the world looks for alternatives to China’s dominance in rare earth production, Saskatchewan is emerging as a promising contender, offering a reliable and sustainable source of these critical metals. With the potential to impact industries such as electric vehicles and renewable energy, the province’s efforts could shape the future of global supply chains and drive innovation in key sectors.
