Rare earth material is a new topic in the theme of the Global Trade Wars. "There are some indications that China may be cutting off supplies of 17 rare earth minerals to the U.S. and Europe."
Rare earth elements play a crucial part in high-tech products and clean-energy products. The demand is on the growth, and China is currently holding 97% of rare earth minerals market. The new embargo from China on these materials will have significant effects: "If China tightens the export quotas further next year, it could shut production of some major U.S. manufacturers".
Rare earths aren't rare, but the ability to mine them cheap is. The U.S. itself has enough reserves to supply global needs for almost a century at current demand levels, according to the USGS. But in the short run there is no way to mine these minerals as cheap as China does.
"It does take money, and it takes time," said Ed Cowle, CEO of U.S. Rare Earth. "The money is hundreds of millions of dollars. And there's a lack of expertise to open these mines."
but the article does say that the U.S. started the 'trade war' but putting tariffs on Chinese tires....
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