Malaysians should think, quietly and aloud, still allowed, whether dear Ozland, where Desi has got many dear friends, including mGf SweetSpirits:), truly can convince us (go-blok?) Malaysians that the benefits of Lynas ouweigh the harm the billion-dollar project would bring to NegaraKu. Australia has some 20times more land -- substantially desert --than Malaysia; so if it is a project of such great benefits, WHY NOT SITE IT IN THE NORTHERN TERRITORY?
Indeed, if PM Najib Razak thinks that Lynas project is not at all a threat to Malaysians' health in the long-term, WHY NOT SITE IT IN PUTRAJAYA and he and first family continue to stay dare even after his deprivation of his premiership? SIGN US A LETTER OF GUARANTEE?
Desi is thinking global nowadays because we can learn a lesson or two from the second most powerful economy that is CHINA, and how this RARE EARTHS issue is brewing in that population of 1.4billion nation.
Let us not be GO-Blok with short term gains and long term besieged with terminal illnesses weiging down on Malaysian senior citizens.
Hey, we wanna lkive to at least 86-years-old as is now ex-PM Dr Mahatir Mohamad's fate, for badder or worse!:) OR :(
YL, Desi, knottyaSsusual
China Bullies Rare Earth Materials: The Case for Exploration
COMMENTARY-ProspectingJournal.com-It seems that the world’s largest economies are finally clamping their feet down on China, who again stands accused of bullying global trade markets. A formal complaint has been launched to the World Trade Organization in the wake of China’s prolonged attempts at manipulating the export of rare earth materials, to the point where global prices have been swollen ten-fold. China’s actions have made imports less economical for foreign manufacturers. With China controlling about 90 percent of global production it evidently pulls all the switches. Its growing domestic demand has compelled it to reduce its shipments abroad, which in turn have strained global supply and exacerbated global prices. The case has taken on added significance because rare earth materials hold enormous value in the development of sophisticated products. They are intrinsic to the growth of military technology, green technology, clean technology and all things that are poised to symbolize our growth and development over the next few decades. President Obama recently declared, “If China would simply let the market work on its own, we’d have no objections. But their policies currently are preventing that from happening”. The lodging of the complaint has seen mixed reviews; some give it praise whilst others argue it is simply ‘too little, too late’. But regardless of its effectiveness, the complaint is a token to action. What is certain is that with rare earth materials we are talking about the ‘oil’ of the 21st century. These are resources that will soon leverage as much, if not more power than oil, and the reliance on predatory Chinese policies must end.
Many argue this reliance has already lessened, with inflated prices acting as a blessing in disguise. Facing strenuous costs, foreign manufacturing companies have been busy exploring and innovating in search of other options. For instance, Dysprosium demand has lagged as many electric carmakers have realized alternatives to the rare earth. Higher prices have also driven investments in mining outside of China. Although China accounts for 90 percent of production of rare earths, it only accounts for 50 percent of global reserves. Lynas Corp. (ASX: LYC) is one of the leading companies in exploration. It expects to boast a fully functional rare earth’s plant in Malaysia by June this year. The plant will process as much as 22,000 tones per year and should account for 20 percent of the world market. Yaron Vorona, executive director of the Technology and Rare Earth Metals Center at the Institute for the Analysis of Global Security, doesn’t “think it’s too little, too late”, instead believing it is because of China that alternatives now exist.
There are of course two sides to the matter. China’s rare earth maneuvering has extended for such a period of time that it has already prompted many manufacturers, all of whom rely on rare earths for production, to relocate to China. Karl A. Gschneidner Jr., rare earths specialist at the Energy Department’s Ames Lab in Iowa, stated, “the filing was too late”, and shared the belief that he expected more companies to shift to China before any World Trade Policy ruling might take effect. There is a case to be made that China has craftily orchestrated a policy that has shifted the high tech industry onto its own soil.
So currently, we can’t expect the removal of export quotas to curb Chinese control over the market. After all, it was China who once-upon-a-time bullied global producers out of the market with its competitively lower prices. Who is to say that unfairly cheap Chinese rare earths won’t do the same one-day?
The complaint sets a precedent by raising the issue and compelling China to respond. Should the bully carry on bullying, the rest of the world might have to take notice and fight fire with fire. Rare earth’s are fast becoming the pillar of technological advancement and China cannot be setting the prices. There is only one clear message. Suffer, or start digging for alternatives.
And now from a perspective from Down UNder:~~~~~~~
And now from a perspective from Down UNder:~~~~~~~