China Expands Rare Earth Export Curbs
China has announced new restrictions on rare earth exports, expanding controls on minerals and technologies critical for defense and semiconductor industries. The move strengthens Beijing’s grip over global supply chains.
New Rules and Restrictions
Under the updated policy, foreign defense users will not be granted export licenses, while semiconductor-related applications will undergo strict case-by-case reviews. Exports of recycling equipment, processing technology, and magnet manufacturing tools now require special approvals.
Strategic Motives
Experts believe the timing is significant, coming ahead of an expected meeting between Presidents Donald Trump and Xi Jinping. With China controlling over 90% of global rare earth processing, the decision is seen as a geopolitical tool to exert pressure in trade and technology disputes.
Impact on Global Supply Chains
The tighter export regime could disrupt supplies in sectors such as electric vehicles, consumer electronics, defense systems, and renewable energy. Several international companies are already reporting delays in obtaining licenses, raising concerns over long-term reliability of Chinese exports.
