Seeking Alpha, page-17

Another point on the debate whether China does or doesn't want low RE prices, there's a point where their RE capacity is theoretically absorbed by the immense internal demand.... They are already pillaging a third world country to achieve current oxide output.... surely not sustainable.

If China knew they'd become close to a neutral net producer (no longer a net exporter)... and their RE corps are majority state owned enterprises... erm.. low RE prices would make sense right?

https://macropolo.org/analysis/permanent-magnets-case-study-industry-chinese-production-supply/
"As Chinese EV and wind turbine manufacturers improve in quality, like their foreign counterparts, they too will increasingly demand high-end NdFeB magnets. Yet that could put considerable strain on supplying enough high-performance magnets to meet global demand.As noted above, projected NdFeB demand from EVs and wind alone appears to outstrip expected supply by 2025 or perhaps even earlier, especially if China cannot sufficiently increase its capacity on high-performance magnets in the near term."

How else could they even afford to rollout an energy transition for 1.4bn people? Well, they can't afford for skyrocketing EV / turbine input prices, that's for sure.



A model that may work for China (and may never ever come to fruition mind), ensuring healthy local industry margins to enable the green transition rollout, is to introduce an export tax on domestic RE output. This would create a preferential pricing incentive for suppliers to sell to domestic producers at "fair" prices... or prices which ensure China's RE dominance isn't used for the benefit of another country!