JP Morgan Cazenove says Swiss commodity trading giant has to start off-loading inventory to slash its $48 billion debt pile and keep its credit rating.
About 90% of China’s rare earth producers are currently operating at a loss as prices for the coveted elements continue to drop due to a global glut and illegal mining.
Simon Moores, managing director of London-based Benchmark Mineral Intelligence, and the firm's analyst, Andrew Miller, provide insight into minerals that they say need to shed their labels as traditional commodities and embrace their future as niche, raw-material solutions for a growing list of technology manufacturers.
While analyst predict a rebound in hard-hit rare earth prices later this year, it is still unclear whether companies outside China, the world’s largest producer, will be able to challenge its dominance.