Profiting From Anti-China Politics

Wed, 11/17/2010 - 9:58am

China has been in the news lately due to veiled threats of withholding rare earth materials for political reasons, and that has made manufacturers around the world a nervous bunch. Considering a vast majority of the rare earth metals we use come from China, they do have the power to strangle a handful of industries and countless companies.

One company, Silmet, is being overwhelmed by these worried manufacturers. Located in Estonia, Silmet claims it is the only full-production rare earth metals producer not in China. It's a major claim to fame, but the company is small compared to its Chinese counterparts, and can't supply all the new demand. However, those that do manage to buy from Silmet are even more likely to do so for political reasons.

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