SHANGHAI, Jun. 6 (SMM) - US PRW reported June 4 that the reliance degree of emerging industries on rare earth is increasing. As China remains global largest rare earth producer, some countries are concerned about rare earth supply safety.
A most recent HIS report shows as the reliance on computer, smartphone, defensive system, offshore wind power and hybrid electric vehicle strengthens, producers and some countries are facing with increasing rare earth supply disruptions, most of which is sourced from China.
China's rare earth output accounted for 85% of global total volume in 2012, while China's rare earth consumption also claimed 70%. A supply disruption is of great concern, according to HIS. Rare earth supply shortfalls in the past years forced Japanese automobile and electronics industries to suspend production, and also affected global manufacturing.
Some countries have realized China's predominance in rare earth supply will affect safety benefit and industry impact resistance of other countries. Besides, supply shortfalls will push up rare earth prices to soar and import costs. (Edited by SMM)