The Rare Earth of China (in Their Hands)
Since 1995 China supplies over 95% of rare earth metals (REM)[1] from the dessert of Mongolia to the world. REM are important parts in hi-tech electronics. Mobile phones, computers, laser devices, electric motors and vehicles, and electronic devices work mainly becuase of REM components.
[Image from Wikipedia:Rare Earth Element]
RE Oxides (REO) production from 2001-2010 is estimated at 120 kt (thousand tonnes) annually (total of 1,200 kt in 10 years). Some 40 kt had been exported (leaving some 80 kt for use by Chinese manufacturers[2]).
The world demand for REO is very strong and growing. The demand is expected to be (40 kt) more than supply in the next decade. The search for new supply sources of REO is now on [3]. But there are difficulties and barriers to entry. New sources may not be realized for some years.
In September 2009, China capped REO export level to 30 kt per annum. INTEL (a CPU maker) announced setting up a chips production plant in Vietnam (using Vietnam's REO). In October 2010 China blocked supply to Japan [4]. Japan started recycling electronic waste. Vietnam signed an agreement to supply REO[5] (also agricultural produce) to Japan.
It is expected that China will hold a significant market share and strong position for electronic and other hi-tech devices because of their control of world supply of REO. Having cheaper and steady REO supply also gives Chinese manufacturers big advantages in prices and fast delivery time. China would, of course, not confirm or deny these market manipulations.
A question on China's control of RE-based products and RE markets and the impacts on end-user countries (like Thailand) is now a major concern. The point of importance is that today nearly everything depends on electronics: computers, communications, medical devices, weapons and war machinery, jetliners and airports, ships and transport links and controls, water treatments and water supplies, electricity grids and ...
The future electric vehicles (using rare earth magnet electric motors, rare earth oxides batteries and electronic control devices) will be most likely made in China.
Electric trains, solar panels, electricity generators, and fuel cells are some of the 'future' technologies which depend on RE. Quantum devices (computers) are based on REM.
Our modern ways of life depend on RE in electronic circuits. But REO supply is in China's hands. Should we worry about this?
<NB 1> What are Rare Earth Metals (See Wikipedia: Rare Earth Element) and their uses.
<NB 2> The volume of electronic components and products "made in China" in the world market is a result of having abundant RE supply (from ...). Substantial inefficiency in the use of RE is due to 'cheap-gadget' and 'throw-away' designs. The life of electronic devices may be designed for by using the rates of decay of REM.
<NB 3> It has been suggested that electronic wastes/discards are a good source of REM. There may be upto 300 kt of REO available for recycle worldwide.
<NB 4> This may be the result of an incident involving a Chinese fishing ship and a Japanese coast guard.
<NB 5> REO deposits have been found in central mountainous regions (Lai Châu Province between North and South) Vietnam. Other deposits are in India, Brazil, South Africa, Australia, Sweden, Calfiornia USA, Canada and Mongolia (37% of proven worlf reserve but producing 97% of world supply).
<NB 6> RE ores are found in concentration of 1%-5% of sand. Toxic acids are used to extract ores leaving vast amount of contaminated and toxic tailings. There are many serious environmental problems including toxic water and radiation from REO mining.
ความเห็น (8)
Sawasdee ka
Current many technology toos and devices from China for sale in Thailand.
Sawasdee krub Devi Kim
"Made in China" is now very common (like "Made in Japan" we used to know) -- everything from toothpicks, computers, high speed trains, electric motors and vehicles (cars, buses and trucks), to nuclear power plants. China can even 'finance the purchase' (or mega-projects) on very flexible terms of payment.
We can see "Made in India" in steel, jewelry and textile products (what would happen to fashionistas' clothes "made in Thailand"?). We should see more of "Made in Vietnam" in household electrical goods (soon after Asia and Pacific Economic Cooperation comes out of meeting rooms into the street).
But, you are right! Nothing beats the sweetness and the pride of having our own produce (Made by Me) ;-)
I await your "gardening Thailand" movement
Sawasdee ka
I want to Thai people have a habit of saving and patriotic country, Collaborate on the development of local .
I expect to Thai people be cooperation against imported products. Except learn to develop themselves and country.
Thank you.
Devi Kim
This common and economic sense is often overlooked by people who worship imports, brand names and overseas holidays.
Buy 'made in Thailand' would keep Thais working (rather than buy imports which would keep machines and robots working) and keep our hard earned money in Thailand and make our economy grow.
Buy 'local produces and local products' would help people in our community to earn a living and cut down wastes and transport costs. When local people in local community have income, then they are happy and we get to live in a happy environment.
We may not make everything we need. But we can help to create jobs in our local community -- buy local.
Happiness is watching Nature grows ;-)
[There is (Thai) article on another (English) article in The Economist on China's Investment outside China. It says how China invests in the Future. The Chinese is less interested in 'property blooms' outside, they have (more than) enough of property development projects on their hands.]
จีนกว้านซื้อทุกอย่างที่ขวางหน้า... โลกทุนนิยมต้องแตกตื่นไหม?
กาแฟดำ, กรุงเทพธุรกิจออนไลน์ การเมือง : ทัศนะวิจารณ์ 4 ธันวาคม 2553
...จีนไม่ได้มุ่งจะซื้ออสังหาริมทรัพย์ที่เป็น “สัญลักษณ์” แห่งความยิ่งใหญ่ หากแต่มุ่งจะเข้าไปแสวงหาความเป็นเจ้าของ ในทรัพยากรธรรมชาติที่จะส่งกลับไป ป้อนอุตสาหกรรมหลักของจีนเองที่บ้าน... ...บริษัทจีน โดยเฉพาะที่เป็นรัฐวิสาหกิจ เข้าไปถือหุ้นตั้งแต่บริษัทผลิตแก๊สของอเมริกา ไปถึงโรงงานผลิตไฟฟ้าที่บราซิล และเข้าไปถือหุ้นในบริษัทรถยนต์ชื่อดังอย่างวอลโว่... ...ยิ่งในทวีปแอฟริกาด้วยแล้ว จีนเข้าไปในทุกประเทศที่เห็นโอกาสที่จะสามารถขุดหาทรัพยากรธรรมชาติไม่ว่าจะ เป็นทอง ทองแดง เหล็กและสินค้าเกษตรทั้งหลายทั้งปวง... ทุกวันนี้จีนยังไม่ได้เป็นเจ้าของธุรกิจต่างแดนมากมายจนน่า กลัว...อยู่ที่ประมาณร้อยละ 6 ของเงินลงทุนในธุรกิจระหว่างประเทศเท่านั้น (ขณะที่อเมริกาและอังกฤษสมัยเรืองอำนาจและลงทุนไปทั่วโลกนั้นมีสัดส่วนลงทุน ในต่างแดนถึงร้อยละ 50 ทีเดียว)...
<NOte 7> US urged to ramp up rare earths http://bigpondnews.com/articles/Technology/2010/12/16/US_urged_to_ramp_up_rare_earths_552591.html 16 Dec 2010 - 09:35am
A new US govt report is calling for urgent action to secure rare earth products at home and abroad. A new US government report is calling for urgent action to secure rare earth products at home and abroad, warning that the United States risks ceding the clean energy boom to China. China produces more than 95 per cent of the world's rare earths which are the elements that are crucial in making products ranging from iPods to low-emission cars to wind turbines. Energy Secretary Steven Chu says clean energy could revitalise the wobbly US economy and create jobs as well as cut the emissions blamed for climate change.
เมื่อวานอ่านข่าวนี้แล้วคิดว่า เป็นบทเรียนที่เรารู้ไว้ ก็ดี
China focuses on electric car plans (25 Apr 2011 - 12:47am)
http://bigpondnews.com/articles/Technology/2011/04 /25/China_focuses_on_electric_car_plans_605074.html
อย่างย่อๆ China wants to focus on developing electric car technology but there are signs of possible trading disputes with their trading partners over tactics. Geely's two-seat McCar, Dongfeng's Shuaike microvan, the four-seat M1 REEV from Chery and others promise a range of more than 100 kilometres. Most of these models are still in development but some are appearing on China's streets. Beijing sees electric cars as a field where it can take a global lead, helping to transform China into a creator of technology... By pushing its fledgling automakers to create their own products pressing "foreign partners" to hand over know-how and limiting access to its market... Next month, Beijing is due to release a 10-year industry development plan for 'new energy vehicles,' ... Foreign manufacturers are concerned Beijing might require them to hand over valuable technology and help local partners create 'indigenous brands' as the price of being allowed to sell electric cars in China... Beijing already requires that for a foreign manufacturer to produce an electric car in China, its local joint venture must own the technology for one of the three 'core components' - the battery, the motor or the power-management system. Developing powerful but safe batteries has been a key challenge for Chinese automakers. Batteries in Chinese cars have exploded more than 10 times during development, the business magazine Caijing reported this month. 'This makes drivers not dare to drive these cars,' a magazine said. Electric cars are the latest industry in which Beijing hopes to use China's fast-growing market as leverage to develop its own technology and global brands. ... Today, China's market is dominated by General Motors, Volkswagen and other foreign brands. Local producers such as Chery and Geely, the new owner of Sweden's Volvo Cars, are growing fast but are far behind.
Electric cars offer a fresh start in a field with no entrenched leaders. 'They see it as a big opportunity. ... efforts to curb its voracious appetite for imported oil and gas, which communist leaders see as a strategic weakness. 'The energy security advantages for them are enormous,' ... 'Switching people to electricity that you can produce domestically is very appealing.' Beijing has long pushed for technology transfer in fields from high-speed rail to clean energy as a condition of contracts or licences. China's bullet trains are based on European and Japanese technology but are being marketed in Latin America and the Middle East, prompting complaints it is violating the spirit of such agreements. ... Beijing's effort to compel automakers to use Chinese-made components by imposing higher taxes on cars made with more than 40 per cent foreign parts. China... promising subsidies of 60,000 yuan ($A8,592) per electric vehicle. Cities are being given grants to buy electric buses and taxis.... But Nissan plans to import its all-electric Leaf rather than produce them in China, possibly to avoid having to share more advanced technology. Germany's Daimler AG, maker of Mercedes Benz cars, is creating a new electric car brand with Chinese automaker BYD and plans to launch a model in 2013. Daimler's CEO for Northeast Asia, Ulrich Walker, said it went that route because it wants to create a separate, lower-cost brand, not because of government pressure.
<NB> Rare Earth Metals are key components in both (strong magnet) motor technologies and (high power density) battery technology.
อ่านแล้ว เสียดายเงินกองหนุนน้ำมันดีเซล ใหมครับ
Time (Feb 19, 2013 issue) reports in "Precious Holding" by Austin Ramzy:
In short: Japan responded to China RE restriction by setting up a recycling plant in Vietnam to extract RE from electric car motors, computer hard drives, compressors, air conditioners and mobile phones and by modifying designs and manufacturing processes...
...China underestimated Japan, ...(who are) full of ideas and have capacity to respond [by diversifying sources(of RE)].
World RE stockpile is growing, RE share prices are in decline [Molycorp shares value dropped 2/3 in 2012]. Other countries eg. USA, India, Australia, Malaysia, ... are also developing RE sources. But world economy may be the key factor for the future of RE in China.