Home / Metal News / Rare Earth / The total amount control of rare earth mining is out of strategic consideration.
The total amount control of rare earth mining is out of strategic consideration.
Jul 21,2020 08:49CST
The content below was translated by Tencent automatically for reference.

SMM News: recently, the website of the Ministry of Industry and Information Technology released the notice of the Ministry of Natural Resources of the Ministry of Industry and Information Technology on issuing the total quantity control index of the first batch of rare earth mining and smelting separation in 2020. According to the content of the notice, the number of the first batch of indicators in 2020 is 50% of the annual target in 2019. The circular said that rare earths are products under the strict control and management of total production by the state, and no unit or individual may produce without or exceeding targets. In 2020, the total amount control targets of the first batch of rare earth mining and smelting separation are 66000 tons and 63500 tons respectively.

The notice also covers the rare earth mining index, and allocates the smelting separation index. At the same time, six rare earth groups are required to report the implementation of the index on time and truthfully, and to fill in the traceability system of rare earth products (including the use of imported mineral products). Smelting separation products must be reported by element statistics.

As we all know, rare earth is an important non-renewable strategic resource and a key element of a variety of functional materials in high-tech fields. it is widely used in intelligent equipment, electric vehicles, national defense industry, cutting-edge manufacturing and other fields. With the continuous development of the global manufacturing industry, the strategic position of rare earth resources is expected to be greatly improved.

According to 2019 data from the US Geological Survey, the global reserves of rare earth resources are 120 million tons, while China's reserves are 44 million tons, accounting for 37% of the total. In recent years, several major economies, such as the United States, the European Union and Japan, have issued policies to bring rare earths into national strategic resource reserves.

China is not the only country in the world that has a large reserve of rare earths, nor is it the only country in the world that is mining rare earths, even the United States is mining rare earths itself, but China is the largest mining country and processing plant in the world. For example, China really occupies a dominant position in terms of medium and heavy rare earth elements. So much so that Americans have to admit that even rare earth raw materials extracted from American rare earth mines have to be sent to China for processing.

To sum up, at present, China has formed a complete rare earth industrial system, with a complete mining, smelting, separation technology and equipment manufacturing, material processing and application industrial system. China's rare earth industry is significantly competitive in the fields of mining, production and export volume. In recent years, the state pays more attention to the standardized management of rare earths as a strategic resource, and has implemented a series of measures to promote industrial development.

China's economic and social development has entered a new normal, innovation has become a new driving force, and the development of rare earth industry has also ushered in new opportunities. More importantly, it is an important mission for the rare earth industry to maintain the strategic position of China's rare earths in the world. Rare earth enterprises should carry out national strategic guidance and market problem guidance, focus on key objectives, plan the layout of major issues related to the development of rare earth industry, and promote them as a whole.

As far as the outside world is concerned, it is feared that China will restrict the production and export of rare earths, but as a result, China has increased its output and expanded its supply. Most of the electronic products related to rare earths are manufactured in China, and in today's globalization, China will not destroy its own global supply chain system. Therefore, our country will not easily use rare earths as bargaining chips.

In fact, it is out of strategic consideration to control the total amount of rare earth mining in our country. After all, rare earths are scarce resources and play an indispensable role in sophisticated science and technology and weapons, and strategic reserves have an extremely long-term impact on the future development of our country. The direct purpose of implementing the total quantity control of rare earth resources is to prevent over-exploitation and blind competition, and to promote the effective protection and scientific utilization of superior mineral resources.

Scan the code to apply to join the SMM industry communication group:

rare earths

For queries, please contact Frank LIU at liuxiaolei@smm.cn

For more information on how to access our research reports, please email service.en@smm.cn

Related news