KOTA BHARU: Economy Minister Rafizi Ramli announced that the Malaysian government plans to establish domestic processing capabilities for rare earth elements (REE) within the next three years. This initiative is part of a broader strategy to develop the country’s rare earth industry and reduce dependency on China, which currently holds the technology for REE processing.
According to BERNAMA News Agency, Rafizi highlighted that discussions are underway between Malaysian Prime Minister Datuk Seri Anwar Ibrahim and Chinese Premier Li Qiang to facilitate this technological transfer. The success of these talks is crucial for Malaysia to implement plans that would allow states to efficiently regulate and license REE mining activities.
Rafizi’s remarks came during a press conference at the Ministry of Economy’s 13th Malaysia Plan (RMK-13) Engagement Session with the Kelantan Government. He emphasized that domestic processing of REE would significantly enhance Malaysia’s position in the global market, noting the po
tential for the country to become a major producer of super magnets, essential for the burgeoning electric vehicle industry.
Further supporting this ambition, Minister of Natural Resources and Environmental Sustainability Nik Nazmi Nik Ahmad had previously indicated Malaysia’s strong potential to engage actively in the downstream REE industry. A comprehensive blueprint detailing the entire REE value chain was recently presented at the Sixth National Economic Action Council Meeting of 2024, chaired by Prime Minister Anwar Ibrahim.