According to Xinhua News Agency, Premier Li Qiang chaired a State Council executive meeting on November 3 to study and promote the high-quality development of the rare earth industry.
The executive meeting of The State Council pointed out that rare earth is a strategic mineral resource. It is necessary to coordinate the exploration, development, utilization and standardized management of rare earth resources, coordinate the forces of production, university, research and other aspects, actively promote the research and application of a new generation of green and efficient mining and smelting technology, intensify the research and industrialization of high-end rare earth new materials, severely crack down on illegal mining and ecological damage, and strive to promote the high-end, intelligent, and green development of the rare earth industry.
Previously, the National Development and Reform Commission held a symposium of experts in the rare earth industry. Experts at the meeting pointed out that rare earth is an indispensable and important strategic resource in modern industry, and it is also a key strategic basic material for transforming traditional industries and developing emerging industries. The metallogenic conditions of rare earth in China are good, the potential is large, and the resource advantage is obvious.
The relevant departments and bureaux of the National Development and Reform Commission said at the symposium that they will carefully study and fully adopt expert opinions and suggestions, introduce effective measures, increase industry rectification and standardization, innovate and improve relevant management mechanisms, and accelerate the construction of an industry development pattern with reasonable industrial structure, advanced science and technology, effective protection of resources, and orderly production and operation. We will give full play to the special value of rare earth as a strategic resource.
Citic Securities analysts believe that according to the USGS data, the total reserves of rare earth resources in the world in 2022 are about 130 million tons, and the production of rare earth minerals is 300,000 tons, of which China's reserves are 44 million tons (35.01%), and the production is 210,000 tons (70%), both reserves and production are the first in the world. According to the "Rare Earth permanent magnet material Supply Chain Depth Assessment" released by the US Department of Energy in February 2022, China is at the leading level in the separation, smelting and magnet alloy manufacturing links, with a global market share of about 90%, in a leading position. With the re-setting of rare earth by the National Congress, the strategic attributes of rare earth resources may continue to improve. The state has intensified its crackdown on illegal mining, and the supply of rare earths or continued standardized control is conducive to the stable, healthy and sustainable development of the rare earth industry chain.
Analysts also pointed out that on November 2, the Ministry of Industry and Information Technology issued the "Humanoid Robot Innovation and Development Guidance", which clearly proposed the development goals and time nodes of the humanoid robot industry, and planned to achieve mass production in 2025. With the rapid development of the robot industry, the downstream demand for rare earth permanent magnet industry is expected to usher in new growth poles, and rare earth prices may be supported for a long time. The recent favorable policy end of the rare earth sector is frequent, with the recent stabilization and recovery of rare earth prices, the operating performance of rare earth sector companies is expected to reach an inflection point, and it is recommended to pay attention to the strategic allocation value of the rare earth industry chain.
