China began to build up strategic reserves of rare earth elements that could enable it to further control the supply of essential metals in the manufacture of many high-tech products, reports the Wall Street Journal. Storage capacity in place in recent months in Inner Mongolia are greater in volume than the total Chinese exports in 2010, which amounted to 39,813 metric tons, according to the business daily.
The Wall Street Journal adds that "the details of the storage plan were not made public. China supplies over 95% of world production of this group of seventeen minerals. According to a report published in November by the U.S. Geological Survey, the country had in 2009 36% of world reserves of rare earths.
Prices have jumped 130% on average last year, companies such as Australia or Lynas Molycorp United States decided to intensify their operations in this area, but start a new mine may take a decade, and Most of the world production is expected to remain concentrated in China in the coming years, says the Wall Street Journal.
Rare earths are used in particular for the production of mobile phones, wind turbines and fuel cells for electric cars. To consolidate the industry, China announced in January the placement of eleven mines under state control, having decided in December to reduce 35% of export quotas for the first half of 2011.
Furthermore, an association of 90 major mining companies and refining rare earths will be formally established in May, the newspaper reported in late January Huaxia Shibao. Jointly with the Ministry of Industry, the Association will preside over the restructuring, the newspaper said. 
The Wall Street Journal adds that "the details of the storage plan were not made public. China supplies over 95% of world production of this group of seventeen minerals. According to a report published in November by the U.S. Geological Survey, the country had in 2009 36% of world reserves of rare earths.
Prices have jumped 130% on average last year, companies such as Australia or Lynas Molycorp United States decided to intensify their operations in this area, but start a new mine may take a decade, and Most of the world production is expected to remain concentrated in China in the coming years, says the Wall Street Journal.
Rare earths are used in particular for the production of mobile phones, wind turbines and fuel cells for electric cars. To consolidate the industry, China announced in January the placement of eleven mines under state control, having decided in December to reduce 35% of export quotas for the first half of 2011.
Furthermore, an association of 90 major mining companies and refining rare earths will be formally established in May, the newspaper reported in late January Huaxia Shibao. Jointly with the Ministry of Industry, the Association will preside over the restructuring, the newspaper said.
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