On December 23, 2021, China Rare Earth Group Co., Ltd. was formally established. China Rare Earth Group Co., Ltd. is incorporated by China Aluminum Corporation, China Minmetals Corporation, and Ganzhou Rare Earth Group Co., Ltd. to achieve complementary advantages in rare earth resources and synergy in the development of the rare earth industry. The company and the other two rare earth technology research and development enterprises are large-scale rare earth enterprise groups established in accordance with the principles of marketization and rule of law.
After the formation, China Rare Earth Group is a central enterprise with diversified equity under the direct supervision of the State-owned Assets Supervision and Administration Commission of the State Council. The shareholding structure is 31.21% held by the State-owned Assets Supervision and Administration Commission of the State Council; China Aluminum Corporation, China Minmetals Corporation, and Ganzhou Rare Earth Group Co., Ltd. Each holds 20.33%; China Iron and Steel Research Technology Group Co., Ltd. and Youyan Technology Group Co., Ltd. each hold 3.90%. The establishment of China Rare Earth Group is a beneficial exploration and attempt by Chinalco, China Minmetals, and Ganzhou Rare Earth Group based on their own development needs and adapting to the law of industry development.
According to the latest research report of CITIC Securities today, the upstream competition pattern of rare earth may continue to be optimized. As the middle and lower reaches of the industry chain, rare earth permanent magnet materials account for the largest proportion of consumption value and will continue to drive new energy vehicles, industrial motors, wind power, and other fields in the future. Downstream demand may continue to increase. China Rare Earth Group will focus on rare earth technology research and development, exploration and development, separation and smelting, deep processing, downstream applications, complete sets of equipment, industrial incubation, technical consulting services, import and export, and trade businesses, and strive to build a first-class rare earth enterprise group.