Mubasher: China will rasie its rare-earth mining quota by 10% to an unprecedented record, as domestic demand for the strategic materials grew.
The quota for six producers, among whom China Northern Rare Earth Group, was set at 132,000 tonnes for this year, compared with 120,000 tonnes last year, according to China’s Ministry of Industry and Information Technology.
This was the highest figure registered since record dating back to 2014.
This also meant that the mining quota is 72,000 tonnes in the second half of this year, 54% higher from a year earlier.
This marked the second year running for China, the world’s biggest producer of rare-earth metals, to increase its allowances.
Rare-earth metals, which are utilised in making products from electric vehicles to military equipment, were brought to the forefront earlier this year on speculation that China could restrict exports within a flaring trade conflict with the US.
China is home to at least 85% of rare earth processing capacity of the world, according to Adamas Intelligence.