China caps rare metals output, raises mandatory quota

Posted on Apr 28, 2011 in AllEconomic NewsGovernment News
China has raised the mandatory quota for the production and smelting of five rare metals this year, demanding priority to key enterprises when distributing the assignment, according to the Ministry of Industry and Information Technology (MIIT).

The quota, set by MIIT, the National Development and Reform Commission and the Ministry of Land and Resources, caps the maximum quantity of the production and smelting of tungsten, tin, antimony, molybdenum and rare earth ores in 25 provinces or autonomous regions.

Only those enterprises that meet the requirements of national industrial and management policies can get the quota from local governments’ supervisory departments and “no extra quota or production beyond the limit will be allowed,” said a statement on the MIIT’s website.

According to the statement, the output control target for tungsten concentrates was 87,000 tonnes this year, up 8.75 percent from last year’s 80,000 tonnes.

The output quota for tin ores rose 12.3 percent to 73,000 tonnes from 65,000 tonnes in 2010. The maximum output limit for antimony concentrates was 105,000 tonnes, compared to 100,000 tonnes last year.

The production quota for molybdenum concentrates was 200,000 tonnes, up from last year’s 185,000 tonnes.

MIIT reiterated the control target of rare earth oxide this year was 93,800 tonnes, up 5.16 percent over previous year while the quota for rare earth oxide smelting was 90,400 tonnes.

The Ministry of Land and Resources said earlier in March that the mining of certain metal resources would be carried out in a planned manner.

China will not grant any new licenses for prospecting and mining of tungsten, antimony and rare earth ores before June 30 of 2012.

China has announced a series of policies for the rare earth and other metal resources industries in recent years to balance environmental protection needs and industrial demands, including stricter emission limits on miners, cuts in export quota and a resources tax.

China caps rare metals output, raises mandatory quota – People’s Daily Online.