Abstract: Rare earth is indispensable for the world due to its strategic value. We analyzes the regulation and control direction on rare earth based on the distribution, supply and demand of global rare earth resources and the existing problems of China's rare earth mining and development, including indiscriminate and excessive mining, backward mining, environmental pollution, under -developed technology in rare earth deep processing and post -processing. This paper suggest the following measures, such as establishing rare earth strategic reserve mechanism, building rare earth market futures market, strengthening policy enforcement, formulating rare earth export quota and more researches on rare earth exploration, mining, smelting, separation, deep processing and export.