Sec. Clinton: China has ‘no intention’ of withholding rare-earth minerals

Secretary of State Hillary Rodham Clinton said in Hanoi Saturday that China has provided reassurances it will not block export of rare-earth minerals used in energy and hi-tech industries.

Clinton met with Chinese Foreign Minister Yang Jiechi on the sidelines of the Association of Southeast Asian Nations meeting.

“On the rare-earth minerals matter, the foreign minister, Minister Yang, clarified that China has no intention of withholding these minerals from the market. He said that he wanted to make that very clear,” Clinton said during a briefing with Vietnamese Foreign Minister Pham Gia Khiem.

China dominates global supply of the materials that are used in wind turbines, hybrid cars and various hi-tech and defense applications. Conflicting reports of export restrictions have prompted concern on Capitol Hill and within the White House.

Clinton also stressed the need to diversify sources of rare-earth supply.

“Now, the fact is that they're called rare-earth for a reason; they are rare. And the United States, along with other allies – Japan and Europe and elsewhere – are going to be looking for more resources and looking for more sources of these rare-earth minerals,” Clinton said, according to a State Department transcript.

“So, while we're pleased by the clarification we received from the Chinese Government, we still think that the world, as a whole, needs to find alternatives and to find new sources, which we will be pursuing,” she added.