Rare earth quotas, tariffs 'set to end'

China may end tariffs and quotas on the export of rare earth minerals next year, in line with a World Trade Organization panel ruling earlier this year that the nation acted inconsistently with WTO rules, an industry expert said on Thursday.

Chen Zhanheng, deputy secretary-general of the China Rare Earths Industry Association, told China Daily that Beijing is expected to end the export tariffs and quotas, imposed in 2010, if the WTO rules against the nation's appeal later this year.

Industry insiders said the export quota system had been "invisible" in recent years in any case, since actual export volumes fell short of the quotas. Chen said the government is formulating contingency plans for the end of the tariffs and quotas, including tax changes that might push up the prices of these scarce minerals.