The Consumer Electronics Association (CEA) on Monday cheered President Obama’s announcement Tuesday that the United States had filed a trade case against China over Chinese restrictions on the exportation of rare earth materials, used in gadgets and other high-tech equipment across several industries, including auto, defense and consumer devices.
“CEA today welcomes the Obama Administration’s announcement that it will challenge China at the WTO,” said Gary Shapiro, president and CEO of the organization, in a statement. “If China wants to be a world player in trade, it needs to behave like one. For far too long our member companies, particularly small companies manufacturing here in the United States have been bearing the cost burden of China’s unfair practices. We welcome this move and the goal of diversifying the sources of these important minerals used in consumer electronics products.”
China commands 97 percent of the world’s production of rare earth materials, despite having access to only 30 percent of the globe’s supply. CEA, a trade group representing the U.S. electronics industry, is best known for putting on the annual Consumer Electronics Show (CES).
