2011 Price Trend of Tungsten Concentrate

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In 2011, the fluctuation of rare earth and tungsten concentrate are caused by various factors. Among them, national macro support policy and consolidation of rare earth industry are the main causes of price inflation in the first half.

Xiamen, Fujian, China., February 8, 2012 - (PressReleasePoint) -

In 2011, the fluctuation of rare earth and tungsten concentrate are caused by various factors. Among them, national macro support policy and consolidation of rare earth industry are the main causes of price inflation in the first half.
On February 16, the State Council executive meeting arranged policy of rare earth industry; On April 1, rare earth mineral resources tax standards increase; On May. 19, the State Council issued "to promote sustained and healthy development of rare earth industry”.  With the introduction of a series of measures of restructuring, the rare-earth prices rose sharply.
The same time, the market take advantage of hot money, played a role in fueling the irrational rise of the rare-earth prices. Rare-earth prices continued to rise, increasing market supply and inventory, subject to the debt crisis in Europe and other international factors, the market external demand began to weaken, and the downstream processing businesses are looking for alternatives of raw materials to reduce costs. Due to oversupply, fake high price, rare earth prices soaring into the crash from the beginning of August. Stop production of the large rare earth enterprises in Baotou, Minmetals also failed to change the downward price trend. Approaching the end of the year, the strongly willing of return fund now is to accelerate the rate of decline of the rare-earth prices.