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Tokyo (AFP) Nov 24, 2010 Japan's trade minister on Wednesday confirmed China had resumed rare earth shipments to the country, about two months after Tokyo said exports were being held up by a territorial row. Economy, Trade and Industry Minister Akihiro Ohata told a news conference that the Japanese government had confirmed the departure of two ships carrying rare earth minerals from China. While further details were not available, "we hope that other shipments will depart as soon as inspections are complete," Ohata said. Rare earth minerals are used in everything from guided missiles to flat screen televisions and cars, and Japan's high-tech industry is the world's largest user. China, which has a near-global monopoly on the minerals, has denied any embargo on shipments to Japan amid the territorial dispute, which has since shown signs of thawing. Last week Japan's Economy, Trade and Industry Ministry said 16 out of 27 surveyed companies that procure rare earths from China had reported "signs of improvement" such as actual loading on ships and faster customs clearance. Tokyo's row with Beijing stems from the arrest of a Chinese trawler captain whose vessel collided with Japanese patrol boats in waters near a disputed island chain in the East China Sea in September. Prosecutors released the captain after Beijing cut political, economic and cultural exchanges, but the dispute continued to simmer and nationalists in both countries have staged protests. Since 2006, China has cut export quotas on rare earths by five to 10 percent a year. Production has also been slashed amid concerns that Chinese supplies could run out in 15 years. China's restrictions on exports have spurred other countries such as the United States and Australia -- which have 15 and five percent of reserves respectively -- to resume production.
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