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China has approved a merger of major rare-earths companies, resulting in a behemoth that will strengthen China’s grip on a global market it has dominated for decades.
According to a stock exchange filing from China Minmetals Rare Earth Co., the entity will be formed by merging rare-earth units of government-owned companies such as China Minmetals Corp., Aluminum Corp. of China, and Ganzhou Rare Earth Group Co., the new group will speed up the development of mines in the south.
In September, it was reported that China planned to build two giants, one in the north and one in the south, each focusing on a different subset of rare earth materials.
China has a stranglehold on rare earth processing and controls the majority of the world’s mined output of rare earths, a broad group of 17 elements used in everything from smartphones to fighter jets.
Story by : Norvisi Mawunyegah