Feeds

China sets up association to handle rare earth disputes

Minerals have become a big deal to tech industry

Bridging the IT gap between rising business demands and ageing tools

The Chinese government has set up a new association for companies in the rare earth industry which will be tasked with promoting development and handling international trade disputes in the increasingly fractious sector.

State-run Xinhua reported on Sunday that the body will feature 155 members including heavy weights such as the Aluminum Corporation of China and China Minmetals Corporation, and be governed by the Ministry of Industry and Information Technology (MIIT).

China has a 97 per cent global market share of rare earth materials,which are used to manufacture a range of IT kit from hard drives to plasma displays. President of the Chinese Society of Rare Earths, Gan Yong, will be president of the new association. He reportedly claimed that the body would help to “form a reasonable price mechanism” at a time when China is being accused of deliberately forcing up prices by strangling exports.

The US, EU and Japan have all filed complaints to the World Trade Organisation arguing that China’s export restrictions are unfair and could severely affect the global supply chain for countless products.

Some critics have argued that China’s end goal is to drive up export costs to the point where technology manufacturers are forced to relocate their plants within the People’s Republic – providing the Chinese economy with a massive boost.

The signs of a resolution don’t look good though, with China last month announcing that it will actually cut back on rare earth mining for environmental reasons.

Alluding to the commitment, Gan promised that the new association would be responsible for making the country’s rare earth mining industry more eco-friendly.

He also pointed the finger at other nations, intimating that many are stockpiling rare earths and therefore putting too great a burden on China.

“Many countries in the world have rare earth reserves, you cannot rely on China alone to provide all the supplies," he reportedly said. ®

The Power of One Brief: Top reasons to choose HP BladeSystem

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple ran off to IBM
But never fear fanbois, you're still lapping up iPhones, Macs
Nadella: Apps must run on ALL WINDOWS – PCs, slabs and mobes
Phone egg, meet desktop chicken - your mother
HP, Microsoft prove it again: Big Business doesn't create jobs
SMEs get lip service - what they need is dinner at the Club
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
Samsung threatens to cut ties with supplier over child labour allegations
Vows to uphold 'zero tolerance' policy on underage workers
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
prev story

Whitepapers

Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Reducing security risks from open source software
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.