Rare earth prices rise as China tightens spigot on supply

TOKYO -- Rare earth spot prices are on the rise as China, the top producer and exporter of the metals, moves to crack down on illegal mining and enforce environmental rules.

Prices of neodymium, used to make magnets for hybrid vehicle motors, have hit about $65 a ton in mid-July, up 30% from the most recent low in November. This marks the first time the metal price topped the $60 mark in about two years.