Abstract: This paper systematically analyzes the geological background, ore characteristics, mineral components, structural structures, chemical composition and rare earth element distribution pattern of the rare earth deposits in the Yili Area of Malaysia. The study shows that the Yili rare earth deposit is a typical granite weathering crust ion adsorption type deposit, and the rare earth element distribution characteristics are characterized by medium europium anomaly, low yttrium content and lanthanum-neodymium-rich light rare earth enrichment pattern. Combined with the comprehensive analysis of the regional tectonic background, climatic conditions and rock weathering characteristics, it is believed that the region has a good rare earth mineralization geological environment and favorable prospecting conditions, and has great prospecting potential. Based on the current research results, it is preliminarily proposed that the northwest area of the study area is the key direction for the next step of prospecting.