Comments by "Hugh Jorgan" (@HughJorgan1) on "Xi’s Trip to Rare Earths Plant Stokes Talk of Trade Retaliation" video.

  1. Every now and then the rare earth discussion comes up. There are many countries besides China that have massive reserves. When China tried to manipulate the market in the past, new mines were opened (or reopened) in many countries, including the US. They don’t have near as much leverage and control as they once did.
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  2. @KT Chong ..The US prepared for a potential rare earth supply issue years ago. We've sourced supplies in other countries and developed or reopened our own mines. In fact, one mine in California EXPORTS thousands of tons of raw ore to China each year for processing. There's no "never ending" bombings in the Middle East. And our stockpiles of military hardware is far more that what would ever be needed in a conflict involving the US directly. Finally, I firmly believe the rare earth issue is primarily designed to manipulate stock prices. And although it's true China can provide some irritation and extra costs on the US with a manipulation of exports, it would only be short term. As well, China knows the US has many other options to retaliate in terms of a trade war. I predict Trump and Xi will make trade peace when they meet at the G20 in Japan in late June. Until then, it's mostly just sabre rattling and empty threats.
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