Research On The Development Of Chinese Rare Earth Industry

’The Middle East has oil, China has rare earth" of Deng Xiaoping’s words to the development of China’s rare earth industry, placed endless high expectations. With the rapid development of science and technology, China’s rare earth industry is building blocks for economic and social development. China’s rare earth production has been largest in the world, from more than1000tons in1978to126,000tons in2009. After joining the WTO in2001, the export volume accounts for half of the production, supplying95%of the world’s rare earth. While in the rapid development of China’s rare earth industry, it has also encountered the problems as other industries in the development process.Due to slow progress of technology, coupled with the impact of the international situation, China’s rare earth deep-processing technology has been lagging behind the developed countries. Compared with other countries, China’s rare earth reserves has been the highest in the world. On the basis of full use of resources endowment, China rare earth industry is committed to the development of mining and smelting separation technology. With the development of mining and smelting separation, rare earth reserves are gradually reduced. According to relevant data, China’s rare earth reserves from46%reduce to36%. Due to lack of supervision in in many places, rare earth mining disorder, vegetation destruction, causing serious soil erosion, water pollution and air pollution and other environmental issues.At the same time, the separation of smelting enterprises expand production, and outlaws smu-ggling large quantities of rare earth. Resulted in the imbalance of supply in rare earth market, the price is a serious deviation from the value. In this case, our government began the introduction of a number of rare-earth policy since2006. The one hand, the confusion of rare earth industry would require remediation in China; the other hand, China needs to reverse the serious deviation from the value of rare earth prices in the international market. However, this caused serious discontent of the rare earth demanding country.Therefore, after reading the extensive literature of industrial development and the rare earth industry, its were reviewed in this article firstly. This article also proposed methods and ideas. Second, it describes the theoretical knowledge of the writing, to reinforce the theoretical basis for this writing. Then, this article analysis the current situation of China’s rare earth industry by the SCP. We can fully understand the current development status of the rare earth industry and encountered problems. And we can solve the equilibrium solution of China’s rare earth industry stakeholders in the rare earth market protection strategy and the rare earth industry in the regulatory process by the game theory. On this basis, the rare earth industry experience of the developed countries should study by us. Finally, this article analysis the sustainable development of China’s rare earth industry trends comprehensive.At the same time, in the country, industry, and enterprise levels, we do some specific measures for sustainable development of China’s rare earth industry.