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  For rare-earth prices and supply problems, chief engineer of the Ministry of Industry and Information Technology on July 21, Zhu Hong, the State Council Information Office held a press conference, said rare earth prices is the value of their return to earth, rare-earth price of potatoes sold anomaly.
    Zhu Hong, also said some foreign media that the rapid rise in the price of rare earth price action is the result of the Chinese government, which is actually a misunderstanding. As for the impact of rapidly rising prices of rare-earth part of the user enterprise use, application of rare earth companies have a rational view and to adapt to earth prices. Recent prices of rare earth, there are four reasons.
    First, after the rare earth industry as Luancai digging, do not take into account environmental and resource consumption, making the rare-earth price does not include environmental and resource costs, coupled with rampant smuggling, making the earth a far cry from the price should be the value, and now the price of rare earth pick-up with its own reasonable terms. Second, the rare-earth prices also affected by the worldwide resource-based products generally increases. For example, world oil prices in 1988 only ten dollars a barrel, has now reached about one hundred U.S. dollars per barrel, up 5 to 6 times over the same period the majority of Chinese varieties of rare earth prices rose only about 3 times. Third, the development of new materials industry, promoting the application of rare earth, also contributed to price increase. Fourth, due to the impact of market regulation, China's current demand of rare earth products are many, many rare earth products, domestic prices are higher than export prices.
    How to face the future of rare earth prices and supply issues, Zhu Hong, there are two aspects need to make sure, on the one hand, in the protection of resources, under the premise of protecting the environment, according to the reasonable needs of rare earth to organize production; the other hand, application of rare earth enterprises should also take into account not Luancai digging in, and environmental costs and resource costs escalating situation, to adapt to the value of the return to earth prices.
    In addition, Zhu Hong Ren said rare earth industry has a long industrial chain, from different departments at different stages of the industrial chain management. For example, the exploitation by the land and resources management, production, refining and separation is managed by the Ministry of environmental protection is managed by the department of environmental protection, export quotas, export order is managed by the Ministry of Commerce, the Department is also responsible for some specific business . According to a long chain of rare earth industry, the case of the State Council set up the rare earth industry, inter-ministerial coordination group composed of relevant departments from the 15, while restoring the country's rare earth industry set up office in the Ministry, responsible for coordination.

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