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- Some enterprises intend to move the production base to China Published??2012??07??31??
- The SMM Reuters: internationally renowned strategy consulting firm Roland Berger, on the 27th Rare Earth Report pointed out that the rare-earth prices gradually moving towards stable, but still high. Enterprises must take the correct measures to ensure its future competitiveness.
The report pointed out that electric vehicles and wind turbine magnets suppliers, LED lighting manufacturers, car batteries and catalytic purifier suppliers in particular, will be subject to the challenges posed by the high prices.
Thomas Ryan, a partner of Roland Berger, said that for many companies, the rapid rise of the rare-earth prices has been a threat to corporate profitability, as well as the survival of some companies. 2011 rare-earth prices have come down, it is still one of the most priority, because the supply is still very tight, especially the heavy rare earth. Enterprises must take the correct measures to ensure its future competitiveness.
The report shows that companies are taking a range of different measures to cope with high prices. More than 90 percent of companies surveyed are trying to protect their supply chain, or the development of new agreements with existing suppliers or find another supplier; 84% of the companies surveyed are trying to reduce the dosage of rare earth, or the use of other materials, or to improve The rare-earth use efficiency; increase in the cost of more than half of the companies will be transferred to the customer.
Ryan said that more and more companies are looking for other measures, such as cooperation with other enterprises. Among them, some companies consider moving their manufacturing base to China, because the place of origin as the main rare earth, rare earth prices correspondingly lower.
The report pointed out that the global industry last year consumed about 137,000 tons of rare earth, mainly for the production of high-tech products, wind motor permanent magnet, electric vehicles, permanent magnets, LED lights, automotive catalytic exhaust purifiers and battery.
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