International Business Times

US, Australia to tackle China's monopoly of rare earths

By Christine Jared-Perrin: Subscribe to Christine's

November 8, 2010 9:59 PM GMT

High-level talks between the United States and Australia will take place today as U.S. Secretary of State Hillary Clinton initiated discussions on China's monopoly of rare earths, which are used as key components in military systems.

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"We want to see China's rise be successful, bring benefits to the Chinese people, but to take on greater responsibility and a rules-based approach to all of its neighbors," Clinton said in an appearance with Australian Foreign Minister Mr. Kevin Rudd on Sunday evening in Canberra.

Clinton is in Australia to mark the 70th anniversary of formal diplomatic relations between the two countries focusing deeply on shared commitment to democracy, "an international, rules-based order," and the strengthening of regional institutions.

"Our relationship continues to be a strategic anchor of security and prosperity in this region and beyond," Clinton said as she begun the two-day visit yesterday.

One topic on the agenda will be the need to develop alternate sources of rare earths after a slowing of exports from China, which now dominates the export of these minerals. Rare earths minerals is comprised by a group of 17 metals that includes neodymium, samarium and dysprosium, are used in military hardware such as missile guidance and radar systems.

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Secretary Clinton will also discuss China's controversial claim over the South China Sea-a major shipping route, which has been the subject of dispute with other Southeast Asian countries.

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