Global demand for rare earths is expected to increase at a rate of eight per cent annually, according to the US Geological Survey.
The organisation reportedly issued these figures to the Congress House Natural Resources Committee on Friday.
The anticipated rise in demand for the materials are expected to coincide with the expanded production of green energy projects, hybrid vehicles and other devices such as smart phones.
Domestic US manufacturers concerned by potential supply shortages urged Congress last week to help reduce the country’s dependence on China for its rare earth supplies, according to rare earth mining pioneer Green Technology Solutions.
China, which produces more than 95 per cent of the world’s rare earth supplies, alarmed manufacturers around the globe last year when it said it would cut export quotas by at least 70 per cent. Mineral prices have since been on the rise.
The US Congress is considering two bills requiring the Interior Department to report regularly on US critical mineral resources after US resources were declared ‘at risk’.
Green Technology Solutions has signed agreements to develop new rare earth mines in Mongolia, the Republic of Congo, Botswana, Kenya and other emerging nations.
It is currently finalising an agreement in preparation for its first shipment of rare earth ore from Mongolia to South Korea.
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Tags: rare earth
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