|China has about 30 percent of the world|
supplies of rare earths, but accounts for
more than 90 percent of production
Beijing has alarmed global manufactures when it restricted production exports, while it was trying to build up its own processing industry to capture profits that flow to U.S., Japanese and European companies. China's trading partners have said that quotas and taxes push up rare earths prices abroad, giving buyers in China an unfair advantage. Source: China Cuts Rare Earths Mining Permits (Reliability: High)
Comment: Beijing's restrictions have prompted producers to announce plans to reopen or develop mines in California, Canada, India, Russia, and Malaysia.