Japan Government to Push Rare Earth Development in Vietnam

Japanese minister of economy, trade and industry Akihiro Ohata said at press conference on Friday Vietnam is promising supplier of rare earth to diversify the source heavily depending on China. Mr. Ohata said the government tries to agree to develop Dong Pao rare earth deposit in northern Vietnam, which Toyota Tsusho Corporation and Sojitz Corporation signed memorandum of understanding with Vietnamese state owned company in April 2009 to develop. He said the prime minister Naoto Kan discusses with Vietnam government for the resource issue when Mr. Kan will attend East Asia Summit and ministerial conference held in Hanoi later the month.

Mr. Ohata said Chinese rare earth export to Japan is still to be improved. He said METI sends senior vice minister or other official to China to improve the situation. He also said the government tires to fix the issue at top meeting during Asia Pacific Economic Cooperation meeting in Yokohama in mid-November.

METI announced on Thursday the vice minister Yoshikatsu Nakayama will visit Ho Chi Minh and Hanoi from Saturday to Tuesday to discuss with Vietnamese government for cooperation in infrastructure development. Mr. Nakayama also asks acceleration of rare earth development in the country.

Japan and Vietnam agreed for yen loan to develop road and water supply system around Dong Pao deposit in October 2009. However, METI encourages Vietnam government to restart suspended the road development.