Minimalist IAS
Archive 1995–2015

UPSC CSE Prelims 2012 · GS paper

Recently, there has been a concern over the short supply of a group of elements called ‘rare earth…

A question from UPSC Civil Services (Preliminary) Examination 2012, General Studies, explained with its sources.

Prelims 2012 · archive

Easy

Recently, there has been a concern over the short supply of a group of elements called ‘rare earth metals’. Why?

  1. 1.China, which is the largest producer of these elements, has imposed some restrictions on their export.
  2. 2.Other than China, Australia, Canada and Chile, these elements are not found in any country.
  3. 3.Rare earth metals are essential for the manufacture of various kinds of electronic items and there is a growing demand for these elements.

Which of the statements given above is/are correct?

Answer & explanation

Answer: (c) 1 and 3 only

Statements 1 and 3 are correct, so the answer is (c). The supply concern came from China restricting exports of rare earths while demand for them in electronics kept rising. Statement 2 is wrong because rare-earth deposits occur in many countries, including India, Brazil, Malaysia, South Africa and the USA.

  • ✓ 1. China was the dominant producer of rare earths and imposed three distinct types of restrictions on their export, including export duties and quotas. These measures were challenged at the WTO in dispute DS431.
  • ✗ 2. Rare earths are not confined to four countries. Monazite deposits are found in Australia, Brazil, China, India, Malaysia, South Africa, Sri Lanka, Thailand and the United States. China and the United States also hold large bastnäsite deposits.
  • ✓ 3. Rare earths are raw materials used in producing various kinds of electronic goods, and in other high-tech products such as permanent magnets. Rising demand for these uses, combined with restricted Chinese exports, tightened supply.

Remember · Rare-earth supply worries around 2010–12 came from China's export restrictions. The metals themselves occur in many countries, including India, Brazil, Malaysia and the USA.

Sources

Question: UPSC Civil Services (Preliminary) 2012, General Studies paper. Explanation: Minimalist IAS, checked 25 Oct 2026 (how we verify). ·

More UPSC questions on minerals, energy & industry

All archive questions →