Minmetals to set up rare earth conglomerate
State-owned metal producer ChinaMinmetals Corp has been allowed to form a rare earth conglomerate to further consolidate resources in the strategic industry. The company will lead the restructuring of rare earth industries in southern provinces ofHunan, Yunnan, Jiangxi, Fujian, Guangdong and the Guangxi Zhuang autonomous region, newspaper reports said on Thursday. The approval was part of Beijing’s plan to better develop and integrate the country’s rare earth industry through mergers and acquisitions by encouraging six major resource companies to form conglomerates. China Minmetals Corporation was the first company to conduct rare earth business in China. TheMinistry of Industry and Information Technology earlier gave three other rare earth producers, namely Inner Mongolia Baotou Steel Rare-EarthHi-Tech Co, Xiamen Tungsten Co Ltd, and Aluminum Corporation of China, the green light to form conglomerates.