China considers rare earth quota growth as magnet demand outstrips supply

By Albert Li
Published: Friday, 18 September 2015

A ceiling imposed by China’s rare earth production quota, well below demand in the country’s magnet industry is encouraging illegal mining. The government has yet to raise the quota this year, despite continued demand growth.

Production quota set at a levels significantly below market demand is contributing to illegal mining of rare earths in China, delegates at the Argus Rare Earths 2015 conference in Shanghai, China heard this week.

According to Dudley Kingsnorth, professor at the Curtin Graduate School of Business and executive director of Industrial Minerals...

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