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Dysprosium

Rare Earths: Critical Minerals for The Energy Transition

Navigating the Dysprosium Market

Dysprosium is a heavy rare earth element essential for manufacturing high-performance magnets. When alloyed with other rare earths, dysprosium enhances the intrinsic magnetic properties of the material. This allows the creation of neodymium-iron-boron magnets with greater heat resistance, higher energy products, and stronger magnetic fields. Dysprosium-doped magnets are critical components in various technologies, such as electric vehicles, wind turbines, medical imaging devices, and data storage hard disks. They help enable the miniaturisation and efficiency gains driving the expansion of these strategic industries. Currently, China dominates dysprosium production, accounting for an estimated 95% of global supply. Elsewhere, projects in the United States, Greenland, and Australia represent future potential to decentralise the supply base. Ensuring secure access to dysprosium is vital as demand increases for advanced magnets incorporating this unique alloying element. A close study of the sector's mining sources, refining infrastructure, customer market dynamics, and geopolitical risks is needed to enhance supply chain resilience for this bottleneck rare earth. SFA (Oxford) aims to provide key insights into the dysprosium market and the strategic factors shaping its ongoing development, supporting well-informed planning around its supply security.

An introduction to dysprosium

Dysprosium demand and end-uses

Dysprosium is a rare earth element with unique properties, including high magnetic strength and resistance to demagnetisation at high temperatures. These attributes make it highly valuable in several high-tech and green technology applications including electric vehicles, wind turbines, consumer electronics, military and defence. 

Dysprosium is used to produce neodymium-iron-boron (NdFeB) magnets, which are crucial for electric vehicle motors and the efficient operation of wind turbines. As the global shift towards EVs and renewable energy sources accelerates, the demand for dysprosium will rise significantly.

In consumer electronics, dysprosium role is pivotal across electronic devices, such as smartphones, tablets, and hard disk drives, where powerful and compact magnets are required to enhance enhances performance, efficiency, and miniaturisation allow for lighter devices without compromising on power and functionality.

  • Dysprosium-doped NdFeB magnets are used in the tiny vibration motors found in smartphones. These motors provide the haptic feedback users feel when they touch the screen.

  • The magnets in smartphones' speakers and microphones often contain dysprosium, which contributes to their clear sound quality and compact size.

  • Dysprosium-containing magnets are also used in the auto-focus mechanisms of smartphone cameras, ensuring quick and accurate focusing.

  • Some advanced tablet stylus pens incorporate small dysprosium magnets, improving precision and responsiveness in digital drawing and writing applications.

  • Dysprosium-enhanced magnets are critical in HDD's read/write head actuators. These actuators rapidly move the read/write heads across the disk platters, enabling quick data access and high storage density.

  • In data storage, the high coercivity of dysprosium-containing magnets ensures data stability and reliability, even in compact and high-density storage environments.

  • In laptops and desktop computers, dysprosium-containing magnets are used in the motors of cooling fans, providing efficient cooling while maintaining a compact and lightweight design.

  • In systems that still utilise optical drives (e.g., CD/DVD/Blu-ray drives), dysprosium magnets are used in the drive motors and focusing mechanisms.

  • Smart watches and fitness trackers often contain tiny dysprosium magnets in their vibration motors and speakers, contributing to haptic feedback and audio output without adding bulk.

  • In audio equipment, high-end headphones and earbuds use dysprosium-enhanced magnets in their drivers to deliver superior sound quality and reduced distortion in a compact form factor, and portable Bluetooth speakers benefit from dysprosium-containing magnets to provide powerful sound output while remaining lightweight and portable.

In military and defence, dysprosium’s ability to withstand high temperatures makes it valuable for use in advanced military technologies, including precision-guided missiles (cruise, anti-ship, surface-to-air), guidance systems for controlled missiles, high-powered electrical equipment (containing high-powered magnets), and other defence systems, including communication and display devices such as lasers, monitors and avionics.

The Dysprosium Market
Dysprosium supply

Dysprosium is one of the heavy rare earth elements, predominantly sourced from minerals such as xenotime and monazite. These minerals are primarily mined in China, which dominates the global production of dysprosium, along with smaller contributions from countries like the United States, Australia, and Myanmar. Dysprosium can also be found in mineral sources, such as bastnäsite, which contains light and heavy rare earth elements.

The extraction and production of dysprosium are highly dependent on the concentration of dysprosium in these minerals, the presence of other valuable elements, and the overall demand for rare earth elements. Due to its association with other rare earth elements, dysprosium is typically produced as a byproduct in the mining and processing these minerals.

The supply chain of dysprosium is often constrained by the environmental and regulatory challenges associated with rare earth mining and processing and geopolitical factors, given that China controls a significant portion of the global rare earth supply. Efforts are ongoing to diversify sources and develop recycling technologies to secure a more stable dysprosium supply.

Future rare earth oxide (REO) producers
Future rare earth oxide (REO) refiners
Rare earth recyclers

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