The European Union
has asked WTO to arbitrate in a row about China's export restrictions on "rare
earth" minerals.
Talks between China and the EU, along with the US and Japan, failed to resolve the
dispute in April.
China, which produces 97% of the world's rare earths, could
now face litigation from the WTO.
In addition to
rare earths, the complaint covers tungsten and molybendum.
The EU, US and
Japan complained to the WTO in earlier in the year, saying that China's
increased export duties and reduced export quotas were unfairly benefiting its
own companies.
Beijing says that its restrictions are needed to protect the environment,
conserve supplies and meet domestic demand.
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