Trade Resources Industry Views Rare Earths Could Have Large Implications for The Supply Chain in The Lighting Industry

Rare Earths Could Have Large Implications for The Supply Chain in The Lighting Industry

Tags: Rare Earth

A Japanese research team has uncovered large reserves of rare earths in the floor of the Pacific Ocean in a discovery that could have large implications for the supply chain in the lighting industry.

Until now the messy business of mining the mineral deposits, which include the phosphors that are incorporated into fluorescent lamps and LED chips, has been left to the Chinese, but alarm bells rang late last year when the Asian superpower started restricting exports to Japan and the USA. The Chinese government claimed that it made the move to clean up its mining procedures but it was also interpreted as being motivated by a desire to boost its own manufacturing base.

The Japanese team now says that it has found rare earth minerals in such high density on the seabed that a single kilometre could provide one fifth of the current annual global consumption, pointing to a future in which global manufacturers could wean themselves off their Chinese dependency – China currently controls 97 per cent of the world's rare earth supply.

It had been speculated that a shortage of phosphors would lead to a quicker transition to LEDs because they use far less phosphor than fluorescent tubes.

Lighting manufacturers have been quick to welcome the news. Simon Phillips, GE Lighting's EMEA Commercial Leader, said, "As an industry for whom rare earths are an essential component of production for fluorescent products, the current global supply situation is leading to raw material scarcity and consequently significant cost increases. EUP legislation is driving greater use of these energy efficient products as EU 27 countries work hard to meet carbon reduction targets. GE supports any initiative that increases the global capacity to support the growth of energy efficient products."
 

Source:
Contribute Copyright Policy
Topics: Lighting