Brussels, 02/11/2010 (Agence Europe) - China has sought to reassure the international community over rare earth. It holds 97% of the planet's known reserves and, over the last few weeks, would appear to have imposed definite export restrictions. On Monday 1 November, Deputy Trade Minister Chen Jian delivered a promise that China would not significantly reduce its export quotas in 2011 compared with recent levels. On 20 October, Beijing announced that it would limit exports of rare earth next year, both to protect the environment from the harmful effects of mining and to meet domestic Chinese demand.
Suspected of extending to the United States and the EU the embargo on exports of rare earth that it has imposed on Japan since a diplomatic crisis with Tokyo at the start of September, China continues to reassure its foreign customers that there is no reason to fear any shortage, while insisting on its right to manage its exports as it sees fit. European, and in particular German, industry feels it is being damaged by a global shortage of rare earth, a group of 17 minerals used in the electronic and automotive industries, in the manufacture of a wide range of high tech products. Germany and the United States have decided to put the issue on the agenda of the G20 Summit next week in Seoul. The European Commission has not ruled out lodging a complaint against China at the WTO. (E.H./transl.rt)