China tightens grip on rare earth minerals, escalating global supply chain tensions
Beijing imposed strict export controls (requiring approval for shipments with >0.1% rare earth content) and harsh penalties for quota violations, weaponizing its 90% global market share ahead of Trump-Xi talks.
The move targets Western defense, tech and green energy sectors, forcing the U.S. and EU to confront vulnerabilities in critical supply chains (e.g., F-35 jets, EVs and electronics).
The EU called it a “critical concern,” urging G7 unity, while the U.S. revives domestic mining (e.g., Alaska) and processing projects to reduce dependence, though refining capacity lags behind China.
Restrictions were announced weeks before Trump’s Beijing summit, signaling China’s intent to trade rare earth access for concessions on tariffs or semiconductor sanctions.
China aims to eliminate black-market mining and enforce “total control” over production, solidifying its position as the “OPEC of rare earths” and reshaping global power dynamics.
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