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China Pauses New Rare Earth Export Controls for One Year After TrumpXi Deal

The limited truce buys time for manufacturers reliant on Chinese processing.

Overview

  • China’s commerce ministry said measures announced on October 9 would not be enforced for 12 months, while earlier controls continue to apply.
  • The United States trimmed selected tariffs, including reducing a fentanyl-linked levy to 10%, and delayed some measures as part of the agreement.
  • Shares of U.S.-listed rare-earth miners rallied after the announcement, with Critical Metals up about 7% premarket, USA Rare Earth around 5% and Energy Fuels roughly 3%.
  • India’s foreign ministry confirmed that some firms received licences to import rare earth magnets from China, with reported recipients including D E Diamond, Hitachi and Continental India under strict usage conditions.
  • China remains dominant in mining, refining and magnet production, and efforts in the U.S., Europe, Australia and Brazil to diversify supply are expected to take years to scale.