BEIJING, Oct 28 (Reuters) - China will not use its dominance of global rare earths supplies as a "bargaining tool" with foreign economies, a spokesman for the country's Ministry of Industry and Information Technology said on Thursday.
The spokesman, Zhu Hongren, made the comments after reduced shipments of the industrial ores to Japan ignited international concern that China could use its rare earth exports as an economic or political lever.
"China will not use rare earths as an instrument for bargaining. Instead, we hope to cooperate with other countries in the use of rare earths on the basis of win-win outcomes and jointly protecting this unrenewable resource," Zhu told a news conference.
The ministry is one of several in China that oversee rare earths.
China supplies about 97 percent of the world's demand for rare earths metals, which possess magnetic, luminescent and other properties used in emerging clean energy technologies, computers and electronic.
But Beijing has curtailed exports, saying it needs to protect reserves from reckless exploitation. This year it has slashed export quotas to about 40 percent below 2009 levels.
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Analysis-Impact of shortages [ID:nSGE69J0BC]
The World Trade Organisation and the European Union said this week they were seeking a solution to German concerns about reported Chinese restrictions on exports of rare earths.
The EU said it was watching China's actions for possible legal implications. [ID:nLDE69P0VP]
The Chinese spokesman Zhu repeated his government's stance that controls on exports of rare earths were entirely within international trade rules.
"China has exercised orderly management of the exploitation, production and export of rare earths, and this is also in line with WTO rules," Zhu said at the briefing. (Reporting by Aileen Wang, writing by Chris Buckley; Editing by Chris Lewis)