The cost for our higher end motors are going to go up soon

[LuckyDuc]

China is going to start taxing the hell out of the exports for rare earth minerals that go into the production of high-end electric motor magnets (neodymium and dysprosium.)

Very interesting article... LINK

[LuckyDuc]

I also suspect that the quality of the magnets in all RC related motors coming out of China will be dramatically reduced in the NEAR future.

[sailr]

where are these guys when you need 'em!?

http://en.wikipedia.org/wiki/Rare_Earth_(band)

[m4a1usr]

Prices might increase sometime next year but I doubt you will see such a spike to inflame or cause you to stop purchasing the Chi motors we like. Even an additional tax due to the materials used will not raise prices prohibitively. And if they do,.. take comfort in knowing it could spur an increase in domestic mining of the materials used to make the Neodium magnets in motor construction. We have huge amounts of these right here in the states. Its not like China is a sole source of these raw materials.
http://findarticles.com/p/articles/m.../ai_n32426772/

John

[LuckyDuc]

I'm more concerned that our spec motors will get lower quality magnets in the future. Some already think that the 2nd generation UL-1 motors have less performance than the 1st generation.

[jamespl]

The cost off everything is going up all the time but our wages aren't. And in the UK we get the pleasure of another 2.5% on pretty much everything we buy from Jan the first due to VAT (value added tax) going up to 20%.

[LiPo Power]

Who cares about Chinese made staff!!!
We are buying American made products to support our economy anyways..... Right???

[jamespl]

Don't know about the states but a lot of industry in the UK is going overseas, I'm all for supporting local and national based company's but ultimately a lot of it is run by overseas company's, take for example the company I work for. They build the boilers in the UK but is Bosch owned also my bro works for cadburys and that's owned by Kraft. We live in an international marketplace now!

[Insaniac]

It gets worse!

"China controls about 95 percent of the global trade for the 17 minerals that collectively make up the rare earth metals market." Their new strategy is to stockpile rare earth metals as high-tech depends heavily on these materials.
"In December, China also tightened control over the metals by slashing quotas for overseas shipments by some 35 percent for the first half of 2011, as well as hiking export taxes. "

http://www.breitbart.com/article.php?id=CNG.a1f3243ab58c6b6ab6455cbca4443759.a91&show_article=1

I'm glad the current administration is on top of this!

[LuckyDuc]

Nice article! Thanks for sharing.

[JackBlack26]

Who cares about Chinese made staff!!!
We are buying American made products to support our economy anyways..... Right???

Hahahaha! The only American made products now days are.....wait, I'm thinking........soon......It's coming to me....Aww, forget it!

[LarrysDrifter]

You get a complimentary taco in the glove box of a new Dodge 3/4 or 1 ton truck with the Cummins.

[ray schrauwen]

China is buying up all sorts of commodities with US treasury bonds it has been given to keep the US economy going.
Or so it has been mentioned by some...