HOHHOT, March 2 (Xinhua) -- China's first rare earth exchange has operated
well in its first year, turning over more than 35,000 tonnes of products,
according to its chief.
The trading volume of the Baotou Rare Earth Products Exchange, launched in
March last year in Inner Mongolia autonomous region, reached 5.6 billion yuan
(910 million U.S. dollars) at the year-end, said Gu Ming, general manager of the
exchange company.
Ninety-five rare earth firms and traders in about half of China's provinces
have opened accounts with the exchange, an electronic platform created to help
regulate the domestic rare earth industry and improve its transparency, Gu
said.
Located in Baotou City, the exchange was initiated by China North Rare Earth
Group Co. Ltd, the country's leading rare earth producer, and another 12 firms
and institutions with a registered capital of 120 million yuan.
It has three spot transaction modes: price bidding, listed trading and
real-time trading online, with trading items including cerium oxide,
praseodymium-neodymium oxide and europium oxide.
China is the world's largest rare earth producer and exporter, accounting for
more than 90 percent of the world's supply. However, the country lacks pricing
power in the global market and wild price swings of resources have hurt Chinese
producers.
