China increases rare earths export quota

China’s Ministry of Commerce said Tuesday it would allow 11 more companies to export an additional 10,680 metric tons of rare earths this year after they meet new environmental standards, on top of the 10,546 tons already approved for export this year, The Wall Street Journal reported. China controls about 95% of the global supply of rare-earth minerals, which are used in a variety of high-tech products, and has been criticized for limiting exports of the product to buoy the price. However, analysts suggested the increase in quota may have limited effect on the market, since prices and demand for rare earths are falling anyway. Customs data showed that Chinese rare earth exports were down more than 70% year-on-year in March, while only about half of last year’s quota of 30,184 tons was used, according to the ministry.