China Rare Earth Subsidy Plan Indicates Shift in Sector Supervising

SHANGHAI, Jul. 10 (SMM) – The subsidy plan for qualified Chinese rare earth enterprises, introduced by China’s Ministry of Finance, has indicated the country’s new measures in supervising the sector, Shanghai Metals Market believes.

 

In recent years, China has taken measures to strengthen environmental protection inspections, upgrade industrial structure, and standardize mining activities. To materialize these targets, Chinese government opts to punish those illegal enterprises.

 

The release of subsidy plan, however, offers a shift in the supervision of the sector. Funds or subsidies will be only available to qualified, well-performing enterprises, to better know the concentration ratio of the sector, by continuing its support in consolidation or amalgamation, SMM understands.

 

In addition, measures targeted for rare earth downstream enterprises also reflect the government’s willingness to develop domestic rare earth market, reversing the condition of importing processed products while exporting raw materials, which is now prevailing in China’s rare earth trade market.

 

The followings are latest news concerning subsidies for domestic rare earth enterprises.