China is the world's largest holder and producer of rare earth resource, with 38% of the resource share bearing, bearing more than 90% of the global market supply, however, rare earth resources are overconsumed. Currently, the import of medium and heavy rare earth resources is highly dependent on Myanmar, which poses risks in the supply of resources. By tracking and collecting basic data on global and China’s rare earth resource reserves, mineral production, smelting and separation product production, consumption structure and consumption volumes, this paper carries out the analysis of rare earth resource supply and consumption trends, focusing on the analysis of rare earth application fields and industry changes. It also analyzes and judges the problems of China's rare earth resource industry chain, based on national security and sustainable economic development needs, suggests strengthening the long-term planning of China's rare earth resources in terms of expanding the rare earth resource base, carrying out risk investigation, taking the opportunity to reduce the stock of some light rare earth products that have been replaced, and improving the research and development of recycling technologies.