China in focus as West debates critical minerals challenge

LONDON (Reuters) - Western powers will attend talks in Brussels next week on curbing China’s dominance of rare earths and other critical resources and EU officials will present their vision to create entire green supply chains.

The talks, on Nov. 19, have taken place annually for much of this decade, bringing together diplomats and industry representatives from the European Union, Japan and United States.

They have yet to weaken China’s power, especially over rare earths, and global trade tensions aggravate the situation.

In a daily news briefing in Beijing, Chinese Foreign Ministry spokesman Geng Shuang said it was not possible to “guide or monopolize” a certain sector or market in a closely connected world.

China, the world’s leading producer of rare earths, was “willing to satisfy the reasonable need” of various countries for resources and products, he said.

A net importers of most minerals, the European Union in 2011 was among the first to compile a critical raw materials list.

In common with other western powers, it views rare earths - a group of 17 elements with electronic and magnetic properties - vital because of their role in high-tech, low-emission economies and defense.

As battery vehicles, whose motors require rare earth magnets, and consumer demands for sustainability have climbed the agenda, European Commission Vice President Maros Sefcovic says the EU strategy is to support development of entire supply chains, where possible on EU territory, based on ethical production.

“The position of the West is precarious,” Simon Moores, managing director at consultancy Benchmark Mineral Intelligence, said. “These supply chains are the oil pipelines of tomorrow.”

Click here to continue reading...

Subscribe to the RSD email list and get the latest resource stock activity directly to your inbox, for free.

Part of the Stock Digest family of websites

Small Cap Stock Digest

MARKET SUMMARY

INDICES

Name Last Change
DOW 28135.40 0.01%
S&P 500 3168.80 0.01%
NASDAQ 8734.88 0.20%
TSX 17003.13 0.33%
TSX-V 540.53 0.00%

Resource Commodities

Name Last Change
Gold 1475.64 0.77%
Silver 16.94 0.41%
Copper 2.78 2.781
Platinum 901.00 0.67%
Oil 60.07 1.48%
Natural Gas 2.30 1.39%
Uranium 25.45 0.78%

@RSDigest ON TWITTER