The Concentration Degree of Nationwide Rare Earth Industry Increased Significantly



The Concentration Degree of Nationwide Rare Earth Industry Increased Significantly

Since the “Twelfth Five Year Plan” period, China has made considerable progress in the organization and setup of large rare earth groups, layout of rare earth industry has become more rational, the concentration degree has increased significantly, the previously small, scattered, and chaotic situation has basically been reversed.

Zhou Changyi, Director-general of the Department of Raw Material, MIIT, said at the Eighth “China · Baotou Rare Earth Industry (International) Forum” which opened on August 8, up till now, the setup work of 5 large rare earth groups including China North Rare Earth has passed examination and acceptance, the integration work of China Minmetals Rare Earth Group is also in full swing. These 6 large rare earth groups integrate 22 out of 23 rare earth mines across the nation. Among 59 rare earth smelting and separation enterprises in China, 54 have been integrated into big groups. Meanwhile, with support from relevant local governments, another 40 rare earth smelting and separation enterprises were dismantled or shut down, which eliminated 100,000 tonnes of surplus capacity.

Currently, 6 large rare earth groups’ rare earth mining, smelting & separation capacity now respectively account for 90% and 60% above of nationwide capacity, the production scale of rare earth magnetic, catalytic, and light-emitting materials respectively account for 70%, 50% and 45% above of nationwide output, the nationwide concentration degree of rare earth industry capacity has risen significantly.

Zhou Changyi said, the “Thirteenth Five Year Plan” period marks a crucial period for rare earth industry to fulfil continual and healthy development, and overtake mid to high end of the industry, China’s development of rare earth industry will closely revolve around the needs of national strategies including “Made in China 2025”, and the development of strategic emerging industries, bring out the role of 6 large rare earth groups, vigorously propel standardized development of rare earth resources, phase out and resolve surplus capacity, in order to propel the industry toward intensive and high-end development.

He said, in the next step, relevant departments will continue to implement support policy for group setup, from the aspects of key element allocation such as mineral resource, and production plan, intensify support efforts, improve group competitiveness and the ability to dominate industry development, and further improve development quality of large rare earth groups.