Ministry of Industry and denied that the Chinese government intervention in the market price of rare earth

by · June 20, 2012

Industry and Information Technology Vice Minister Soupault to show the reporter due rare earth mining lead to environmental damage photos

network television news: the State Council Information Office held a press conference at 10 am on June 20, 2012, Vice Minister of Industry and Information Technology Soupault introduced China’s rare earth conditions and policy aspects of the situation, and answered questions from reporters.

Associated Press reporter:

My question is on the rare earth trade and WTO cases. We know, because the Chinese for the implementation of export quotas and management measures for environmental protection reasons, the foreign rare earth price is much higher than Chinese domestic rare earth prices, such as iron ore resources in China and abroad , than can be said that the implementation of the management of rare earth enhance the price of foreign rare earth? In addition, on the rare earth case of the WTO, China has been said that the implementation of management measures in order to protect the environment and resources, the Chinese government why do not you go directly to the management of the domestic mining industry to protect the environment of rare earth trade and export?

Soupault

:

referred to these two issues, the front part has been done to explain. The price of rare earth, rare earth prices at home and abroad there are gaps, I am also very concerned about. This problem, I asked some of the rare earth enterprise, entrepreneur and chairman of a gap on the quality of the formation of the price gap. Xiamen Tungsten to research, Xiamen Tungsten fully equipment production of rare earth, the chairman of the company told me the same product, the quality of domestic equipment production with other enterprises, so its price three times the domestic price of similar products. Like a piece of clothing can be a thousand dollars, it can be a thousand dollars, focusing on its quality, quality. Rare earth domestic and foreign price spread doubts because I had been very concerned about foreign friends, I am as a person in charge of the department in charge of is also very concerned about this issue, I also need to seek the answer, because our government never intervened in the market price.

another factor may be with our customs import and export rules, because the Customs to impose customs duties on the basis of the contract, consider some of the costs of transportation and insurance, to determine the amount of tax . Customs practice is international rules, according to the “Customs Law” and “Import and Export Duties, apply to the Foreign Trade Law” and “goods Import and Export Ordinance, complete with international practice. For last year the prices of the rare earth export quotas are not used up, both domestic and international rare-earth price difference, the more difficult to say is caused by the relevant government departments to intervene in the market rules. Because the rare earth as an international product, complete both supply and demand to determine by mutual agreement. Because the price is too high, can not purchase, or the price mechanism will lead to other rare earth resources in the country as soon as possible the development of its rare earth resources in order to reap high profits.

at least I, as the leadership of the department in charge of the Ministry of Industry and Information Technology, we have never been issued or verbal instruction had any business to its selling price of rare earth measures to be adopted.

As to your second question, that the Chinese government to strengthen the management of the rare earth industry is to protect resources, environmental protection, and that the Chinese government should strengthen the management of domestic enterprises to protect the resources and protecting the environment. The question as a recommendation I’d be happy to accept. Strict management of our industry in recent years is to achieve these goals, rather than as an excuse to raise prices to obtain international political or economic interests. I understand very well the concerns of foreign friends in the case of rare earth high price Kai, but some friends say that I do not quite agree with the foreign management of China’s rare earth industry, environmental pollution is an excuse. Because last year I have a friend in front of my face dialogue and gentlemen of the EU industry, the Secretary said, of environmental pollution in China is just an excuse. But from the heart of the Chinese government and the most important task is concerned about the safety of life and health of the people is the most important duties of government. No government of a country suffered major pollution in the environment, resources, suffered major damage, reckless, and continue to develop a product.

I did not want to re-show a few photos I brought, because it is a mass letter sent to me, mining the serious pollution caused by shocking, please see. Some of these pollution can be cured, some can not rule the ordinary people living in such an environment, health and life, what protection? A lot of slag, a lot of debris flow, a large number of landslides, a large number of pollutants in drinking water of the common people, and only in such a county, there are more than ten square kilometers, there are tens of thousands of tons of slag, 4.5 million people drink not on clean water. I understand to some extent foreign gentlemen clever lies, because they pollute the environment of these mines closed, but bear 90% of the world supply, serious pollution of the environment. This problem is our government a test. If truly the sake of economic interests, I would rather turn off the the mine, because its presence in China’s economy which is one of the nine cattle hair. In the heart of the Chinese people, so many years we supply countries in the rare earth demand, they first feel that they should be rewarded, be grateful to controlling environmental pollution is the responsibility of the government is sincere, is fully in line with the actual, rather not false, nor an excuse. Therefore, we will follow the recommendation of Mr. harder to do a good job, to strengthen environmental management and protection of the resources of rare earth industry. Thank you.

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