미중 무역전쟁, 중국 희토류카드 내나<br /><br />Staying with that ongoing tariff tit for tat, Beijing appears to have a new card to play as leverage: rare earth elements.<br />Our Kim Mok-yeon zooms in on how these items could impact the two superpower's trade dispute. <br />There's speculation that rare earth elements will act as the next bargaining chip for China in the ongoing trade war with the U.S.,... after President Xi Jinping visited a local company specializing in the sector earlier this week.<br />Rare earths refers to some 17 chemically similar metallic elements,...<br />known for their unique characteristics, especially their outstanding chemical, magnetic and fluorescent properties. <br />They're found in most every day electronics, such as displays, fluorescent substances, and even electronic vehicles. <br />China is the largest source of the minerals, producing more than 90 percent of the world's supply... making its dominance clear-cut. <br />Though Washington also is capable of producing a relatively small amount, it relies on China for 80 percent of its rare earths imports,... making this sector an obvious source of leverage for Beijing.<br /> In 2010, China banned all of its rare earths exports to Japan, following a territorial dispute,... during which a Chinese fishing boat captain was detained by Tokyo. <br />Japan quickly released the captain.<br />But the case was later brought to the World Trade Organization resulting in a torrent of Chinese rare earth exports into the market and an inevitable collapse in prices.<br />On Beijing's trade dispute with the U.S., pundits say Xi Jinping's visit to the local rare earths factory could be a strategic warning that it's considering playing the rare earths card, once again. <br />However, a trade expert says the possibility of this actually happening is quite low. <br />"Definitely, Xi Jinping's visit was a deliberate act to show such possibility.<br />Since the U.S. pulled strings through tariffs, this could be China's way of reacting. But I think chances are slim because China is well aware that if they ban rare earths exports, it would only worsen the situation for both sides."<br />Though it’s yet to be seen whether China will use rare earths as leverage in the trade dispute with the U.S., concerns have been raised over the costs of a prolonged trade war between the two countries.<br />Kim Mok-yeon, Arirang News. <br />
