| China over-accumulated foreign exchange reserves and began to switch to building up a sovereign wealth fund to supplant it. China saw the competition for resources heating up and knew it was deficient. Its lack of key natural resources would limit it, so it has tried to use its sovereign wealth fund to accumulate minerals.
China's recent move to limit exports of rare earth, a scarce ingredient in battery-making that China has in abundance, may signal more rivalry and a sharper-elbowed future with a country that is beginning to be hemmed in by its own past success...............................................Full Article: Source
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