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3h ago

China Expands Rare Earth Export Controls, Extending Rules to Foreign-Made Goods

Beijing casts the move as a national-security step, imposing licenses on items that use Chinese rare-earth inputs or technology.

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Workers transport soil containing rare earth elements for export at a port in Lianyungang, Jiangsu province, China October 31, 2010. REUTERS/Stringer/File Photo
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Overview

  • China added holmium, erbium, thulium, europium and ytterbium to its control list, bringing restrictions to 12 of 17 rare-earth elements.
  • New licenses cover mining, processing and magnet-making technologies, with Chinese nationals barred from assisting such work overseas; military end users will be rejected in principle and advanced chip or AI uses face case-by-case review.
  • Authorities assert extraterritorial reach by requiring permits for foreign-made products that contain more than 0.1% Chinese-origin rare earths or were produced using Chinese extraction, refining, magnet or recycling technology.
  • Technology- and labor-related measures took effect immediately, while most material-export rules are slated to start December 1, with limited exemptions and a transition window noted by officials.
  • President Donald Trump said there is no reason to meet Xi and that the U.S. is weighing a massive tariff increase on Chinese goods, underscoring rapid trade tensions and supply-chain risks flagged by industry.