China’s Rare Earth Leadership Comes at Heavy Cost
China controls most of the world’s rare earth production, gaining global influence over critical minerals in modern technologies. But decades of mining and refining have caused environmental damage in major production zones.
Polluted groundwater, radioactive dust, and stripped landscapes show the consequences of rare earth dominance. Mines and refineries continue to affect people, ecosystems, and urban centres across the country.
Baotou Bears the Scars of Rare Earth Processing
Baotou, an industrial city in Inner Mongolia, has long called itself the world capital of rare earths. The city also carries the environmental cost of unregulated production that started in the 1950s.
Seven miles north of the Yellow River lies the Weikuang Dam, a four-square-mile lake filled with toxic sludge. This tailings dam collects waste from rare earth extraction. Scholars at Inner Mongolia University of Science and Technology said, “The closer to the tailings lake, the more serious the pollution and the higher the environmental and ecological risk.”
An artificial lake of sludge, partly covered with water in Baotou, China, from the waste from rare earth and iron ore processing
Dust from the lake contains lead, cadmium, and radioactive thorium, according to Chinese technical papers. In dry seasons, the wind spreads the dust across populated areas. In summer, rain mixes surface water with toxic residue that seeps into the groundwater.
Long-Term Health and Pollution Warnings
In 2009, Baotou Radiation Environment Management Office warned of radioactive thorium released as waste. This occurred at the Bayan Obo mine, 80 miles north of the city.
A 2003 paper reported intellectual development disorders in children living near rare earth facilities. Another study in 2017 found rare earth metals in children’s urine in Baotou.
The Chinese Academy of Sciences stated last year that Baotou faces “serious air and tailings pond pollution.” The government has taken action since then, but historical damage persists.
The artificial lake of sludge is contaminated with lead, cadmium and other heavy metals, including traces of radioactive thorium
Weikuang Dam Reflects Outdated Practices
Western nations adopted waterproof liners for tailings lakes in the 1970s. China’s Weikuang Dam was built decades earlier without one. The lake’s vast size makes installing a modern liner nearly impossible.
During a visit in 2010, the lake’s perimeter had a dirt berm and unprotected facilities. Refinery workers stirred vats by hand. Pollution levels were high, and locals reported health issues.
A 2024 visit revealed changes. Stones now reinforce the berm, and a concrete moat collects leaks. Nearby residential areas were relocated. Industrial buildings replaced the old community. The air felt cleaner.
A dirt road near iron and rare earth factories in Baotou in October 2010
Dust and Thorium Remain Ongoing Challenges
Dust from rare earth processing remains difficult to contain. The process uses acid to separate rare earths from ore, releasing thorium. In Baotou, this radioactive waste entered the lake for decades instead of being stored safely.
The Inner Mongolia government said in 2015 that refineries had started treating waste before disposal. However, it did not explain how thorium was handled.
International Comparison Highlights Scale of Cleanup
In Estonia, the European Union built a rare earth waste storage facility with thick concrete walls in the 1990s. The cost reached almost one billion euros.
China’s Weikuang Dam contains more sludge due to combined iron and rare earth mining. Moving or securing the waste would be a massive task. No such activity was visible during the June 2024 visit.
South-Central China Faces Similar Impacts
In Longnan, southern China, heavy rare earth mining has caused river pollution and valley damage. Until 2011, illegal operations spilled acid and ammonia into local streams.
A recent visit to the area showed some efforts at containment. A black liner was visible in a small tailings pond near a major mine. However, a nearby creek ran bright orange and bubbled unnaturally, suggesting lingering contamination.
An active mine for heavy rare earth metals on the outskirts of Longnan in south-central China’s Jiangxi Province in April [Keith Bradsher]
Government Admits High Environmental Cost
China’s cabinet wrote in 2012, “Excessive rare earth mining has resulted in landslides, clogged rivers, environmental pollution emergencies and even major accidents and disasters.”
The government has since spent billions trying to clean the industry. Measures include relocating residents, enforcing regulations, and improving waste management.
Oversight Challenges Remain in Baotou
Baotou’s rare earth industry is controlled by Baogang Group, which also runs the city’s steel mills. Baogang remains a core part of China’s military-industrial complex. It operates with support from Inner Mongolia’s provincial government.
Pollution oversight falls to the same provincial authorities, creating a conflict of interest. The Baotou Museum showcases Baogang’s role in producing steel for tanks in the 1950s.
Tightened Censorship and Security Measures
Public access to environmental data has become more restricted in recent years. Reports of livestock poisoned by dust disappeared from Chinese search platforms.
During a June visit, police and Baogang security stopped three journalists from observing the Weikuang Dam. One officer described the site as “a business secret of the Baogang Group.”
A woman claiming to represent Baogang’s rare earth unit refused to give her name. She confirmed that Baogang had no comment on the pollution issue.
China Faces Global Scrutiny Despite Clean-Up Efforts
China dominates global rare earth supply, controlling nearly all production of critical types like samarium. In recent trade disputes, it restricted exports to the US and EU.
But as Beijing continues asserting control over rare earth markets, the environmental legacy left behind draws growing international attention.
