China's rare earth stocks climb as Beijing mulls more export curbs

China Rare Earth Holdings

05/06/2019 03:16

** Shares in China's rare earth-related firms gain as
Beijing considers strengthening controls on rare earth exports,
and as a U.S. report urges steps to reduce reliance on foreign
critical minerals
    ** China considers more curbs on rare earths exports, 17
chemical elements used in high-tech consumer electronics and
military equipment, to protect and better use such "strategic
resource"  urn:newsml:reuters.com:*:nL4N23B36I
    ** Experts suggest establishing a mechanism to track and
review the entire process of rare earth exports, while clamping
down on illegal production and smuggling of the minerals, which
could help bolster prices
    ** "We believe the rare earth sector is expected to continue
climbing, as the strategic importance of the material is
highlighted," Haitong Securities noted in report
    ** The U.S. Commerce Department recommended urgent steps to
boost domestic production of rare earths and other critical
minerals, warning that a halt in Chinese or Russian exports
could cause "significant shocks" in global supply chains
 urn:newsml:reuters.com:*:nL2N23B1RE
    ** Leading the charge, Chengdu Galaxy Magnets Co Ltd
 300127.SZ , Hunan Yujing Machinery Co Ltd  002943.SZ , Yantai
Zhenghai Magnetic Material Co Ltd  300224.SZ  all leap by the
10% upper limit
    ** Major rare earth producers China Northern Rare Earth
Group High-Tech Co Ltd  600111.SS , China Minmetals Rare Earth
Co Ltd  000831.SZ , Xiamen Tungsten Co Ltd  600549.SS , Rising
Nonferrous Metals Share Co Ltd  600259.SS  and Shenghe Resources
Holding Co Ltd  600392.SS  rise by 3%-4.6%
    **  In Hong Kong, China Rare Earth Holdings Ltd  0769.HK 
adds as much as 8.5%
    ** As of previous close, the CSI rare earth industry
 .CSI930598  had gained 42.1% so far this year

 ((luoyan.liu@thomsonreuters.com; Reuters Messaging:
luoyan.liu.thomsonreuters.com@reuters.net))