CHANGSHU, China — China has long used access to its giant customer base and cheap labor as bargaining chips to persuade foreign companies to open factories within its borders.
Ryan Pyle for The New York Times
White phosphors being prepared in small cups before they are baked.
Now, corporate executives say, it is using its near monopoly on certain minerals — in particular, scarce metals vital to products like hybrid cars, cellphones and energy-efficient light bulbs — to make it difficult for foreign manufacturers of high-tech materials to build or expand factories anywhere except China. Companies that continue making their products outside the country must contend with tighter supplies and much higher prices for the materials because of steep taxes and other export controls imposed by China over the last two years.
Companies like Showa Denko and Santoku of Japan and Intematix of the United States are adding factory capacity in China this year instead of elsewhere because they need access to the scarce metals, known as rare earths.
RT: China has cornered the market because the US government has regulated the mining and rare earth processing industry out of the business and left if wide open for China. But we enjoy importing Made in China and Men from Mexico.
Isn't it funny that the rabid environmentalist driving around in their Prius or Volt after donating money to causes that file extensive and expensive lawsuits to block efforts by the mining industry is directly promoting the dreadful human conditions in and around the Rare earth mines of China?
