China has unveiled a list of rare earth regulations aimed at protecting supplies in the name of national security, laying out rules on the mining, smelting, and trade in the critical materials used to make products from magnets in electric vehicles (EVs) to consumer electronics, Ryan Woo reported for Reuters.
The new Chinese regulations, which will take effect on Oct. 1, say the State Council will establish a rare earth product traceability information system. I Photo: Kevnmh Wikimedia Commons
The regulations recently issued by the State Council or cabinet, say rare earth resources belong to the state, and that the government will oversee the development of the industry around rare earths—a group of 17 minerals of which China has in recent years become the world's dominant producer, accounting for nearly 90% of global refined output.
China last year introduced restrictions on exports of germanium and gallium, used widely in the chip-making sector, citing the need to protect national security and interests.
The global significance of the regulations is such that under a law that entered into force in May, the EU set ambitious 2030 targets for domestic production of minerals crucial in the green transition—particularly rare earths due to their use in permanent magnets that power motors in EVs and wind energy.
EU demand is forecast to soar sixfold in the decade to 2030 and sevenfold by 2050.
The new Chinese regulations, which will take effect on Oct. 1, say the State Council will establish a rare earth product traceability information system. Rare earth elements have been found in Norway, Japan, Brazil, and the US, which boasted the biggest deposit.
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