HS Code:
Lutetium oxide (CAS No. 12032-20-1), classified under HS subheading 2846.90.80, is a rare earth compound used primarily in the production of specialty ceramics, glass, phosphors, and as a dopant in laser crystals. It is a critical material in high-tech industries, including electronics, optics, and nuclear technology, due to its unique chemical and physical properties. As a rare earth oxide, its supply is limited, and its trade is influenced by geopolitical factors, mining restrictions, and technological demand.
Total Trade Volume
Approximately $50 million USD
Data from 2022
Source
International Trade Centre (ITC) Trade Map, UN Comtrade Database
$30 million USD
60% of total trade of total trade
Increasing
$8 million USD
16% of total trade of total trade
Stable
$5 million USD
10% of total trade of total trade
Increasing
$3 million USD
6% of total trade of total trade
Stable
$2 million USD
4% of total trade of total trade
Decreasing
Average Rate
5.5% ad valorem
Highest Rate
8% (applied by certain developing countries)
Lowest Rate
0% (under free trade agreements or WTO commitments)
Growing demand in laser technology
Increased use of lutetium oxide in solid-state lasers for medical and industrial applications is driving demand, particularly in North America and Europe.
2021-2023
Supply chain diversification efforts
Countries are seeking alternative sources outside China to reduce dependency on a single supplier, leading to increased investments in rare earth mining in Australia and the US.
2020-2022
Rising environmental regulations
Stricter environmental policies on rare earth mining and processing are increasing production costs and affecting supply availability.
2019-2023
China announced stricter export controls on rare earth materials, including lutetium oxide, citing national security and environmental concerns. This has led to price spikes and supply chain uncertainties.
October 2023
Potential short-term supply shortages and increased prices for importers, particularly in the US and EU.
The US government allocated funds under the Inflation Reduction Act to support domestic rare earth mining and processing, aiming to reduce reliance on Chinese imports.
August 2022
Long-term potential for increased supply stability in the US market, though production ramp-up may take several years.
A new recycling technology for rare earth oxides, including lutetium oxide, was developed in Europe, potentially reducing dependency on primary mining sources.
March 2023
Could lower costs and environmental impact in the long term, though commercial scalability remains a challenge.