China sets up a rare earth association to spur healthy development of the industry

[phantom power]

Disputes surrounding China's rare earth industry are hardly rare. Domestically, the industry was plagued by environmental pollution and fragmented mining operations. Internationally, China's implementation of an export quota system on rare earth has triggered trade frictions.

A newly established nationwide rare earth association may become a helping hand to the government in solving these disputes.

On April 8, the China Rare Earth Industry Association was set up in Beijing. The association, consisting of 155 members that include industry giants Aluminum Corp. of China (Chalco) and China Minmetals, was formed to promote sustainable and sound development in the sector, said Su Bo, Vice Minister of Industry and Information Technology (MIIT) which governs the association.

...

But China's efforts to protect its rare earth industry and environment seemed to irritate international buyers. On March 13, China received negotiation requests put forward by the EU, United States and Japan on the export management measures of rare earth, wolfram, and molybdenum under the WTO's dispute-settlement system.

http://www.bjreview.com.cn/business/txt/2012-04/23/content_448454.htm

[dipsydoodle]

1. seemed to irritate international buyers ?

If the US was that concerned it would reopen the Mountain Pass rare earth mine in CA.............along with all of its environmental issues. The fact is that the US chooses not to do so and China is well aware of that.

[Nihil]

2. If you can't exploit someone (or threaten them until you can) then it *will* irritate them ...

... to have to pay anything like a realistic price to cover the environmental damage
required to maintain their profits ...