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MGMT 346: Chapter 16--Global Sourcing and Procurement: Introduction

Chapter 16: Global Sourcing and Procurement

Rare Earth Elements

COVID-19’s impact on supply chains has brought attention to the United States’ reliance on China and
other countries for manufacturing critical items using Rare Earth Elements (REE).

EE materials are needed to make hybrid car batteries, computer touch screens, and special magnets
used in the defense of the nation. The issue arose from environmental regulations that begin in the
1960s to the 1980s. As costs rose to make products using REE in the United States, manufacturing
shifted to other countries.

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