Putin says it's important for Russia to create its own rare earth metals industry

Rare earth metals are critically important for the industrial development of Russia, President Vladimir Putin said at the meeting on rare earth metals production and consumption in Veliky Novgorod on Friday.

Russia has the second largest reserves of rare earth metals in the world, but produces only 2 percent, Putin said, noting that Russian companies still import about 90 percent of required rare earth metals.

The situation must be changed, he said.

In order to support rare earth metals industry, the Russian government created a special sub-program within the program of the state industrial development in 2013. The first stage of this sub-program will be completed this year.

Though the price of rare earth metals has drastically declined since 2011, however, in the longer term, this industry still has potential for Russian companies, Putin said. Endit