Tuesday, October 7, 2025

China Merges Rare-Earth Companies Into Megafirm to Ensure Global Dominance in Production

China has tightened its dominance on the production of rare-earth minerals, and has merged three domestic companies into a megafirm just as global demand for vital minerals accelerates.

According to Asian business news Asia Nikkei, Beijing has decided to boost China’s development of the vital minerals as well as the subsequent processing technology in an effort to strengthen its grip on the mining sector and subsequent exports.

State-owned resource company China Minmetals Corporation (CMC) and nonferrous metals company China Aluminum Corporation have decided to merge with the government of Ganzhou City— which is well-known for its significant deposits of rare earths— in what is a “strategic reorganization” to create a “world-class company.” The new company will now account for 70% of the country’s production quota of medium and heavy rare earths, and 40% of all rare-earths production.

China leads the globe in the production and refining of rare minerals, which are highly sought after in a variety of settings, such as consumer electronics, electric vehicles, and even military equipment. According to data from the US Geological Survey, the communist country was responsible for nearly 60% of the world’s rare-earths production last year. However, that figure has significantly slumped from around 90% four years ago, as both the US and Australia boosted production amid the US-China trade conflict.


Information for this briefing was found via Asia Nikkei. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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