Rare earth metals are chemical elements which are widely unknown to the general public but nevertheless can be found in everyday life. They are critical components of digital cameras, rechargeable batteries and magnets, of surgical lasers, polishing powders and military tanks. Even though their name suggests differently, they are not specifically rare but they often only exist in small deposits scattered over the globe which makes mining often fairly unprofitable. From 1986 onwards China established itself as the biggest producer of rare earth metals with by 2010 supplying 97% of world demand (Humphries, 2011, p. 13). In the past five years prices have been seen to increase tremendously and during the Senkaku boat collision incident, China imposed a trade embargo for rare earth metals against its opponent Japan. The question is to what extent China is going to use its dominant position in the future, specifically in regard to one of the biggest rare earth metal consumer, the United States. In the following the question whether China’s monopoly is indeed a serious threat to U.S. security will be answered. Therefore, first a detailed definition of rare earth metals and their applications and a historical overview will be given. Thereupon, it will be shown that China’s monopoly is indeed a security issue by a review of the relevant body of security literature, specifically the Copenhagen school approach. Afterwards the possible solutions will be examined.
Table of Contents
1. China’s Rare Earth Metals Monopoly: Does It Undermine U.S. Security?
2. Definition and Applications of Rare Earth Metals
3. Global Distribution and Reserves
4. Industrial Importance and Market Development
5. Security Implications and the Copenhagen School Approach
6. Solutions and Future Perspectives
Objectives and Topics
This paper examines the extent to which China's dominant position in the global rare earth metal market poses a legitimate security threat to the United States. By analyzing the historical development of the rare earth industry, the supply chain vulnerabilities, and the specific case of export quotas and trade disputes, the paper investigates whether the U.S. should classify this dependency as an issue of national security according to the securitization framework.
- The definition, chemical composition, and industrial applications of rare earth metals (REMs).
- The historical shift in market dominance from the United States to China.
- The role of trade embargoes and export quotas as political leverage.
- The application of the Copenhagen School’s securitization theory to the REM supply chain.
- Current U.S. policy responses, including re-opening domestic mines and legal challenges at the WTO.
Excerpt from the Book
China’s Rare Earth Metals Monopoly: Does It Undermine U.S. Security?
Rare earth metals are chemical elements which are widely unknown to the general public but nevertheless can be found in everyday life. They are critical components of digital cameras, rechargeable batteries and magnets, of surgical lasers, polishing powders and military tanks. Even though their name suggests differently, they are not specifically rare but they often only exist in small deposits scattered over the globe which makes mining often fairly unprofitable. From 1986 onwards China established itself as the biggest producer of rare earth metals with by 2010 supplying 97% of world demand (Humphries, 2011, p. 13). In the past five years prices have been seen to increase tremendously and during the Senkaku boat collision incident, China imposed a trade embargo for rare earth metals against its opponent Japan. The question is to what extent China is going to use its dominant position in the future, specifically in regard to one of the biggest rare earth metal consumer, the United States. In the following the question whether China’s monopoly is indeed a serious threat to U.S. security will be answered.
Summary of Chapters
1. China’s Rare Earth Metals Monopoly: Does It Undermine U.S. Security?: Introduces the research topic, defines the importance of rare earth metals in modern society, and outlines the central security question regarding the U.S. dependency on China.
2. Definition and Applications of Rare Earth Metals: Provides a technical overview of the 17 rare earth elements, distinguishing between light and heavy metals and detailing their diverse uses in military and civilian technology.
3. Global Distribution and Reserves: Analyzes the geographical spread of rare earth deposits, highlighting China’s significant control over global reserves compared to other nations.
4. Industrial Importance and Market Development: Traces the transition of the REM market from the U.S.-led production at Mountain Pass to the current era of Chinese dominance and market control.
5. Security Implications and the Copenhagen School Approach: Applies securitization theory to evaluate whether the U.S. government and media have successfully framed the reliance on Chinese REMs as a national security threat.
6. Solutions and Future Perspectives: Examines mitigation strategies such as research into alternatives, recycling, international cooperation, and legal actions at the World Trade Organization.
Keywords
Rare Earth Metals, REM, China, United States, National Security, Securitization, Copenhagen School, Supply Chain, Export Quotas, Mountain Pass, Trade Embargo, Lanthanoids, Strategic Resources, Industrial Policy, WTO.
Frequently Asked Questions
What is the core focus of this paper?
The paper investigates the strategic risks posed by China's dominant control over the global rare earth metals market and whether this dependency constitutes a threat to U.S. national security.
What are the primary thematic areas explored?
The research covers the industrial significance of REMs, the historical shift of mining dominance to China, the use of trade as a political tool, and the application of security theories to economic interdependencies.
What is the central research question?
The primary question is whether China's monopoly on rare earth metals can be considered a serious national security threat to the United States in the context of global trade and industrial needs.
Which methodology is utilized?
The paper uses a theoretical framework based on the Copenhagen School of security studies to analyze the "securitization" process of the REM supply issue.
What topics are discussed in the main body?
The main body examines technical definitions of REMs, the global distribution of reserves, the history of the Mountain Pass mine, Chinese export quota policies, and various U.S. government strategies to reduce dependency.
Which keywords best describe the research?
Key terms include Rare Earth Metals, Securitization, China, U.S. National Security, Supply Chain, and Market Monopoly.
How does the Copenhagen School define a "speech act" in this context?
In this context, a speech act occurs when political actors define the rare earth supply issue as an existential threat, thereby justifying extraordinary measures like legal challenges or federal investments.
How has the U.S. government responded to the Chinese monopoly?
The U.S. has responded through legislative acts like the RESTART Act, investing in R&D for substitutes, facilitating the re-opening of domestic mines, and filing trade cases against China at the WTO.
- Quote paper
- Nora Görne (Author), 2012, China’s Rare Earth Metals Monopoly: Does It Undermine U.S. Security?, Munich, GRIN Verlag, https://www.hausarbeiten.de/document/195488