Rare Earth News

Chinese grip on rare earths affects American light bulb prices

China's closing or nationalizing of several rare earth producers has sent the price of U.S. fluorescent light bulbs skyrocketing, leading many end users of the minerals to find different sources.

According to The New York Times, General Electric has faced complaints from U.S. users about its rising prices. In a recent statement released by GE, the company notes that if the rate of inflation in the last 12 months on europium oxide had been applied to a $2 cup of coffee, today the coffee would cost $24.55.

But the effects of China's ban are being felt in industries outside of light bulb making as well.

"The high cost of rare earths is having a significant chilling effect on wind turbine and electric motor production in spite of offsetting government subsidies for green tech products," Michael N. Silver, chairman and chief executive of American Elements, said at a recent conference.

However, a break from the high prices could be on the horizon as many deposits of rare earths are being discovered around the world. In British Columbia, several new projects are underway that could lead to many new rare earth mining operations.