Malaysia eases rare earth export curbs for research
The exception requires companies to commit to collaborating on Malaysian processing facilities within three years of export approval.
Malaysia will make exceptions to its moratorium on raw rare earth exports, allowing shipments solely for research and development to help draw investors, according to the Ministry of Investment, Trade and Industry (MITI).
The arrangements come under the Guidelines for the Conditional Export of Raw Rare Earth Elements. MITI said companies must demonstrate a firm commitment to jointly developing processing facilities in Malaysia within three years after their exports receive approval.
The ministry attributed apparent investor reluctance to uncertainty over a reliable domestic supply of raw rare earth element (REE) materials. It is seeking investment from local and foreign sources for the industry's midstream and downstream operations, with a focus on permanent magnets, advanced materials, batteries and electronic components.
MITI explained the measures in an answer to Shaharizukirnain Abd Kadir (PN-Setiu). His question concerned the government's position on an agreement worth US$96 million involving rare earth oxide supplies, Lynas and the United States Pentagon.
The ministry also said Malaysia needed strategic partnerships and transfers of technology, involving domestic participants and partner countries experienced in processing REE, to develop its national industry.
