From Tokyo, Japan and Changsha, China – this is Down to Business English. With your hosts Skip Montreux and Dez Morgan.
Dez Morgan, great to be back with you.
Skip! Where in the world have you been? You completely dropped off the map!
I know, I know. My apologies to you and to all of our D2B listeners. Due to circumstances beyond my control, I was not able to get behind the microphone for a little while.
Circumstances beyond your control? What happened?
I had a full-blown technological meltdown.
You mean your computer died?
Exactly. My main laptop — or the one I use to record, edit, and produce Down to Business English — it completely crashed.
Oh, what a nightmare. So, you’ve finally got yourself a new one?
Not exactly. But I have managed to cobble together a workable solution, and I am back in business.
And not a minute too soon. There have been major business stories breaking out almost every day. It seems like tensions over global trade are heating up … again.
Indeed they are. But rather than looking at tariffs or trade wars today, I want to focus on something at the heart of modern technology — Rare Earth Minerals.
Rare Earth Minerals? You mean those elements that are essential for making electronics?
That’s right. And they’re not just for electronics — they are critical to everything from electric vehicles to missile guidance systems.
They sound like a pretty big deal.
They really are. So let’s do it. Let’s get D2B… Down to Business with Rare Earth Minerals Explained. Dez, have you ever stopped to think about what goes into making the devices we use every day? Your smartphone, your laptop, even electric vehicles, like the electric scooter you get around on everyday?
I know they all use microchips and batteries, but beyond that, no not really.
Well, one of the most critical components of modern technology is a group of materials known as Rare Earth Minerals—or more specifically, Rare Earth Elements, REEs.
I’ve heard both of those terms bounced around. Aren’t they just the same thing?
That’s a great question! You are right, these terms are used almost interchangeably, but there is a difference. Rare Earth Elements, or REEs, are individual metallic elements used in devices — like neodymium, dysprosium, and lanthanum.
And Rare Earth Minerals?
Rare Earth Minerals, or REMs, are the mineral compounds that contain REEs. When these minerals are mined from the earth, the Rare Earth Elements have to be extracted through a complex chemical and refining process before they can be used in manufacturing.
Ahh, so REEs are the elements themselves, and REMs are the raw materials they come from.
Exactly!
And these minerals are rare, so commonly difficult to find?
Actually, no. Despite the name, these elements are not that rare. In fact, they are widely distributed in the Earth’s crust.
So, why are they called rare then?
Well the problem is, REMs are rarely found in high enough concentrations to be easily mined. Extracting them is expensive and often comes with environmental concerns.
Okay, so they’re not that rare. But if they’re such a big deal, they must be pretty valuable. Can you give us some specific examples of what REEs are used in?
They are essential in industries ranging from renewable energy to defense. Here are a few key examples: Neodymium is used in powerful magnets for wind turbines, electric vehicle motors, and headphones. Lanthanum is critical for camera lenses and petroleum refining.
Oil refining?! Very important.
And dysprosium is also vital in electric motors, as well as nuclear reactors, and computer hard drives.
Wow. So without REEs, we wouldn’t have EVs, green energy, or even modern computing?
That’s exactly right. Without those elements, the entire global economy would grind to a halt.
No wonder countries are scrambling to secure their supply.
And that brings us to the geopolitical side of things. The global supply of REEs is highly concentrated, with one country dominating the market.
Let me guess … China?
Bingo. China produces about 70% of the world’s Rare Earth Elements and refines around 85% of the global supply.
So, if China controls most of the refining process, they can essentially decide who gets access and who doesn’t.
Exactly. And they have used that as a political tool in the past. In 2010, China restricted exports of Rare Earths to Japan after a diplomatic dispute. In 2023, they imposed export controls on gallium and germanium — two critical minerals used in semiconductors.
Sounds like Rare Earth is a powerful bargaining chip.
It is. And this has made the US, EU, and Japan very nervous. They don’t want to be too dependent on China, so they are investing heavily in securing alternative sources.
Are there any viable alternatives?
There are in fact alternatives, but they come with challenges. Some of the key players looking to break China’s hold include Australia and Canada who are ramping up mining operations to supply Western markets. The US too is investing in domestic REE production and refining to reduce their reliance on imports.
It sounds like all of those options are expensive or time-consuming, and certainly come with some major environmental concerns.
And that is the challenge — how do we secure a stable supply without causing long-term environmental damage? This is where recycling could play a major role.
Recycling?
Yes. Some experts believe that recycling existing Rare Earths could be part of the solution.
So what does the future look like? Will we see Rare Earth Elements becoming the new oil?
Possibly! Demand for REEs is skyrocketing, and whoever controls them controls the future of technology. The US and EU are pushing policies to boost their domestic mining and refining. China may tighten controls even further, forcing Western nations to find new solutions. And recycling may be key to making REE supply chains more sustainable.
Sounds like the next big economic battlefield.
It really is. Economies that can secure a steady supply of REEs will have a major advantage in the high-tech industries of the future.
And on that note, I think it’s time for us to get D2V … Down to Vocabulary. Let’s start D2V today with the phrase ‘to drop off the map’.
To drop off the map — good one!
To drop off the map is an informal expression that means to disappear, to become unreachable, or to go completely unnoticed for a period of time.
When someone drops off the map, it usually means they are no longer active or visible in a particular situation.
I used this phrase right at the beginning of today’s episode when I said, “Skip! Where in the world have you been? You completely dropped off the map!”
Dez was asking me why I hadn’t been on the podcast for a while and why I hadn’t been in contact with him.
That’s right. But this phrase isn’t just used for people — it can apply to a business, a trend, or even an entire industry.
Can you give us an example?
Do you remember BlackBerry?
Oh. Of course! They were a giant in the mobile phone market back in the early 2000s.
They were indeed. Every business person had a BlackBerry. But when Apple and Android and smartphones took over, BlackBerry simply dropped off the map because they didn’t keep up with industry trends.
Great example. Next up on D2V, we have the verb ‘to extract’. When you extract something, you remove it from its source or its original location.
And you often use a chemical or mechanical process to make that extraction.
Yes. It's commonly used in mining, manufacturing, and even medicine.
Yeah, that sounds right.
In today’s story, I reported that Rare Earth Elements are extracted from Rare Earth Minerals.
In other words, Rare Earth Elements don’t come in a pure form. They have to be removed from the minerals they’re naturally found in.
Can you give us some other examples using ‘extract’, Dez?
Sure. Crude oil is extracted from underground. And gold is extracted from ore through a refining process.
Excellent examples.
And it’s not just for physical materials either. You often hear about data extraction.
Right, extracting data from a database.
And in medicine, a dentist might extract a tooth.
Something I, unfortunately, have had a lot of experience with over the last couple of years.
Oh, that’s right. How are the new teeth doing, Skip?
They’re doing the trick.
Good to hear it.
What is our next word?
Our final item on D2V today is the verb ‘to scramble’.
Nice choice.
To scramble means to move or act quickly or urgently, often in response to a problem or indeed a crisis.
Scramble is often used when people, companies, or even governments are under pressure and need to act fast.
In today’s report, I commented that countries were scrambling to secure their supply of Rare Earth Elements.
Dez was saying that countries were quickly and urgently trying to find new sources of Rare Earth Elements so that they wouldn’t be so dependent on China.
Can you give us another example using the word ‘scramble’?
When a company is caught off guard, or surprised by a new competitor entering the market, they might scramble to adjust their strategy. Or you might hear of an airline scramble to rebook passengers when a flight of theirs gets canceled.
Nice example.
And here is one more. Since I live in Tokyo, I can’t forget the Shibuya Scramble Crossing — one of the busiest pedestrian crossings in the world.
Of course.
When the traffic lights turn green, hundreds of people scramble across the intersection in all different directions at once.
That’s a perfect visual example of scramble! I remember the first time I visited the famous scramble corner. It sure was certainly a sight to behold.
Would you like to help Down to Business English reach more people wanting to improve their Business English skills? Follow Down to Business English on Apple Podcasts, YouTube Music, Spotify, or any place podcasts are found. Leave a rating and a review and tell everyone how much you enjoy the show.
Thanks for that report on Rare Earth Minerals, Skip. That was really insightful.
My pleasure, Dez. Rare Earth Minerals and Elements will be making more headlines in the business world in the coming months.
Absolutely.
So understanding what they are is more important than ever.
D2B Members and Apple Podcast subscribers, the bonus vocabulary for today’s episode will be released very shortly.
The words and phrases we will focus on will be — at the heart of something, a component, to be a big deal, to be critical, and to grind to a halt.
So D2B members, keep an eye on your members only RSS feed for that episode.
If you haven’t already, be sure you have copied your exclusive members-only URL from your Membership account on the D2B website, and have pasted it into your favorite podcast app.
And Apple Podcast subscribers, you don’t need to do anything. The bonus D2V episode will appear automatically in your Apple Podcast app as soon as it drops.
And for those of you who are not D2B Members or Apple Podcast subscribers, what’s stopping you?
You can become an Apple Podcast subscriber by just visiting the Down to Business English show page in the Apple Podcast app and tap ‘Subscribe’. As an Apple Podcast Subscriber, you get all the Bonus Vocabulary episodes as well as the exclusive Member only episodes. It even comes with a 7 day trial.
And if you would like full access to everything Down to Business English offers, not just the bonus episodes, consider becoming a D2B Member. As a member, you will get all of our bonus episodes, access to our interactive audio scripts, and our complete library of PDF transcripts. Just visit d2benglish.com/membership and sign up today.
That’s d2benglish.com/membership . Skip: Thanks for listening, everyone. See you next time. Bye bye.
Have a comment or question about today’s show? Don’t be shy… visit the D2B website or Facebook page, and post any comments or questions there. Skip, Dez, or Samantha will be sure to leave a reply. Down to Business English … Business News, to improve your Business English.