According to the New York investment bank Hallgarten & Co report, the United States special metal group molybdenum company $1300000000 acquisition of new materials technology company, or will China rare earth industry into second position.

Molybdenum company as including the rare earth, strategic metal advanced integrated producers rise gradually weaken China attract technology company in a local factory building strategy.

The report said that although the acquisition of new materials company does not make the company become rare earth molybdenum industry leader, but if the operation smoothly, ten years China will be relegated to the second position.

Hallgarten & Co even predict molybdenum company has a bright future, through the acquisition of new materials company, without the need to build a processing factory in china. The authors wrote, replace the Chinese Western terminal user and processed products become a long-term plan, will be a western company of China rare earth supply use.

The company pointed out new material company in China with the factory, not only for the acquisition of raw materials, but sales of patented products. In addition, the company in Thailand has rare earth factories, but China does not, many research institutions are also located outside china.

With the gradual reduction of new materials company of Chinese rare earth molybdenum dependence, owned mining company supply their own needs. At the same time, the deal making molybdenum company more deeply the world's largest the most rapidly developing China rare earth market. The last new materials company64% of the goods sold in China and japan. Hallgarten & Co that China take rare earth market leader position of the first step is to lose customers. Molybdenum company one day buy China rare earth mining enterprises, thereby obtaining a sufficient supply of.

The report says this is bad news for China, China can raise import taxes to deal with rare earth oxide. However, the Chinese believe that Japan and South Korea company recently interested in Chinese New Rare Earth factories, price is the sharing of patent technology.

Hallgarten & Co that China does not really take measures to attract demand lower prices, but through long-term commodity strategy, lead the market, release inventory, and other tools to achieve the purpose of misleading information. Hallgarten & Co suspect this is because the Chinese see too many potential rare earth production, so the release of supply, reduce their financial income. Most primary rare company a good use of the strategy.