Australia to propose tax incentives for critical minerals
The proposed law will set up a tax incentive worth 10% of relevant processing and refining costs for 31 critical minerals.
Australian rare earth producer Lynas Corp on Wednesday posted a 8.1% rise in first-quarter neodymium and praseodymium (NdPr) output as production normalized following the easing of coronavirus restrictions in Malaysia and Western Australia.
The world’s largest producer of rare earths outside China said production of neodymium and praseodymium (NdPr), used in everything from iPhones to weapons, rose to 1,342 tonnes in the quarter ended in September from 1,242 tonnes a year earlier. It was just under a UBS estimate of 1,350 tonnes.
Lynas said a NdPr production rate of 75% is enough to meet demand as the coronavirus crisis continues to weigh on demand.
Rare earths are critical minerals used in a wide range of everyday goods, including magnets and electric cars, and has become a key strategic consideration for Washington as it looks to reduce U.S. reliance on China, the world’s biggest producer.
China recently passed a law restricting exports of controlled items, giving Beijing the power to curb exports of items to countries that it believes may harm China’s interest.
(By Soumyajit Saha and Arpit Nayak; Editing by Sandra Maler and Richard Chang)
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