Goodbye Fossil Fuel Dependence, Hello Rare Earth Dependence!  

TreeHugger has a post on demand for rare metals in cleantech applications - Goodbye Fossil Fuel Dependence, Hello Rare Earth Dependence!.

Fellow TreeHugger John Laumer recently brought to our attention the fact that control of rare earth metals is Achilles heel of the hybrid and electric vehicles, and wind turbines we all are counting on to make the future a decidedly greener place. OnEarth, the magazine of the NRDC, reminds us that what this means is that what we're doing is replacing our dependence on oil suppliers, with dependence on countries supplying these metals—China being right at the fore:

Chinese Domestic Demand to Surpass Supply in a Few Years

Having shrewdly positioned itself as the OPEC of rare earths, China is now putting the squeeze on foreign consumers, clamping down on exports by raising tariffs, lowering export quotas, and imposing production limits. Worldwide demand for rare earths is expected to grow by 10 percent a year, yet production has leveled off in recent years. Most of China's annual supply is now staying in the country as consumers there buy more cars and electronic devices. "Sometime in 2011 to 2012, Chinese domestic demand will surpass Chinese domestic production," says Jack Lifton, an analyst and consultant who specializes in what he calls the "technology metals" and advises mining industry clients developing rare earth projects in North America. "This means no more Chinese exports of rare earths, other than in finished goods made in China that they allow to be exported."

Rare Earths Only Found in Select Places

The main thrust of the article is that rare earths are only known to exist in a few places in the world: Mostly China, Australia and North America, with much smaller reserves known to exist in India, Brazil, Malaysia and South Africa. Of all of these China's reserves are far and away the largest. Furthermore, tapping into these deposits in areas where production doesn't already exist isn't something that happens overnight.

Those who want to buy a Tesla electric car, or just see one in person and maybe have a test-drive, will be happy to learn that Tesla Motors has announced 7 new stores spread over North-America and Europe. The first stores to open in June are located in New York, Seattle and Chicago. This will be followed by a store in Miami. Tesla also says that it is scouting for locations in Washington D.C. and Toronto, Canada. As for Europe: "Tesla's first European store will open in London later this month, followed by Munich and Monaco."