China Tightens Rare Earth Export Controls, Threatening U.S. Defense Supply Chains
Beijing’s new restrictions on seven critical minerals escalate trade tensions with the U.S., jeopardizing high-tech and military projects like the F-47 fighter jet program.
- China has imposed stricter export controls on seven rare earth minerals, reducing U.S. access to resources critical for defense and high-tech industries.
- The restrictions are a response to President Trump's tariffs, with Beijing citing national security concerns due to the minerals' dual-use military applications.
- Key U.S. defense initiatives, including the development of the F-47 fighter jet, face significant challenges as China dominates global rare earth processing and supply chains.
- China’s move underscores its willingness to weaponize its control over rare earth markets, while nations like South Korea and Australia explore alternative supply sources.
- Although not an outright ban, the new controls limit export licenses, creating uncertainty for U.S. manufacturers dependent on these critical materials.