Albemarle, Almonty Industries, Lynas Rare Earths – The favorites after the trade deal

Lynas Rare Earths – Sales jump and record production

In the production of rare earths, the Australian company is considered the Western alternative to China. Last week's figures further underlined Lynas' strategic role, as geopolitical tensions surrounding China's export controls continue to work in its favor. As the only producer outside China that commercially separates both light and heavy elements, the Company is becoming increasingly indispensable to Western industries.

Revenue rose to AUD 200.2 million, an increase of 18% compared to the previous quarter and 66% year-on-year. With 3,993 tons of rare earth oxides, Lynas also achieved record production, with 2,003 tons of neodymium-praseodymium alone marking a historic high.

In addition to strong demand for magnetic raw materials, the Company recorded its first revenue from heavy rare earths such as dysprosium and terbium outside China, which represents a decisive step for Western supply security. These metals are essential for defense technologies and other critical high-tech applications.

To further expand this position, Lynas announced the construction of a new separation plant for heavy rare earths in Malaysia. The AUD 180 million project is expected to process up to 5,000 tons of raw material annually and will also produce samarium, an element used in F-35 fighter jets, among other things. Commissioning is planned for the first half of 2026.

At the same time, the expansion of the Mt Weld mine in Western Australia, which supplies the raw materials for the new plant, is progressing. Lynas is also working with partners in Korea and the US on a new magnet value chain, including a planned supply agreement with Noveon Magnetics.

Almonty Industries – Access to the US market secured

Almonty Industries has long been considered the outstanding alternative to China in the field of tungsten production. While work on the Sangdong mine in South Korea is progressing rapidly, the Company is now following up with a strategic move into the US. The Sangdong mine is widely recognized as the most important tungsten project in the West outside China. At full production capacity, it is expected to account for over 80% of Western non-Chinese production. Following a successful capital increase of over USD 90 million and its Nasdaq listing, Almonty remains fully on track to become the central pillar of Western raw material independence from 2026 onwards.

In parallel, Almonty has now signed a binding agreement to acquire the Gentung Browns Lake tungsten project in the US state of Montana. For approximately USD 9.75 million, of which USD 750,000 is in cash and USD 9 million is in Almonty shares, the Company secures exclusive rights for exploration, development, and mining. The project is located in a historic tungsten area that once supplied the US strategic reserves and could go into production as early as the second half of 2026.

With this move into the United States, Almonty is consolidating its position as the world's leading non-Chinese supplier of tungsten concentrate. CEO Lewis Black emphasized that the acquisition is "a critical part of our strategy to expand our global footprint and improve security of supply for critical minerals." The combination of the high-tech mine in South Korea and the new US project creates a strong Western counterweight to China's dominance in the tungsten sector.

Albemarle – A glimmer of hope in lithium processing

While Australia and South America have the largest lithium reserves, China has long dominated the lithium processing market. Around 80% of global refining of lithium carbonate and hydroxide, the raw materials for batteries, takes place in the Middle Kingdom. Giants such as Ganfeng Lithium, Tianqi, and CATL dominate the entire value chain from mining and processing to cell production.

Even Australian producers such as Pilbara and Allkem supply their spodumene concentrate to China, where it is further processed into battery-grade material. This means that Beijing controls not only the prices but also the availability of one of the most strategically important raw materials of the future.

Western countries are trying to build their own refineries, but China has a technological and infrastructural lead that will take years to catch up.

China thus remains the undisputed leader in the global lithium market. The US company Albemarle is one of the few companies outside China that covers the entire lithium cycle from extraction to processing, making it a key strategic player in the global competition for battery raw materials.

Albemarle operates mining projects in Australia, Chile, and the US and is massively expanding its chemical processing operations. In North Carolina and Silver Peak, Nevada, new plants are being built to produce lithium hydroxide, which is essential for high-performance batteries in electric vehicles. The goal is to establish an independent supply chain for the US and EU industries.

With long-term supply contracts for Tesla, Panasonic, and Ford, Albemarle has secured stable purchase guarantees. At the same time, the Company is benefiting from political support programs such as the US Inflation Reduction Act, which favors domestic battery materials.

Whether the US–China trade deal will hold remains uncertain. Regardless, establishing independent production and refining facilities in the West is essential. Lynas Rare Earths is seen as a key hope for rare earths, Albemarle is likely to be ahead in lithium processing, and with the commissioning of its mine in South Korea, Almonty Industries will cover the majority of the West's tungsten production.