INST Magnetic New Material to Build Magnet Materials Project for Up to 650 Million Yuan

Baotou INST Magnetic New Material plans to invest up to 650 million yuan into the construction of an integrated rare earth permanent magnet materials application project in the Rare Earth High-Tech Zone in Baotou, Inner Mongolia, according to a Shenzhen bourse disclosure on Thursday.

The construction will be in two phases, with phase I set between June this year and June 2027 and phase II to be between June 2027 and June 2028.

The magnetic device manufacturer plans to set up a new subsidiary, Baotou Instmag Rare Magnetic New Materials, to implement the construction of the project.

The company's shares slumped less than 4% at the close.

Chinese shares slumped on Thursday as sentiment weakened over ongoing tensions in the Middle East, while the excitement over new financial measures wavered.

The Shanghai Composite Index lost 0.8%, or 26.70 points, to close at 3,362.11. The Shenzhen Component Index dropped 1.2%, or 123.62 points, to 10,051.97.

Iran and Israel continue to trade strikes this week, while US President Donald Trump is not yet clear on whether to take action in destroying nuclear facilities in Tehran.

Moreover, the momentum over the stimulus announcement waned a day after a range of measures were announced at the Lujiazui Forum in Shanghai. Measures included the establishment of a global center for digital renminbi and a personal credit agency for financial institutions.

In corporate news, Jiangsu High Hope International Group's dipped 3.4% after its chief financial officer, Sheng Xiangwei, resigned due to a job reassignment.

Baotou INST Magnetic New Material fell 3.6% despite plans to build a integrated rare earth permanent magnet materials application project for up to 650 million yuan

China has issued rare earth magnet export permits to at least four producers, signaling a partial easing of last month's export curbs, Reuters reported Wednesday.

Baotou Tianhe Magnetics secured a license for Volkswagen, sources said, after the automaker lobbied Beijing, according to the report.

Zhongke Sanhuan, Baotou INST Magnetic New Material , and Earth-Panda Advanced Magnetic Material also received permits, mostly for clients in Europe and Vietnam, Reuters wrote.

The move comes days after a US-China trade truce.