Sydney, Jan 12, 2026, 10:59 AEDT — Regular session
- Lynas Rare Earths shares climbed roughly 3% in early trading, boosted by renewed policy attention on sourcing outside China.
- On Monday, U.S. Treasury Secretary Scott Bessent will lead G7 finance discussions on critical minerals in Washington.
- Australia unveiled a fresh strategic reserve strategy targeting defence-related minerals, rare earths among them.
Shares of Lynas Rare Earths Ltd climbed 3.2% to A$14.55 by late morning in Sydney, up from A$14.10 at the previous close, according to Investing.com data. The stock fluctuated between A$14.31 and A$14.57 during the session.
This move is significant as rare earths are once again caught in geopolitical tensions, prompting investors to react swiftly to any policy that could divert supply from China. For Lynas, one of the rare major producers outside China, news of strategic stockpiles or stricter export rules can rattle market sentiment—even if the mines themselves remain untouched.
Governments have toyed with concepts like “price floors” — minimum price guarantees designed to keep new supply viable — and strategic reserves to stockpile metals for defence and industry. Markets see this as a possible boost for producers operating processing capacity beyond China.
U.S. Treasury Secretary Scott Bessent told Reuters that Australia and several others have been invited to a G7 finance ministers meeting in Washington on Monday, centered on critical minerals. He noted that finance ministers held a virtual session in December, as the U.S. pushes to rally allies in cutting dependence on China.
A senior U.S. official told Reuters Washington will push for faster steps, noting the expanded group accounts for roughly 60% of global critical minerals demand. Citing International Energy Agency data, the official highlighted that China processes between 47% and 87% of key materials like copper, lithium, cobalt, graphite, and rare earths. The U.S. is expected to release a statement after the meeting, though no joint action appears imminent. 1
Australia’s Albanese government has announced a A$1.2 billion strategic reserve aimed squarely at defence, The Australian reported. The reserve targets minerals like rare earths, antimony, and gallium. It would lock in domestic mining rights and extend access to allied nations, supported by an expanded critical minerals financing facility alongside extra funding for stockpiling and operational expenses, the paper added.
Lynas, operating its rare earth mines at Mt Weld in Western Australia and managing processing through its supply chain, has built a reputation as a non-Chinese supplier for customers seeking secure sources for magnets and other advanced applications. This stance often draws investor interest whenever policy discussions shift toward actual purchasing decisions.
Analyst sentiment is split. According to MarketScreener, 15 analysts have a “hold” rating on the stock, setting an average target price at A$15.30, compared to its last close of A$14.10.
Peers are caught up in the same policy draft, with investors treating the sector as a basket trade whenever government-backed supply chain headlines surface. U.S.-listed MP Materials often acts as a liquid proxy for the theme, while Australian stocks usually react to local policy cues.
The risk is obvious: policy meetings might wrap with promises but no action, and “price floor” proposals could falter when governments face costs and political pushback. Rare earth prices are still volatile, and a dip in demand—from electric vehicles, electronics, or defense contracts—would weigh on prices and cash flow.
Lynas will release its quarterly results for the period ending Dec. 31, 2025, on Jan. 21. The company also plans to hold an analyst and shareholder briefing at 12 p.m. Sydney time that day, according to its announcement.
