In December, a big law will come into force.
In recent years, Chinese funded enterprises have been subjected to unfair restrictions and attacks from the US side.
In order to maintain a normal international trade order, China has been exercising restraint.
However, this year, the US side has repeatedly dealt with Chinese enterprises, and even made up its mind on key technologies and data.
This time, our country finally made a move. This year, the people’s Republic of China passed the export control law three times.
In today’s international environment, the major countries and regions in the world, including the United States and the European Union, take export control as an important means to safeguard national security and interests, and formulate corresponding export control laws.
The authoritative Russian media commented that “by announcing the new legislation for the implementation of export control, China hopes to send a clear message. That is, the United States cannot unilaterally formulate international trade rules through military strength and military and strategic alliances. ”
The basic control areas of the export control act include dual-use items, military products and nuclear.
As for the definition of military products and nuclear products, I believe you are still quite clear.
As for “dual-use items”, the law defines them as “goods, technologies and services that have both civil and military uses or contribute to the enhancement of military potential, especially those that can be used for the design, development, production or use of weapons of mass destruction and their means of delivery.”
At the same time, on this basis, we have added a cover clause.
In addition to the above-mentioned areas, items related to safeguarding national security and interests and fulfilling international obligations such as non-proliferation can also be included in the scope of control.
The law also has detailed provisions on all aspects of export.
Obviously, China is ready this time. At any time, we can take effective countermeasures against unprovoked attacks.
Ordinary people may not have a very specific concept of the category to be controlled, but there is one key resource that I believe you are very familiar with.
This is rare earth.
Foreign capital “panic” robbery
Rare earth is the general name of seventeen metal elements in the periodic table of elements, which has the reputation of “industrial vitamin”.
The precious part of these metals lies in its rare reserves, non renewable, difficult separation, purification and processing.
Generally speaking, according to the quality of these elements, rare earth can be roughly divided into light rare earth and heavy rare earth.
China has the largest rare earth reserves in the world. According to the U.S. Geological Survey, the global rare earth reserves in 2019 will be 120 million tons. China’s reserves have reached 44 million tons, accounting for about 38%.
Among them, China’s medium heavy rare earth reserves advantage is particularly obvious, the proven reserves accounted for more than 90% of the world.
Domestic reserves of light rare earth are more than that of heavy rare earth. It is generally believed that the value of heavy rare earths is higher.
According to the data of the business association, the rare earth elements of various categories in China have increased to varying degrees near the end of the year.
Among them, praseodymium neodymium series rare earth rise is more amazing, the monthly increase is generally more than 30%.
Since the export control law will take effect on December 1, the price of rare earth has soared before the deadline.
It is obvious that overseas purchasers, in order to hoard resources before the control came into effect, had panic purchasing.
As a Chinese, do you feel a bit gloomy when you see this scene?
Reprint indicated source：Spark Global Limited information