China has dramatically suspended exports of a broad range of rare earth minerals and magnets, intensifying tensions in the ongoing trade war with the United States. According to Reuters, the halt began last week, raising alarms over potential shortages for foreign industries that rely heavily on these critical resources.
The Chinese government has reportedly suspended shipments of key rare earth materials as of April 4, following recent moves by the U.S. to impose stricter tariffs on Chinese imports under President Donald Trump’s administration. In response, Beijing has clamped down on the export of seven rare earth elements and related materials, introducing new bureaucratic requirements for exporters.
Chinese companies must now apply for licenses from the Ministry of Commerce to ship these materials abroad—a process that sources say could take anywhere from six or seven weeks to several months. During this period, international shipments of these essential resources have come to a complete standstill.
China dominates the global supply of certain rare earth elements, producing over 90 percent of minerals such as yttrium, dysprosium, and terbium—materials crucial to the manufacturing of high-tech electronics, electric vehicles, military equipment, and renewable energy technologies.
Industry experts warn that if the export suspension continues beyond two months, it could deplete the existing inventories of rare earth minerals held by foreign companies. Such shortages may disrupt production lines and supply chains across various high-tech and defense sectors.
As geopolitical tensions continue to rise, this latest move signals Beijing’s readiness to leverage its dominance in rare earth production as a strategic countermeasure in the broader economic conflict with Washington.
Source: www.independent.co.uk
