On 7th Aug. 2014, WTO issued Appellate Report on China’s export measure on rare earth, and maintained the decision made previously by the Panel. In this connection, it is valuable to review the export administration measures on restriction of raw materials and the challenge of WTO rules so as to take appropriate measures which would comply with WTO rules. This article views that under current circumstances, China may choose to adjust its policy on natural resources by raising environmental tax or resource tax on the one side, while on the other side may consider to learn experience of production control and pricing strategy as adopted by the resource conglomerate in foreign countries, namely, realizing self-adjustment of production and price via the means of cartel organization such as trade or manufacturing associations.