Highlights

• Leshan Shenghe Rare Earth received multiple provincial awards in Sichuan for:
  • Circular economy achievements
  • Environmental compliance
  • Technological innovation during China's 14th Five-Year Plan period
• The company is advancing challenge-based technology programs to:
  • Improve extraction efficiency
  • Reduce energy consumption
  • Accelerate environmental remediation
  • Deploy digital process controls across operations
• China's push to brand its rare earth supply chain as green and technologically superior may:
  • Intensify competitive pressure on Western processors
  • Create challenges with higher costs and ESG compliance for Western processors

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A Chinese rare earth processing affiliate of Shenghe Resources has received multiple provincial awards (opens in a new tab), underscoring Beijing’s continued effort to brand its rare earth supply chain as technologically advanced, environmentally compliant, and policy-aligned—even as Western governments work to reduce dependence on China.

On December 25, Leshan Shenghe Rare Earth Co., Ltd. was recognized at the annual meeting of the Sichuan Provincial Circular Economy Association in Chengdu, a major provincial forum attended by more than 200 representatives from industry, academia, and government-linked research institutions. The event reviewed five years of circular-economy progress under China’s 14th Five-Year Plan and set priorities for the next planning cycle.

Leshan Shenghe received several honors, including designation as an “Advanced Collective” for the 14th Five-Year Plan period. Two senior executives were individually recognized for leadership in circular-economy development. A related environmental services subsidiary was also commended for its work in radiation-environmental safety tied to rare earth and associated mineral processing—an area of growing regulatory sensitivity inside China.

More notably for international observers, the company disclosed progress on a provincial “challenge-based” technology program aimed at improving stepwise extraction and comprehensive utilization of light rare earth mixed concentrates. According to the company, the initiative targets chronic industry problems such as low recovery rates, high reagent and energy consumption, and long environmental remediation timelines. These claims align with China’s broader strategy to modernize solvent-extraction systems while reducing visible environmental externalities.

Leshan Shenghe also highlighted investments in digital and intelligent process control, including plant-wide systems tracking production, quality, energy use, and waste streams in real time. The company reports holding more than 50 patents, with several technologies having received top-tier provincial science and patent awards.

Why this matters for the U.S. and the West:

The announcement signals China’s intent to reinforce its dominance in rare earth processing not only through scale, but through policy-certified “green” credentials and proprietary process improvements—areas where Western supply chains remain fragile. If China succeeds in lowering costs and regulatory friction simultaneously, ex-China processors may face tougher economic and ESG hurdles.

Disclaimer: This news item originates from media associated with a state-owned or state-aligned Chinese entity. All claims should be independently verified.

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