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Article
The World Production and Trade of Rare Earth Elements: The Position of the Pacific Area
Author(s)
Carlos Encinas-Ferrer, Francisco Javier Valderrey-Villar, Clemente Hernandez-Rodriguez, Antonio Uson-Sardaña
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DOI:10.17265/1537-1506/2014.04.001
Affiliation(s)
Carlos Encinas-Ferrer, Ph.D., in Economics, Tecnologico de Monterrey Campus Leon.
Clemente Hernandez-Rodriguez, Ph.D. in Economics, Asia Pacific Center, Tecnologico de Monterrey Campus Guadalajara.
Antonio Uson-Sardaña, Ph.D. in Electrical Engineering, Department of Electrical Engineering, School of Engineering and Architecture, Universidad de Zaragoza.
Francisco Javier Valderrey-Villar, Ph.D. in Administration and Marketing, Tecnologico de Monterrey Campus Leon.
ABSTRACT
In this paper we analyze the characteristics of the so-called rare earth elements (REEs) and its industrial applications. We present the policy, or lack thereof, in the countries in the Pacific Rim for its mining and commerce, and the current and future weight that rare earth minerals will have in international trade. The technological revolution experienced over the last 25 years, has brought the REEs to the public’s attention for being instrumental in obtaining catalysts, lasers and optical fiber, luminescent substances and LEDs, superconductors, permanent magnets, batteries and ultra-capacitors. China’s leading position as the supplier of these minerals worldwide, and its recent export restriction policy for domestic industrial activities have driven up international prices. Price increase for REEs is leading to the need for both recycling and its replacement. It has also led other countries in the Asia Pacific Rim to prospect new potential sites on their own territories, or even to restart operations in deposits that had been previously abandoned. Those strategies will likely gain greater importance as environmental pollution problems associated with the exploitation, processing, and recovery of REEs increase.
KEYWORDS
rare earth metals or elements, China, REEs production, trade, public policies, prospecting, technological revolution
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