Rare earth elements (REE) consist of 17 elements, including the 15 lanthanides from the periodic table, along with the transition metals scandium and yttrium. The latter two elements exhibit similar properties to the lanthanides and are typically found in the same ore deposits. REEs are key components in many electronic devices that we use in our daily lives, as well as in a variety of industrial applications.
Key facts
- Canada holds some of the largest known resources of rare earths globally, estimated at over 15.2 million tonnes of rare earth oxide in 2024.
- The manufacturing of permanent magnets is the largest global use for REEs, accounting for 48% of total demand in 2024.
- China is the world’s largest producer with an estimated 270,000 tonnes of mined REEs and 215,000 tonnes of refined REEs in 2024, accounting for 69% of global mined production and 90% of global refined production.
- Although many countries, including Canada, have REE reserves and resources, producing these metals involves complex separation and refining processes.
Learn more about rare earth elements
Uses
REEs are critical to a wide range of industrial and high-tech applications, including electronics, clean energy, aerospace, automotive, and defence. Their unique physical, chemical, magnetic, and luminescent properties enhance efficiency, durability, and performance while enabling the miniaturization of electronic components and alloys.
The largest and most important use of REEs is in the production of permanent magnets, which accounted for 45.2% of global demand in 2023. These magnets are essential for products such as cell phones, televisions, computers, automobiles, MRI machines, jet aircraft, and more.
REEs are also vital in clean technology and alternative energy systems, such as wind turbines, fuel cells, rechargeable batteries, and electric vehicles.
Thanks to their luminescent properties, REEs are used in such applications as LCD screens, LEDs, lasers, and fluorescent lighting. They also play a role in catalytic converters, optical glass for camera lenses, and polishing powders used in semiconductor manufacturing.
Rare earth element uses, 2024
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This chart illustrates global demand for REEs by market sector in 2024. The largest share is attributed to magnets (47.6%), followed by catalysts (15.7%), polishing powders (10.5%), metallurgical (6.4%), glass (5.9%), ceramics (3.1%), battery alloys (1.6%), phosphors (0.4%), and pigments (0.3%). Other uses accounted for the remaining 8.6%. In terms of specific REEs, neodymium had the highest demand (36%), followed by cerium (31%), lanthanum (18%), praseodymium (7%), and yttrium (3%), with the remaining REEs making up 5%.
Production
Although Canada is not yet a commercial producer of REEs, it hosts several advanced exploration projects and holds some of the largest measured and indicated reserves and resources of REEs globally. Canada’s reserves and resources are estimated at 15.2 million tonnes of rare earth oxide.
Canadian REE projects
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This map shows the location, status and stage of the largest Canadian REE projects.
Northwest Territories
- Nechalacho T-Zone and Tardiff-Zone project – active at the pre-feasibility stage
- Nechalacho Basal-Zone project – active at the feasibility stage
British Columbia
- Wicheeda project – active at the feasibility stage
Alberta
- SBH Black Shale project – suspended/on-hold at the preliminary economic assessment stage
Saskatchewan
- Alces Lake project – active at the exploration stage
- Falcon Point project – active at the resource estimate stage
- Saskatchewan Research Council (SRC) Rare Earth Processing Facility project – active at the processing stage
Ontario
- Clay-Howells project – suspended/on-hold at the resource estimate stage
- Prairie Lake project – active at the resource estimation stage
- Lackner Lake project – suspended/on-hold at the resource estimate stage
- Elliot Lake project – suspended/on-hold at the resource estimate stage
- Lavergne-Springer project – suspended/on hold at the resource estimate stage
Quebec
- Eldor (Ashram) project – active at the preliminary economic assessment stage
- Strange Lake project – active at the feasibility stage
- Crater Lake project – active at the feasibility stage
- Kwyjibo project – active at the preliminary economic assessment stage
- Niobec - REE Zone project – inactive at the resource estimate stage
- Montviel project – active at the resource estimate stage
- Sorel-Tracy Scandium Demonstration Plant – active at the processing stage
- Kipawa (Zeus) project – suspended/on hold at the feasibility stage
- St-Bruno Rare Earth Recycling Demonstration Plant project – active at the processing stage
Newfoundland and Labrador
- Red Wine project – suspended/on hold at the resource estimate stage
- Port Hope Simpson (Foxtrot) project – active at the preliminary economic assessment stage
REEs are classified as either “light” or “heavy:”
- Light REEs include lanthanum, cerium, praseodymium, neodymium, promethium, samarium, europium, gadolinium, and scandium. These elements are naturally more abundant, and generally, there is a surplus supply globally. However, praseodymium and neodymium, which are essential in wind turbines and electric vehicles, are exceptions and are in high demand.
- Heavy REEs include terbium, dysprosium, holmium, erbium, thulium, ytterbium, lutetium, and yttrium. These are primarily produced in China and are in more limited supply compared to light REEs. Global efforts are ongoing to bring new resources to the market.
Many of Canada’s most advanced REE exploration projects contain high concentrations of the highly valued heavy REEs, which are crucial for high-tech and clean-energy applications.
Learn more about why rare earth elements are important.
International context
China is the world’s largest producer of REEs, accounting for 69% of global annual mine production in 2024, estimated at 270,000 tonnes. The United States, Australia, Burma (Myanmar), and Thailand collectively produced most of the remaining REEs. Notably, China and Burma (Myanmar) remain almost the sole producers of the highly valued heavy REEs.
| Ranking | Country | Tonnes | Percentage of total |
|---|---|---|---|
| 1 | China | 270,000 | 69% |
| 2 | United States | 45,000 | 12% |
| 3 | Burma (Myanmar) | 31,000 | 8% |
| 4 | Australia | 13,000 | 3% |
| 5 | Thailand | 13,000 | 3% |
| - | Other countries | 18,000 | 5% |
| - | Total | 390,000 | 100% |
The United States was the world’s top REE supplier until China’s rise in the mid-1990s. China maintained its near-monopoly on REE supply until 2012, when the now-bankrupt American company Molycorp Inc. and Australia’s Lynas Rare Earths Ltd. began commercial production.
World REE mine production, 2015–2024 (p)
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This graph illustrates the mine production of REEs in China compared to the rest of the world from 2015 to 2024. In 2015, China’s estimated mine production was 105,000 tonnes, while the rest of the world was 25,000 tonnes. China’s estimated annual mine production remained relatively steady, at around 105,000 tonnes. From 2015 to 2017, China’s annual mine production remained stable at 105,000 tonnes, while production from the rest of world rose to 27,000 tonnes.
Starting in 2018, mine production surged in both China and the rest of the world. China’s production climbed to 120,000 tonnes in 2018 and reached 240,000 tonnes by 2023. Likewise, production from the rest of the world increased to 70,000 tonnes in 2018, peaked at 123,000 tonnes in 2021, then decreased to 91,000 tonnes in 2022, before increasing to 120,000 tonnes in 2024.
The process of separating rare earth oxides from the mined REE ore involves multiple steps, including crushing, grinding, chemical leaching, and solvent extraction. The production of refined REEs is highly concentrated in China, which accounts for 90% of the world’s supply.
World supply of REEs (refined), 2024
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This graph illustrates the global supply of refined REEs by region in 2024. China dominates the market, supplying 90.2% of the refined REEs, followed by the Asia Pacific regions (excluding China) at 7.1%. Europe accounts for 1.5%, while North America contributes a mere 0.8%.
Notes and sources
(p) preliminary
Totals may be different because of rounding.
Uses
- Rare earth element uses, 2024
- Wood Mackenzie
Production
- Resources
- Natural Resources Canada, compiled from company reports
- Includes reserves and minerals resources (measured or indicated). Although Canada’s REE resources continue to exist, projects may be on hold, and the corporate entities developing these resources may no longer be solvent or may have changed focus to other mineral deposits or business segments.
- Canadian REE projects
- Company websites, press releases, and NI-43-101 reports
International context
- World REE mine production, by country, 2024 (p)
- U.S. Geological Survey
- World REE mine production, 2015–2024 (p)
- U.S. Geological Survey
- World supply of REE (refined), 2024
- Wood Mackenzie