Rare Earth: Technology Showstopper

I doubt blogs like Engadget will run out of new products to post about any time soon but the rate at which we are depleting rare earth is a concern. Rare earth is used in a wide variety of high tech products like LCD and cellphone yet 90% of it comes from China.
Will China tighten its grip  on rare earth export like OPEC does with oil? I think it is in their best interest to do so. Even worse, I think China may stop exporting rare earth all together to initially monopolize manufacturing then eventually to dominate development.
Will nano-technology advance fast enough to erase our dependency on rare earth before we run out of it? Whatever the answer is, it's going to an exciting race.

Meanwhile, my MBP is no longer the top of the line. Dang. 4G of RAM is nice.