Ahead of US President Donald Trump’s visit to China, the nation's Ministry of Natural Resources released data underscoring China's achievements in the REE sector.
"China long ago did its homework and knew the value of REEs, across all sectors of science, technology, the space race, industry, manufacturing and military applictions," Brown says. "They allocated huge resources to perfect not only extraction, but processing and downstream, discovering new sources underground."
Presently, China controls 90% of the world’s REE processing and thus global supply chains and logisitcs. Moreover, the Chinese spent decades mastering techniques to achieve high-purity output at the lowest cost.
Why are REEs Important?
"REEs make the world go round," Brown notes. "Without them, countries can’t build weapons, send astronauts into space, manufacture mobile phones, all kinds of electronic gadgetry, medical equipment, and thousands of other mundane to high-tech applications."
The Chinese bet on the REE research – and it paid off, according to the pundit.
The West "sat on its hubristic laurels and did almost none of this," using China as a reliable supplier.
Now the US is signing contracts worldwide to mine REE ore, but it’s struggling to catch up — the West remains far from becoming a high-volume processor on a par with China.
"The US has no real leverage at all, except the tired old playbook of boycotts, blockades, sanctions and tariffs," Brown concludes.