Asia Bizz: China is now getting strict by the day, and it was shocking to know that the country will be cutting down the bulk of the rare earth materials which are being exported around the world. The Ministry of Commerce has said that during the first round of 2011, 14,446 tonnes of rare earth will be scheduled to export, which 4.5% below the quota margin.
China is the world’s largest exporter of rare earth materials, and enjoys almost complete monopoly because it holds 97% of the worlds rare earth reserves. The ministry has targeted 17 elements which are essential in the production of BlackBerry phones, wind turbines and other electronic devices in the global market.
As China has been reducing the bulk of exports from the past couple of years, the prices have shot sky high, forcing investors to search for reserves outside China. As per China these restrictions will avoid a large scale of illegal mining of rare earth materials, which also contributes to environmental degradation.