NewsBlaze search box Daily News header

Reuters Analysis Shows China Rare Earth Export Cuts Much Greater Than Preciously

By  

Since several years ago production of rare earth elements was stopped in the U.S. and other countries China now owns 95-98% of the world's production capacity for critical rare earth element metals used in producing parts for most high-tech devices. It had been thought that the country had recently cut exports by about 30%. A new analysis of the data shows the actual export cut was 600% greater.

Reuters is reporting that their analysis of Chinese customs office export data shows a major accounting change from reporting "rare earth metal" exports to "rare earth metal and PRODUCTS" exports.

Through the end of 2010 export data was reported for rare earths but starting in January the data included both the metals and products made from them.

According to Reuters, "The effect of the change is to make China's rare earth exports for the month appear six times bigger than they would have been under the old methodology, and to imply a 44 percent fall in the average value of a ton of exports from December, rather than a 15 percent rise."

The analysis also shows that exports of rare earth metals to the U.S. (used in producing end products such as magnets) dropped 97% in January over the previous year.

http://www.reuters.com/article/2011/03/09/china-rareearths-idUSTOE72804120110309

Unless there is some error in reading the data this new analysis indicates that the shortage of rare earth elements is much worse than previously thought.

The analysis by Reuters was conducted using the previously reported data but apparently other analysts had missed the accounting change.

John McCormick is a reporter, /science/medical columnist and finance and social commentator, with 17,000+ bylined stories. Contact John through NewsBlaze.

  Please leave a comment here     If it does not display within 10 seconds, please refresh the page

Related Business News

Global shipping consultancy Drewry released a report on Friday stating that they do not expect a return to profitability until 2017.
Goodyear Chairman Kramer announces $550 million investment to build new plant in central Mexican state of San Luis Potosi.
Jamie Meloni of Tampa, FL, a Coldwell Banker sales associate and representative received the top honor from the company after a lot of hard work.
Smuggling of Indian red sanders to China is emerging as a lucrative business. This highly expensive wood has multiple uses that range from as an excellent absorbent of nuclear radiation to production of aphrodisiacs,and musical instruments as well a
China is exerting a negative influence on Myanmar; Chinese state-owned companies are paying less to local workers and more to expatriate chinese workers; this is creating a resentment and has already resulted in the first pen down strike.
Looking into the results of Software Advice's recent report on VOIP and why companies looking to minimize costs and enhance their benefits should consider integrating VoIP systems.

 

NewsBlaze Writers Of The Month


Popular Stories This Month

newsletter logo

NewsBlaze
Copyright © 2004-2014 NewsBlaze Pty. Ltd.
Use of this website is subject to our Terms of Service and Privacy Policy  | DMCA Notice               Press Room   |    Visit NewsBlaze Mobile Site