Analysis On Pricing Power Of China’s Rare Earth Expotr To Japan

Rare earth’s feature makes it has been widely used in traditional industry, thedevelopment of emerging industry also depends on the participation of rare earth, such aswind power, new energy vehicles, advanced medical equipment and so on, all need thehigh-performance rare earth materials, so rare earths is an indispensable technology inemerging industries (such as science and technology, national defense construction),alsorare earth strategic resources is the world’s attention.For a long time, Japan is China’s largest RE importer, Japan’s rare earth industry hasthe core technology and craft, using China’s cheap convenient supply of rare earth, rareearth high-tech industry is developed, and Japan is also an important rare earth productsexporter in the world, by contrast,we sell rare earth ore and import high value-addedrare earth products from Japan and other country.China’s rare earth has advantages in reserves volume and export volume, but lackingof pricing power for a long time. This article elaborates on the fundamental of China’srare earth exports,focus on the analysis about pricing power of China’s rare earth exportsto Japan, from the perspective of supply and demand, through a large amount of data ofrare earth supply and demand, analyse the key of lacking of pricing power about China’srare earth exports to Japan. And further to discuss the channel of dealt with rare earthlack of pricing power: pointed out that China should take the United States, Japan asexamples, increase its rare earth reserves, adopt diversified export strategy; Formulatepricing mechanism of rare earth industry, consolidate rare earth industry, improveindustrial concentration; Recognize the sino-japanese mutual dependence relations ofrare earth trade, caught the situation that Japan depends highly on the critical rare earthresources from China, to reverse the buyer monopoly structure in rare earth exportmarket; At the same time increase the intensity of rare earth product technologyinnovation, improve economic added value of rare earth exports, truly realize thetransformation of rare earth from resources advantage to economic advantage; Improvingthe efficiency of information, establish China’s rare earth pricing center, enhance China’s"participation" and "voice" on rare earth price. From this Angle that Japan is China’s largest importer of rare earths, through theanalysis of China’s exports of rare earths to Japan, led to the lack of pricing power ofChina’s rare earth market, and take measures specifically to control prices, thus reallymake our country from the "big rare earth country" into a "rare earth powers." Pointedout that the current quota policy problems and counter-strategies of Japan, providefeasible countermeasures and suggestions, which aim at responding actively: strive forthe pricing power on one hand, improve the quota policy on the other hand, at the sametime, refer to from Japan’s strategic reserves of rare earth, and to understand Japan’s rareearth mining, processing, product research and development as well as recyclingtechnology, finally realize the sustainable development of rare earth resources, betterservice our country’s sustainable development strategy of the economy and society.