China Ups Rare Earth Export Quotas by 9,770 Tonnes

Reuters reported that China has increased its rare earth element (REE) export quotas, allowing 24 companies to export a further 9,770 tonnes of REEs. That brings the year’s total to 30,966 tonnes, a three-year high.

As quoted in the market news:

The second round of export quotas for 2012 was 9,770 tonnes, spread across more than 24 producers including Minmetals, Baogang Group and Aluminium Corporation of China, the ministry said in a statement.

That would put the 2012 export quota 2.7 percent ahead of 2011′s 30,184 tonnes. China usually issues two tranches of export quota for rare earths each year.

Despite the 30,184 tonne export quota in 2011, China said it shipped only 18,600 tonnes that year. The squeeze on supply has led, in part, to a fourfold increase in export prices over the past two years.

Click here to read the full Reuters report.