Overview

• China’s Commerce Ministry announced stricter controls covering exports of raw rare-earth materials and related processing technologies, while prohibiting unauthorized cooperation with foreign partners.
• The ministry signaled export licences are unlikely for defense companies, with applications tied to advanced semiconductors to be decided case by case.
• New limits expand to technologies for producing rare-earth magnets across more magnet types, components and assemblies that contain them, and equipment for rare-earth recycling.
• European Chamber data cited only 19 approvals out of 141 recent export applications, with reporting of price increases, production stoppages, and multi‑million‑euro losses at European firms.
• German industry sources rely on China for about two thirds of rare-earth needs as China accounts for over 90% of processed supply, while Beijing describes the latest restrictions as limited in scope with steps to ease licensing.