2019-06-13 10:26:00 Thu ET
technology antitrust competition bilateral trade free trade fair trade trade agreement trade surplus trade deficit multilateralism neoliberalism world trade organization regulation public utility current account compliance
The Chinese Xi administration may choose to leverage its state dominance of rare-earth elements to better balance the current Sino-U.S. trade war. In recent times, President Xi visits a Jiangxi hardware factory that spins rare earth elements into permanent magnets in iPhones, electric cars, wind turbines, and military missiles. China monopolizes 80% of the strenuous extraction of 17 vital rare-earth elements for ubiquitous applications from consumer electronic technology to military defense. Although the raw ores are as common as copper and lead, rare-earth ores oxidize quickly and their extraction can cause severe pollution. With its low labor costs and lax environmental regulations, China has become the dominant force in the rare-earth market since the 1980s. With almost half of global rare-earth deposits, China produces 120,000 metric tons of rare-earth per annum, or about 80% of the global supply. Australia is the second largest supplier of only 20,000 metric tons of rare-earth per year.
The Chinese Xi administration has a strategic incentive to reduce the quota of rare-earth elements for better environmental protection. The next quota reset is due in June 2019, and this reset can indicate whether China intends to leverage its rare-earth quasi-monopoly to counteract the Trump tariff tactic.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2018-09-11 18:36:00 Tuesday ET
President Trump tweets that Apple can avoid tariff consequences by shifting its primary supply chain from China to America. These Trump tariffs on another $
2019-08-02 17:39:00 Friday ET
The Phillips curve becomes the Phillips cloud with no inexorable trade-off between inflation and unemployment. Stanford finance professor John Cochrane disa
2019-01-15 13:35:00 Tuesday ET
Americans continue to keep their financial New Year resolutions. First, Americans should save more money. Everyone needs a budget to ensure that key paychec
2016-10-01 00:00:00 Saturday ET
We can learn much from the frugal habits and lifestyles of several billionaires on earth. Warren Buffett, Chairman and CEO of Berkshire Hathaway, still l
2019-06-15 10:28:00 Saturday ET
The Sino-American trade war may slash global GDP by $600 billion. If the Trump administration imposes tariffs on all the Chinese imports and China retaliate
2017-02-19 07:41:00 Sunday ET
In his recent book on personal finance, Tony Robbins recommends that each investor should rebalance his or her investment portfolio *only once a year* to in