Mineral Resources Strategic Reserve and National Security

Mineral resources generally refer to natural resources with important economic value, which are formed in the earth's crust by geological processes and exist in solid, liquid and gaseous form. At present, more than 200 mineral resources have been discovered worldwide. Due to the differences in mineral resources endowments in different countries, there are more or less problems of insufficient mineral resources and restricting the development of the country's economy. Mineral resource reserve refers to the reserve carried out by the state for the protection of national security (including national defense security and economic security) for strategic minerals and scarce minerals with strong supply vulnerability. They are usually divided into two categories, one is the strategic reserve of mineral resources; the other is the strategic reserve base for mineral resources. This paper mainly analyzes the impact of mineral resources on war, and explains the importance of mineral resources strategic reserve to national security and the proposal to establish a strategic reserve of mineral resources.

I. Overview

The development and utilization of mineral resources promotes the rapid development of the global economy. The non-renewability of mineral resources has caused humans to worry about the depletion of resources and has been evaluating and studying the availability of mineral resources. The disruption of the supply of mineral resources can jeopardize a country’s national defense system and economic system.

Although there is no shortage of mineral resources from a global perspective, from the perspective of individual countries and regions, due to the geological nature of mineral resources, the global resource space is unevenly distributed, most of the minerals are concentrated in a few countries, and the exploitation and utilization of mineral resources is limited. of. From the existing proven reserves of 17 kinds of minerals nearly 76% of its reserves in the United States, Russia, China three countries; the world's remaining recoverable reserves of oil, a 56.1% distribution in the Middle East, China accounted for only 1.2%; natural gas Remaining Among the reserves, the Middle East accounted for 41.5%, Russia accounted for 27.2%, and China accounted for 1.3% (Table 1). Due to the differences in mineral resources endowments in different countries, it is decided that no country can rely on its own resources to meet the needs of economic development. In particular, industrial and economically developed countries, in order to maintain the rapid growth of their industries and economies, have a large demand for mineral resources and a strong dependence on foreign mineral resources. Serious reliance on foreign resources is both an economic issue and a national security issue. National security is guaranteed only on the basis of resource security.

Table 1 Table of the proportion of countries in the world's major mineral reserves

Therefore, it is of great significance to safeguard the national security and sustainable economic development by determining the corresponding mineral resources reserve according to the actual situation of the country and attaching it to the height of the national strategy.

Second, mineral resources and war

The famous American Worldwatch Institute pointed out in its research report "Global Alert" that "the war of acquiring and controlling natural resources throughout the history of mankind has always been the root cause of international tension and armed conflict." Western capitalist countries repeatedly claimed in different eras of the 20th century: "Whoever has the resources, who can control the world."

(1) Mineral resources determine the victory or defeat of war

In the two world wars, although Germany’s failure had its military strategy mistakes, its lack of mineral resources was one of the reasons for its failure.

In the two world wars, the warring parties quickly adopted all means to carry out the "hunger blockade" and cut off the other's mineral resources supply line. World War, the German submarine as a means of attack, destroy Anglo-American maritime supply lines, resulting in the United States affected by the import bauxite from Guyana, and thus postpone aircraft production program. At the same time, the UK adopted a trade control system and successfully cut off the supply of certain key mineral raw materials in Germany, so that Germany could not obtain Bolivian tin , Chilean copper , Canadian nickel , Portuguese tungsten, Turkish chromium, etc. Weakened the power of the Germans. After the outbreak of World War II, the United States and Britain began to use air power to bomb the oil fields of Romania, the fuel supplier of Germany. The lack of oil has made the German mechanization advantage impossible. The US Navy used submarines to block the Japanese offshore oil supply line, and the shortage of fuel caused the Japanese transportation system to collapse. Although before the Second World War, Germany learned the lessons of insufficient resource reserves in the First World War and strengthened the strategic reserve of mineral resources. However, in the short term, it is impossible to change the status quo of German military industry's dependence on foreign mineral supply, and it is not fully understood and prepared for the fact that the supply of mineral resources during the war is easily cut off. Soviet military experts pointed out that the victory of the Soviet-German war in the Second World War was largely a guarantee for the Soviet Union's food reserves and the main strategic raw material reserves needed for national defense.

Modern warfare is a war of mineral resources consumption. If the country does not have sufficient reserves of mineral resources as a guarantee, it is easy to cut off the mineral resources supply chain due to external attacks or economic blockades, and it cannot guarantee the military materials needed during wartime, thus affecting the success or failure of the war. .

(2) The establishment of a strategic reserve for the promotion of mineral resources by war

After two world wars, both the victorious and the defeated countries fully realized the importance of establishing a strategic reserve of mineral resources.

In the early days of World War I, the United States, as a neutral country, developed a large amount of its own resources. It provides 65% of the world's oil demand in wartime, 80% of the oil supply of the Allies, and 60% of the world's copper production. While gathering wealth, it caused the rapid depletion of domestic mineral reserves. To this end, in 1921, the research team of the US Bureau of Mines published a report saying that “strength exploration and development of mining areas in overseas areas should be strengthened, and strategic reserves of mineral products should be carried out”. Although the report did not achieve the purpose of formulating a strategic reserve of mineral resources, the ideological impact of this policy research report is far-reaching.

Mineral resources have been in the past and will continue to be the object of political, economic, and even military means of competition and control in the world.

3. Strategic Reserves of Mineral Resources and National Security

In the world economy, more than 95% of energy, more than 80% of industrial raw materials and more than 70% of agricultural production materials come from mineral resources, which is an important material basis for human society to survive and develop. Mineral resources are also an important guarantee for national defense security and economic security. Their importance to national security is mainly reflected in:

(1) The strategic reserve of mineral resources is the basis of national defense security

"The soldiers, the great things of the country; the land of life and death, the way of survival, can not be ignored." A combative army is the guarantee to consolidate national defense, and mineral resources are the key to victory in war. The raw materials and energy required for modern weapons and equipment are almost exclusively derived from mineral resources. Modern warfare is actually a confrontation of resource consumption, or a confrontation of resource reserves. Whoever has sufficient mineral resources will have the basis for winning. For example, before World War II, most of the oil needed by Germany relied on imports, and its dependence on foreign countries reached more than 90%. In 1939, when Germany launched the Second World War, it only stored 2.4 million tons of refined oil and a small amount of oil. Due to the war blockade, Germany suffered a shortage of oil during the war. The shortage of oil was the biggest weakness of Germany during World War II, resulting in the actual utilization of aircraft and tanks being lower and lower, and its "blitzkrieg" large-scale mechanized combat mode was greatly restricted. Hitler once lamented "If I can't get enough oil, I will have to end the war."

(2) Mineral resources are the foundation of national economic development

Mineral resources are the foundation of the country's economic development. Without the mineral resources, economic development cannot be discussed. Since the reform and opening up, China's economy has been increasing its demand for mineral resources, which has driven the rapid development of mining industry. The output value of mining industry has continued to grow, and its share of total industrial output has risen steadily. In 1986, the output value of the mining industry accounted for 3.09% of GDP. In 2000, it rose to 4.52%, and in 2007 it increased to 5.30%. Mining has made an important contribution to strengthening China's economic strength.

(3) Mineral resources give birth to "resource diplomacy"

A very important aspect of diplomacy in the 21st century will be resource diplomacy, because no country in the world can be self-sufficient given the uneven distribution of mineral resources. In order to maintain the development of the domestic economy, large countries with large consumption of mineral products must implement the global mineral resources strategy and strengthen capital and technology control over global mineral resources through “resource diplomacy”. For example, Japan has strengthened its ties and cooperation with resource countries and multinational mining companies through “resource diplomacy”, especially “oil diplomacy”. Politically, it takes a low profile on the oil-producing countries in the Middle East and the events that take place, and economically strengthens economic and technical assistance to developing countries, especially oil-producing countries.

IV. Overview of China's mineral resources

Mineral resources of a large amount of features, but low per capita ownership; minerals complete, but the structure is irrational; lean ore, but few pillars of bulk minerals; mineral and more difficult, less prone beneficiation; Ore, less single mine.

As of 2004, China has discovered 173 kinds of minerals and 155 kinds of minerals with proven reserves. It is one of the countries with complete global mineral resources. The total amount of proven mineral resources is relatively large, second only to the United States and Russia, ranking third in the world. China's per capita mineral resources share is low, only 58% of the world's per capita possession, ranking 53. From grade, China's iron ore average grade of 33.5%, more than 10% lower than the world average grade; manganese ore with an average grade of 22%, while the world average grade of 48%. Some of the large-scale pillar-type important minerals, such as oil, natural gas, uranium , iron, manganese, chromium, copper, bauxite and other mineral reserves account for a lower proportion of the world's total. Taking oil as an example, China's oil storage-production ratio is only 15:1, while the world average is 43:1 (Table 2). Minerals such as petroleum, iron, manganese, chromium, copper, aluminum and potash are highly dependent on foreign countries. China is in the period of rapid development of industrialization and building a well-off society in an all-round way. The rapid development of economy and society has made the supply and demand situation of mineral resources increasingly serious.

Table 2 Static degree of protection of major mineral resources in China and the world

Note: The world's storage-to-production ratio is equal to the ratio of storage to consumption, and Lei Ya-lin is "China's mineral resources security status and countermeasures."

To this end, China has gradually increased the exploration of mineral resources in recent years, based on the domestic discovery of a large number of large and large deposits. In 2009, the national geological survey and exploration of solid minerals funds invested a total of 27.7 billion yuan, in the case of international mineral exploration market fell sharply still grew by 17.5%. 621 newly discovered mineral deposits, one of the important metal mineral deposits over 159 large-scale, coal and iron, copper, aluminum and other mineral resources, exploration results achieved a number of significant influence. For example, Liaoning Benxi Qiaotou Iron Mine, Hebei Jidong Macheng Iron Mine, Shandong Yanzhou Hongdian Temple Iron Mine, etc., in the southwest Sanjiang, Gangdise and other resource bases submitted a total of nearly 20 million tons of copper resources; in Shanxi, The proven bauxite resources in Henan and other regions are 260 million tons. To some extent, it has alleviated the contradiction between China's resource supply and demand.

V. Suggestions on the implementation of mineral resources strategy in China

China has entered a large and high-speed consumption period of mineral resources, and this period will continue for a long time. Therefore, from the perspective of safeguarding national security, with the help of political, economic, diplomatic, financial and other policy instruments, the resource strategy and the overall national strategy are organically combined and considered.

(1) Tightly combining resource strategy with national strategy

We will upgrade the mineral resources strategy to the height of the national strategy, establish a long-term mechanism for resource reserves and a dynamic adjustment mechanism, and adjust the types of mineral resources reserves in a timely manner according to the domestic and international situation.

(II) Establishing a multi-level mineral resource reserve system of “national reserves” and “private reserves”

Drawing on the strategic reserve model of mineral resources in Japan, we will combine national reserves with private reserves, focusing on national reserves, and making private reserves an important supplement to government reserves. Use financial and financial means to encourage corporate reserves.

(3) Strengthening resource integration and cultivating multinational enterprises with international competitiveness

On the basis of resource integration, China should strive to support the cultivation of a group of internationally competitive group companies, participate in international competition, and establish overseas mineral resource reserve bases.

(4) Formulating preferential loans and tax policies to encourage enterprises to “go out”

Resource development “going out” has become the most important part of China’s “going out” strategy. By granting preferential loans, loan guarantees and taxation policies to the transnational operations of mining enterprises, as well as other financing facilities, enterprises are encouraged to learn from the successful experience of China's oil and gas resources “going out” and develop and utilize foreign mineral resources.

(5) Appropriate and reasonable restrictions on the exploitation and export of China's dominant mineral resources

Strengthen the regulation and control of China's dominant mineral resources such as rare earth and tungsten, and properly control the total amount of exploration and exploitation through effective and reasonable planning.

(6) Strengthening the exploration of domestic mineral resources and improving resource support and reserves

The key to enhancing the support of mineral resources for national economic and social development is to ensure the effective supply of mineral resources. We should base ourselves on the domestic efforts, vigorously strengthen the exploration and evaluation of mineral resources, and strive to increase the reserves of resources to lay the foundation for the establishment of a reserve base for national mineral resources.

(7) Establishing a global mineral resources information system to provide information support for enterprises to “go global”

Collect and analyze resource information from countries around the world, especially information on resource country potential and mining investment environment, information on important exploration and development projects, international mining trend tracking, and dynamic analysis of multinational mining companies, for government decision-making and enterprises. Going out to provide support.

Although the economic development stages and the level of scientific and technological development of different countries are different, the nature of mineral resources as a material basis for developing the economy, accumulating social wealth, and improving people's living standards has not changed. Scientifically establishing a mineral resource strategy in line with China's national conditions can provide a reliable guarantee for the sustainable development of China's national security and economy, thereby promoting the construction of a “resource-saving and environment-friendly” society.

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