Biggest producer of rare earths in Communist China suspends production, seeks to stimulate market-BBC

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10/20/11, "Chinese company suspends rare earth production," BBC

"China's biggest producer of rare earths is suspending production for one month in an attempt to stimulate the market.

Baotou Steel Rare-Earth Hi-Tech hopes to boost the slumping prices of the minerals, which are used in TVs, mobile phones and other high-tech devices.

Prices for rare earths have fallen amid the

• uncertainty about the US and European economic outlooks.

China has about 30% of global rare earth deposits but accounts for about 97% of production.

It is currently merging its rare earth producers to tighten control over the market.

According to Australian miner Lynas, the price of neodymium oxide has fallen 34% since June to $157 per kilogram, while europium oxide is down 35% to $2,904 per kilogram."

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