BEIJING: 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 to consumer electronics.
The regulations, issued by the State Council or cabinet on Saturday, 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 per cent of global refined output.
Their global industrial significance 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 will take effect on Oct 1.
Enterprises in rare earth mining, smelting and separation, and the export of rare earth products, shall establish a product flow record system, shall “truthfully” record the flow, and shall enter it into the traceability system, the State Council said.
Published in Dawn, June 30th, 2024
