Beijing, Jun 20 (IANS): China, the world's largest producer of rare earth products, Wednesday issued its first white paper on the rare earth industry.

Titled "Situation and policies of China's rare earth industry," the paper was released by the information office of the cabinet.

China will continue to follow WTO rules, strengthen scientific management of this industry and supply rare earth products to the global market, it said.

Rare earths are a group of 17 metals vital for manufacturing products ranging from smart phones, wind turbines, electric car batteries to missiles.

"Some countries have been particularly fretful about the situation of China's rare earth industry and related policies, doing a lot of guesswork and conjuring up many stories," it noted.

The publication of the paper was aimed at giving the international community a better understanding of China's rare earth industry and policies, Xinhua reported.

China supplies over 90 percent of rare earth products on the global market with just 23 percent of the world's total reserves.

The country has "paid a big price" for problems in its rare earth industry like excessive exploitation, environmental damages, unhealthy industrial structure, underrated prices and rampant smuggling, the paper said.