Revised Mineral Resources Law
China's revised Mineral Resources Law, effective from July 2025, establishes a comprehensive framework for the exploration, exploitation, and ecological restoration of mineral resources whilst strengthening state ownership rights and environmental protections.
The law updates the 1986 legislation which has undergone two previous revisions in 1996 and 2009. This latest revision comes amid China's increasing focus on resource security, ecological protection and high-quality development in its mining sector. The law addresses modern challenges in mineral resource management, including strategic resource protection, environmental restoration and emergency response mechanisms.
The legislation consists of eight chapters covering general provisions, mining rights, exploration and exploitation, ecological restoration, mineral reserves and emergency response, supervision and management, legal liability, and supplementary provisions. Key elements include strengthening state ownership of mineral resources, establishing a competitive bidding system for mining rights, implementing ecological restoration requirements, and creating strategic mineral reserves. The law mandates that mining rights must be obtained through competitive processes such as bidding and auctions, with specific provisions for strategic minerals. It requires mining companies to undertake ecological restoration and establishes a reserve system for strategic minerals.
The law strengthens China's mineral resource management system by clarifying mining rights allocation, enhancing environmental protection measures, and establishing mechanisms for strategic resource security. It introduces stricter penalties for violations and unauthorised mining activities, with fines ranging from 100 000 to 1 million yuan. The legislation aims to balance resource development with environmental protection, requiring mining companies to restore damaged ecosystems and establishing a mineral resource reserve system to ensure supply security. These measures are expected to promote more sustainable and efficient development of China's mining sector while protecting strategic mineral resources.
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