China Northern Rare Earth Forecasts Up to 139% Profit Growth as Baogang Expands Processing and Magnet Production

Highlights

• China Northern Rare Earth projects net profit of RMB 3.62–3.68 billion for the first nine months of 2026, a 135–139% year-over-year increase.
• Profit growth is driven by higher rare earth prices, record production volumes, and declining processing costs across separation and metals operations.
• Baogang is accelerating vertical integration into NdFeB alloys, permanent magnets, and recycling—directly competing with Western supply chain buildout efforts.
• Western nations face a widening vulnerability window as China expands proven industrial capacity while new Western facilities are still being financed and qualified.
• China's strategic advantage increasingly lies in controlling both production economics and access to finished magnetic materials, not just raw ore output.