China`s rare earth exports to Japan returning to normal: Ohata+

TOKYO, Dec. 3 Kyodo -
China's rare earth exports to Japan are basically returning to normal, trade
minister Akihiro Ohata said Friday, in an apparent sign of relief for Japan
which has struggled for about two months due to stagnant trade in the resources
that are vital for high-tech products.
''It's basically returning to normal handling (of exports),'' Ohata told a
regular press conference, although he said the government will continue to
monitor the situation because some shipments are still stalled.
The issue, meanwhile, continues to pose the question of how Japan can reduce
its 90-percent dependence on China for supply of the resources.
An official at the Ministry of Economy, Trade and Industry said the ministry
has confirmed a total of 21 cases that cleared have customs and saw other
improvements in the situation after a Chinese official assured Ohata on Nov. 13
during a meeting in Japan that the problem would be settled ''soon.''
Chinese National Development and Reform Commission Chairman Zhang Ping made the
comments in response to Ohata's call for an early resolution of the issue,
which emerged after bilateral ties were soured by a ship collision incident in
September near the disputed Senkaku Islands in the East China Sea.
Of the 21 cases, at least five have seen the arrival of the cargo in Japan, the
official said.
As for the reason for believing the situation is returning to normal, the
official referred to the ''many reports that permission to clear customs is
being issued within several days of new applications.''
China, which currently accounts for about 97 percent of the world's rare earth
supply, has denied imposing an embargo on exports of the resources to Japan,
but said earlier it had reinforced customs inspections on the resources for
such reasons as to ''counter smuggling.''
Rare earths are used in the production of high-tech products such as
cellphones, digital cameras, flat-panel televisions and hybrid vehicles.
==Kyodo