How one of the tiniest oil markets cost Trafigura over $1 billion
Last week, the company admitted it faces a loss in Mongolia of up to $1.1 billion, linked in part to suspected fraud by its own employees.
Just as the Bronze Age catapulted human civilization to new levels, critical metals are changing the way we live today. Rare earth elements, the group of resources used in the production of certain high-tech goods, from weapons to cell phones, seem to be leading the way.
Currently, more than 90% of rare earths metals are processed in China, a country that has increased export restrictions on these elements as it claims it needs to guarantee supplies for the internal market and protect the environment. The policy has generated protests from foreign manufacturers who rely on Chinese rare earths. They argue China’s restrictions aim to raise rare earth prices artificially to give its own producers higher profits.
But why are these elements so important and what exactly are they? The folks at Visual Capitalist have put together one of their famous infographics explaining just that:
Click here to see it full size >> >>
3 Comments
CommoditiesOpEd
Good article, you can learn more on technology metals at technologymetals.org
spill containment pallet
It needs to assurance resources for the inner market and secure the environment. The policy has produced demonstrations from foreign producers who depend on China unusual worlds. They claim China’s limitations aim to raise unusual earth prices synthetically to give its own producers higher earnings.
Sandy
Good article.