According to a report released by New York investment bank Hallgarten & Co, the US Special Metals Group molybdenum company acquired new materials technology company for 1.3 billion US dollars, or China will be ranked second in the rare earth industry.
The rise of Hafnium and Molybdenum as a high-level integrated producer of strategic metals, including rare earths, has also gradually weakened China's strategy of attracting technology companies to build factories there.
According to the report, although the acquisition of new materials companies will not make the molybdenum company a leader in the rare earth industry, if the operation goes smoothly, China will retreat to the second place within ten years.
GarHallgarten & Co even predicts that the molybdenum company has a bright future. By acquiring new materials companies, it is not necessary to build a processing plant in China. The report's authors wrote that replacing China's development of Western end-users and processing products as a long-term plan would be a Western company using Chinese rare earth supplies.
The company pointed out that New Materials has a factory in China, not just to obtain raw materials, but to sell patented products. In addition, the company has a rare earth plant in Thailand, but not in China, and most R & D institutions are also located outside of China.