UPDATE 2-China raises annual rare earth output quotas to record...

UPDATE 2-China raises annual rare earth output quotas to record highTom Daly3 Min Read* Mining quota at 132,000 T, smelting and separation at 127,000 T * Annual quotas for 2019 are highest volumes ever allocated * Beijing had raised prospect of limiting supply in U.S. trade row * Quotas have been released unusually late in the year (Adds analyst and association official comment, milestone) By Tom Daly BEIJING, Nov 8 (Reuters) - China lifted its annual rare earth output quotas on Friday by 10% to record-high levels for 2019, potentially easing fears the world’s dominant producer of the group of 17 prized minerals will restrict supply. Beijing in late May raised the prospect of weaponising its control of rare earths, used in everything from consumer electronics to sophisticated military equipment, in its trade war with the United States but has yet to announce any formal restrictions. China is home to at least 85% of global rare earth processing capacity, according to Adamas Intelligence. The full-year rare earth mining quota has been set at 132,000 tonnes for 2019 and the smelting and separation quota at 127,000 tonnes, the Ministry of Industry and Information Technology said in a statement.