乐生活Rare earth can’t be the king of trade.
First, China’s rare earth reserves are not as high as expected. After years of exploitation, the reserves have declined significantly. In 2012, the Ministry of Land and Resources accounted for 23% of the world’s total reserves, but before that it was over 70%. On the contrary, the production of rare earth in the United States is not low. The reason why it has not been exploited for so many years is the high environmental cost.
Secondly, around 2010, China restricted rare earth exports. Every country in the world has thought of different ways. Japan has continuously strengthened the improvement of recycling technology and increased reserves. The United States and Australia have restarted their own mining. Vietnam, Russia and Mongolia have signed mutual agreements to strengthen mining technology cooperation. Once a threat becomes a reality, it will not be so lethal.
Third, rare earths are not irreplaceable. As early as 2012, Japan Electric Power Corporation announced that it had developed a new generation of motors that did not use rare earths. Rare earth is not industrial vitamin, but industrial monosodium glutamate. The amount of rare earth used in defense industry is very small, and there is basically no case that the other side’s neck can be stuck.
Fourthly, we became the first importer of Rare Earth last year. Although most of them are still exported after processing, this shows that the rare earth industry is an important industry in China. A few years ago, the Academy of Social Sciences wrote a reminder: "The diversified global rare earth market is generally conducive to maintaining the safety of China’s rare earth resources, but too strict control will stimulate importing countries to replace China’s high-quality resources."
To fight a trade war with rare earth is to kill one thousand enemies and lose five hundred.
