Overview
- China expanded export controls by adding holmium, erbium, thulium, europium, ytterbium and related magnets to its licensing list and moved to require licenses for rare-earth manufacturing technologies.
- U.S. officials say the latest curbs prompted threats of economic retaliation from President Donald Trump as Washington seeks relief from a dispute that had shown signs of a trade truce.
- The International Energy Agency estimates China accounts for about 61% of rare-earth mining and 92% of processing, with experts highlighting the costly, hazardous separation steps that underpin Beijing's edge.
- The United States remains heavily reliant on Chinese supply, with roughly 70% of U.S. rare-earth compound and metal imports coming from China between 2020 and 2023 and only one U.S. mine operating in California.
- Reporting also describes a Chinese licensing regime that complicates alternative supply chains by requiring permits for products containing traces of Chinese rare earths or obtained using Chinese technology or equipment.