China issues new regulations on rare earth mining

China issued new regulations which further restrict the country’s rare earths mining industry, MarketWatch reported. The new rules include closing certain areas to mining, tracking mineral movements and cutting the number of mining companies. The Ministry of Land and Resources said the aim to consolidate the industry in order to “basically reach a situation of rare-earth exploitation led by large enterprises.”  It will also designate more regions as “mining zones,” where resource extraction will come under much closer scrutiny. The new regulations follow a pattern of ever-tightening regulation in recent years, as Beijing has cut export quotas and  clamped down on domestic production. Since China currently produces 95% of the world’s rare earths, the restrictions have caused friction with China’s trade partners.