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Top 3 rare earth firms to be named

By Yin Mingzhe (Chinadaily.com.cn)
Updated: 2011-06-13 17:43

Three companies are expected to account for 80 percent of the rare earth market in southern China, if a proposed consolidation is completed, Shanghai Securities News reported Monday. And the names for the three companies may be released within this week, the newspaper added.

Related readings:  Inner Mongolia to reshape rare earth sector  Rare earth giant takes over 35 smaller miners  Baotou Steel Rare-Earth taking over smaller firms  Ministry investigates rare earth sector consolidation

The State Council, China's cabinet, on May 19 issued a policy proposal stating that China will consolidate the ion absorbed-type rare earth market, and that the largest three groups should dominate 80 percent of the market shares in southern China.

A high level meeting will be held to discuss the rare earth consolidation this week, and the names for the three largest groups may come out.

Many companies are involved in the ion absorbed-type rare earth industry, but only six are considered competitive on a large scale. They are: China Minmetals Corp, Aluminum Corporation of China, China Non-Ferrous Metal Industry's Foreign Engineering and Construction Co Ltd, Guangdong Rising Nonferrous Metals Group Co Ltd, Xiamen Tungsten Co Ltd and Ganzhou Rare Earth Mineral Industry Co Ltd, Shanghai Securities News reported.