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Chinese rare earths restrictions break rules – WTO

8th November 2013

By: Henry Lazenby

Creamer Media Deputy Editor: North America

  

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The World Trade Organisation (WTO) has concluded that restrictions by China on the export of rare earths violate WTO rules, the Financial Times reported last week.

The newspaper cited sources within the US, the eurozone and Japan that had complained to the WTO in March, arguing that the Chinese rare earths industry was seeking to benefit improperly from a dominant market position.

The WTO had not yet published its findings, but they are expected by the end of the year.

The WTO did not comment.

Agence France-Presse reported that Japan’s Ministry of Economy, Trade and Industry confirmed the existence of an interim report but that it would not comment on its contents, including the ruling.

Produced mainly in China, rare earths are essential for making high-tech items such as smartphones, tablets and hybrid vehicles, and are also used in automotive catalysts.

Edited by Martin Zhuwakinyu
Creamer Media Magazine Managing Editor

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