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China’s public policies toward rare earths, 1975–2018

Author

Listed:
  • Yuzhou Shen

    (Colorado School of Mines and Critical Materials Institute)

  • Ruthann Moomy
  • Roderick G. Eggert

    (Colorado School of Mines and Critical Materials Institute)

Abstract

This paper summarizes and evaluates China’s policies toward the rare-earth industry from 1975 to 2018. We define five stages over this period and focus on China’s purpose, the underlying economic background in each stage, and the connections between stages. By reviewing a broad set of original policy documents, we find that the purpose of China’s policies has evolved, affected by the market players, the development of the mineral industry, and the state of the Chinese economy. Initially, the Chinese government encouraged the development of the upstream rare-earth sector. Since the early 1990s, China has focused on the development of downstream activities that use rare earths in the manufacture of intermediate and final products. Since the early 2000s, China has focused additionally on the problems of disorder in the rare-earth industry with particular reference to the environmental degradation caused by rare-earth production, as well as industrial reorganization to discourage unsanctioned production.

Suggested Citation

  • Yuzhou Shen & Ruthann Moomy & Roderick G. Eggert, 2020. "China’s public policies toward rare earths, 1975–2018," Mineral Economics, Springer;Raw Materials Group (RMG);Luleå University of Technology, vol. 33(1), pages 127-151, July.
  • Handle: RePEc:spr:minecn:v:33:y:2020:i:1:d:10.1007_s13563-019-00214-2
    DOI: 10.1007/s13563-019-00214-2
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    References listed on IDEAS

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    1. Han, Aiping & Ge, Jianping & Lei, Yalin, 2016. "Vertical vs. horizontal integration: Game analysis for the rare earth industrial integration in China," Resources Policy, Elsevier, vol. 50(C), pages 149-159.
    2. Packey, Daniel J. & Kingsnorth, Dudley, 2016. "The impact of unregulated ionic clay rare earth mining in China," Resources Policy, Elsevier, vol. 48(C), pages 112-116.
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    Cited by:

    1. Zuo, Zhili & Cheng, Jinhua & Guo, Haixiang & McLellan, Benjamin Craig, 2021. "Catastrophe progression method - path (CPM-PATH) early warning analysis of Chinese rare earths industry security," Resources Policy, Elsevier, vol. 73(C).
    2. Yi, Jiahui & Dai, Sheng & Cheng, Jinhua & Wu, Qiaosheng & Liu, Kailei, 2021. "Production quota policy in China: Implications for sustainable supply capacity of critical minerals," Resources Policy, Elsevier, vol. 72(C).

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