SMM, 13 Sep: in order to further standardize the order of the rare earth market, crack down on violations of rare earth laws and regulations, and promote the healthy, sustained, and high quality development of the rare earth industry in Jiangxi Province, The Committee of the Ministry of Industry and Information Technology of Jiangxi Province, in conjunction with the Public Security Bureau of Jiangxi Province, the Land and Resources Department of Jiangxi Province, the Environmental Protection Department of Jiangxi Province, Nanchang Customs, the State Administration of Taxation of Jiangxi Province, the Bureau of Industry and Commerce of Jiangxi Province, The Jiangxi Provincial Safety Supervision Bureau jointly issued a letter on organizing special actions to crack down on rare earth violations: according to the 2018 Circular on further strengthening the production and Management of rare Earths, Jiangxi Province launched a special campaign to crack down on rare earth violations from September 2018 to January 2019.
I. severely crack down on illegal mining of rare earths: focus on investigating and dealing with illegal and illegal acts such as unlicensed exploration and mining, and resolutely ban illegal mining sites; To check the actual production and marketing, raw material import and rare earth product traceability system for the enterprises in the province of South China rare Earth Group.
Second, seriously investigate and deal with violations of laws and regulations in the smelting separation link: focus on checking the implementation of the plan of rare earth smelting separation enterprises, the source, quantity and inventory of raw materials. Stop production "black factory"; check mineral resources tax management certificate; customs check smuggling rare earth; check output and sales volume, for over-planned production, according to law to reduce its next batch of production plan until completely cancelled.
Third, improve the disguised processing of illegal mineral products in the name of "comprehensive utilization": focus on checking the source, quantity and inventory of raw materials in enterprises with comprehensive utilization of rare earth resources. Check whether the raw materials, processes and production capacity of the enterprise for comprehensive utilization of resources are in line with the approval documents; strictly prohibit the processing of various products before the complete separation of rare earth mineral products; prohibit resource recovery and utilization enterprises from purchasing rare earth enrichment raw materials; To verify the disposal mode of radioactive waste in monazite comprehensive utilization enterprises.
4. Strictly standardize the trading of rare earth products: focus on the verification of the source of product procurement of rare earth trading enterprises, the issuance of value-added tax invoices, the management certificate of resource tax, and the multi-use of import formalities.
5. To inspect the implementation of local supervision and control duties: focus on checking and approving projects in violation of regulations, conniving at illegal and illegal production, buying and selling illegal mineral products and smelting separated products, dereliction of duty, and so on.
Schedule of work:
The special operation, which will be held from September 2018 to January 2019, will be carried out in the following phases:
I. self-examination phase (September-October 2018)
II. Special inspection phase (November-December 2018)
III. Notification processing phase (January 2019)
The Jiangxi Province verification operation involved a total of 123 separate smelting enterprises and trading companies, of which 53 focused on verification, basically covering all local rare earth production and processing capacity.
SMM brief comment: Jiangxi Province has about 8500 tons of rare earth mining index in 2018, accounting for 44% of the total national ionic rare earth mining index. Jiangxi has always been a key province in China's rare earth industry. The reason is that the distribution of rare earth deposits in the south is scattered, and Jiangxi is the most rich in heavy rare earth minerals. The crackdown and punishment reflects the determination of the regulatory authorities to crack down on the black rare earth market. Under the multi-sector high pressure, the production and circulation of black rare earths are bound to converge, and the supply of rare earths in the market may be affected as a result. It is expected that the market prices of rare earths, especially medium and heavy rare earths, will be affected in the fourth quarter. Will get a boost in this anti-triad campaign.
