But will germans buy a jew. Welcome to you this is asia im going to get jones in berlin good to have you with us. In a new twist to the u. S. China trade disputes china has called the u. S. An economic terrorist and signals it could stop exporting rare earth metals to the u. S. And that matters because rare earths are used in a wide range of Consumer Products from i phones to electric car motors as well as military jet engines satellites and lasers now rare earth are a group of 17 elements here are a few of them therion for one is used in Catalytic Converters and cars bastien site is used in nuclear industry. Is used to make magnets and lanthanum is used in camera lenses and so forth now china supplies nearly 3 quarters of all the worlds rare earth 120000 tonnes that is the big produces include australia
with 20000 tonnes and the us used to be a major producers but now turns out just 15000 tonnes so are rare earth supplies going to be the Bargaining Chip in the us China Trade War our c
dominance in the world and the americans and severely lagging behind in their own processing plants very few very few are only being in the construction phase right now one is going to open in california this year but the other 2 won t be ready to 2022 all right so is a double whammy really jimmy and we ve already seen that asian markets certainly were trading low today what s the impact going to be on financial markets and which acid classes are impacted the most you say. wow this is a very big deal for financial markets sensible and it s a big deal for a major number of different us a classes across commodities like oil and merchant markets stocks such as the shanghai composite index that includes the emerging market currencies that construction globally from the south african round africa to the chinese sean bell asian brit even as far as the mexican peso and lots of america based on investors become risk off and let s not even begin about the