Rare earth minerals have caused much controversy and friction over the last few years, but the conflict resolution initiative at the World Trade Organization that the European Union, the United States and Japan started against China recently has taken the dispute to a new level.

However, there is ample reason for both sides to take a step back and reconsider the wisdom of confrontation.

I have, of course, no way of knowing how this case against China will turn out in the end. But I believe that commentators arguing that the result in the new case will be pretty much the same as an earlier case that ruled in favor of the EU, the US and Mexico in January 2012, are jumping to conclusions. And even if in two years time we find that they were right and the decision does go against China, this locking of horns might still turn out to be only a pyrrhic victory.