Overview
- EU Trade Commissioner Maroš Šefčovič confirmed after talks with Commerce Minister Wang Wentao that Beijing will not apply the newly tightened hurdles to EU rare‑earth shipments.
- The pause stems from the Xi–Trump meeting in South Korea, with the additional measures on hold for a year while baseline export controls remain in force.
- Europe relies on China for roughly 99% of its rare‑earth supply, making the reprieve vital for semiconductor, clean‑tech and defense manufacturing.
- China’s complex export‑application regime and proposed limits on exporting mining and processing technology continue to pose structural barriers, with low approval rates reported by an EU Chamber survey.
- Brussels is accelerating its RESourceEU diversification and recycling push, as Germany’s Rohstoffagentur warns of potential setbacks for automotive output and the armaments build‑up.